NEW BULLISH Plays

Avago Technologies - AVGO - close: 44.23 change: +0.94

Stop Loss: 42.40
Target(s): 48.00
Current Gain/Loss: unopened

Entry on October -- at $--.--
Listed on October 14, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.75 million
New Positions: Yes, see below

Company Description

Why We Like It:
AVGO is in the semiconductor industry. They make a wide number of tech devices and supply some parts to Apple Inc. (AAPL) for their iPhones. We recently played AVGO with some success but our trade was stopped on the market's recent sell-off. AVGO has quickly recovered and is now breaking out to new all-time highs.

I am suggesting small bullish positions if AVGO can trade at $44.50. If triggered our multi-week target is $48.00. Nimble traders may want to try and buy a dip near $43.75 instead.

Trigger @ 44.50 *small positions*

Suggested Position: buy AVGO stock @ (trigger)

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

buy the 2014 Jan $45 call (AVGO1418a45) current ask $2.25

Annotated chart:



Scotts Miracle-Gro Co. - SMG - close: 55.93 change: +0.98

Stop Loss: 53.95
Target(s): 59.85
Current Gain/Loss: unopened

Entry on October -- at $--.--
Listed on October 14, 2013
Time Frame: 3 to 5 weeks
Average Daily Volume = 310 thousand
New Positions: Yes, see below

Company Description

Why We Like It:
SMG is in the basic materials sector. The mostly manufacture lawn and garden care products. This morning the market seemed to applaud SMG's purchase of the Tomcat consumer rodent control business from Bell Laboratories, Inc. Terms of the deal were not disclosed but shares of SMG rallied +1.78%.

Shares of SMG have been building a bullish trend of higher lows. Yet the last few weeks have seen the stock consolidate sideways below major resistance at the $56.00 level. Today's rally left SMG on the verge of a breakout. I am suggesting a trigger to open bullish positions at $56.15. If triggered our target is $59.85.

Trigger @ 56.15

Suggested Position: buy SMG stock @ (trigger)

Annotated chart: