NEW BULLISH Plays

Archer Daniels Midland - ADM - close: 42.48 change: +0.54

Stop Loss: 40.85
Target(s): 47.00
Current Gain/Loss: unopened

Entry on December -- at $--.--
Listed on December 09, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 4.8 million
New Positions: Yes, see below

Company Description

Why We Like It:
ADM is in the consumer goods sector. The company manufacturers a number of different food and farm products like vegetable oil, corn sweeteners, flour, biodiesel, and plenty more. Shares hit new multi-year highs in early November but then spent the next six weeks consolidating sideways in the $40-42 zone. Today's move is a bullish breakout through the top of its trading range at $42.00.

I am suggesting a trigger to open bullish positions at $42.65. If triggered our target is $47.00. More aggressive traders may want to aim higher since the Point & Figure chart for ADM is bullish with a $67.00 target.

Please note that traders in ADM should be aware that any stocks related to the farming industry could be volatile this week. The current U.S. government farm bill is due to expire on January 1st, 2014. Right now the democrats and republicans have not agreed on a new one. Congress plans to adjourn for their Christmas break after this Friday, December 13th. Investors may want to use small positions to limit their risk.

Trigger @ 42.65

Suggested Position: buy ADM stock @ (trigger)

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

Buy the 2014 Jan $42 call (ADM1418a42) current ask $1.90

Annotated chart:



CareFusion Corp. - CFN - close: 40.24 change: +0.57

Stop Loss: 38.90
Target(s): 44.00
Current Gain/Loss: unopened

Entry on December -- at $--.--
Listed on December 09, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.35 million
New Positions: Yes, see below

Company Description

Why We Like It:
CFN is in the healthcare sector. The company provides various healthcare products and services. The company's latest earnings report was bullish with CFN beating on both the top and bottom line. Investors have been buying the dips since its August low. Now CFN is breaking out past round-number resistance at $40.00 to hit new all-time highs.

I am suggesting a trigger to open bullish positions at $40.50. If triggered our multi-week target is $44.00.

Trigger @ 40.50

Suggested Position: buy CFN stock @ (trigger)

Annotated chart: