NEW BULLISH Plays

Netgear Inc. - NTGR - close: 39.29 change: +0.41

Stop Loss: 38.80
Target(s): 44.75
Current Gain/Loss: unopened

Entry on September xx at $ xx.xx
Listed on September 10, 2011
Time Frame: 6 to 8 weeks
Average Daily Volume = 562 thousand
New Positions: Yes, see below

Company Description

Why We Like It:
NTGR makes networking products. The stock's three-month trend of higher lows is about to produce a breakout past key resistance at the $40.00 level. I am suggesting a trigger to open bullish positions at $40.25. Our target is $44.75. FYI: The Point & Figure chart for NTGR is bullish with a long-term $60 target.

Trigger @ 40.25

Suggested Position: buy NTGR stock @ (trigger)

Annotated chart:



NEW BEARISH Plays

Jive Software, Inc. - JIVE - close: 13.83 change: -0.72

Stop Loss: 15.05
Target(s): 10.25
Current Gain/Loss: unopened

Entry on September 11 at $ xx.xx
Listed on September 10, 2011
Time Frame: 4 to 6 weeks
Average Daily Volume = 1.0 million
New Positions: Yes, see below

Company Description

Why We Like It:
JIVE is in the application software industry. They focus on "social business solutions." I listed JIVE as a bearish idea in my editor's notes from this weekend's new play section. Today saw JIVE breakdown under major support near $14.00. The stock is now under its IPO price and has essentially been cut in half from its post-IPO highs near $28.00.

It looks like lots of investors are already bearish with short interest at 28% of the small 24.8 million-share float. That does raise the risk of a short squeeze so I would limit our position size to reduce our risk. You can also limit your risk by using the put options.

I am suggesting new bearish positions at the open tomorrow.

*Small Positions*

Suggested Position: short JIVE stock @ (the open)

- (or for more adventurous traders, try this option) -

buy the Oct $15 PUT (JIVE1220v15) current ask $2.00

Annotated chart: