Editor's Note:

Additional Trading Ideas:

In addition to tonight's new candidate(s), consider these stocks as possible trading ideas and watch list candidates. Some of these may need to see a break past key support or resistance:

(bullish ideas)
DISH, ADM, HIG, WOOF, HUN, STX, CHD, GM, UNM,



NEW BULLISH Plays

Fifth & Pacific Companies, Inc. - FNP - close: 33.49 change: +0.22

Stop Loss: 31.99
Target(s): 38.50
Current Gain/Loss: unopened

Entry on December -- at $--.--
Listed on December 07, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.3 million
New Positions: Yes, see below

Company Description

Why We Like It:
FNP is in the consumer goods sector. Previously known as Liz Claiborne Inc. the company changed its name after selling the Claiborne brand to J.C.Penney Co. last year. The company operates multiple brands in the apparel and accessories industries. Back in October FNP agreed to sell its Juicy Couture brand. Now there is speculation that FNP is about to sell its Lucky Brand denim business. That would leave Kate Spade as FNP's largest remaining business and there are rumors that the Kate Spade brand is also a significant acquisition target.

Friday's high was $33.97. I am suggesting small bullish positions if FNP can trade at $34.05. More nimble traders may want to take a different tactic and try and buy a dip near FNP's rising 10-dma instead (currently near $33.05). We will list our initial stop loss at $31.99 but more conservative traders may want to use a stop closer to $32.75 instead. Our multi-week target is $38.50.

NOTE: I am listing the 2014 January call but if you're an option trader you may want to use the April calls instead.

Trigger @ 34.05 *small positions*

Suggested Position: buy FNP stock @ (trigger)

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

Buy the 2014 Jan $35 call (FNP1418a35) current ask $1.05

Annotated chart:



NEW BEARISH Plays

CGI Group, Inc. - GIB - close: $33.94 change: -0.60

Stop Loss: 35.25
Target(s): 28.50
Current Gain/Loss: unopened

Entry on December -- at $--.--
Listed on December 07, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 327 thousand
New Positions: Yes, see below

Company Description

Why We Like It:
GIB is in the technology sector. They are now infamous as the tech company that built the seriously flawed and "glitch" filled healthcare.gov website. The federal government healthcare website fiasco is a PR nightmare that could negatively impact GIB's ability to garner new business, especially new government contracts.

The stock is up about +50% for the year but shares have plunged in the last two weeks. Traders were quick to sell any rally attempt on Friday morning and GIB underperformed the market with a -1.7% decline in spite of the market's broad-based rally. GIB is now on the verge of breaking down below its longer-term trend of higher lows.

There is a decent amount of short interest in this name and thus GIB could be volatile. I am suggesting small positions to limit risk. We will use a trigger at $32.80 to launch bearish positions. GIB does have options but the spreads are too wide to trade them. If triggered at $32.80 we'll start with a stop loss at $35.25. Our target is $28.50.

Trigger @ $32.80 *small positions*

Suggested Position: short GIB stock @ (trigger)

Annotated chart: