Long Play Updates
Burlington Coat - BCF - close: 39.60 chg: +0.28 stop: 36.45
BCF appears to have confirmed Thursday's breakout over resistance at the $39.00 level with another gain on Friday. Volume was rising into the closing bell on Friday as the stock pushed higher. That's bullish for next week and we would expect the normal seasonal bullishness to begin to lift all the retailers into the holidays. This looks like a new bullish entry point. Our target is the $43.50-44.00 range.
Picked on October 24 at $38.90
Csk Auto - CAO - close: 15.47 change: -0.28 stop: 14.75
CAO appears a bit schizophrenic with the choppy up and down over the past ten days. The good news is that this consolidation is taking place above the simple 50-dma and the $15.00 level both of which should remain as short-term support. The bad news is the lack of upward momentum is pulling the technical indicators lower. We hesitate to open new positions here but traders might consider another bounce from the $15.25 level as a new entry point. Our target is the $17.50 mark but we only have a few weeks. We do not want to hold over the early December earnings report.
Picked on November 02 at $15.58
Intel Corp. - INTC - close: 25.13 chg: -0.11 stop: 23.45
The rally in INTC has stalled under resistance at its simple 100-dma. That's okay because shares look short-term overbought and due for a dip. Currently the 200-dma near $25.00 should be short-term support but we suspect that INTC could see profit taking back toward the $24.50 region or even toward the $24.20 region near its 10 and 50-dma. We are not suggesting new bullish positions at this time. Our year-end target is the $26.00-26.50 range.
Picked on November 06 at $ 23.99
IPC Holdings - IPCR - close: 29.52 chg: +0.51 stop: 27.75 *new*
IPCR rallied with the markets on Friday after testing short-term support at the simple 10-dma on Thursday. The stock is poised to make another run toward resistance at the $30.00 level and our target in the $29.95-30.00 range. We are not suggesting new bullish positions although if you think IPCR can breakout over the $30 mark this does look like an entry point. We are raising our stop loss to $27.75.
Picked on November 02 at $28.15
Patterson Companies - PDCO - cls: 42.93 chg: +0.18 stop: 39.99*new*
PDCO continues to creep higher and closer to our target in the $44.00-45.0 range. The company also confirmed that it will report earnings on the morning of November 23rd. That gives us about a week and a half before we have to exit. We are not suggesting new bullish positions here. We are raising the stop loss to $39.99.
Picked on October 30 at $40.85
VCA Antech - WOOF - close: 27.12 chg: +0.29 stop: 25.90
WOOF did manage another rally on Friday but the upward momentum stalled near the top of its recent gap down. That doesn't bode well for the short-term future and we expect shares to pull back again into the $26.00-26.50 region. Traders can use another bounce from the $26.00 level as a new bullish entry point. We are going to target a rise into the $29.90-30.00 range. Our time frame is seven weeks.
Picked on November 09 at $26.74
Short Play Updates
Phazar - ANTP - close: 12.80 change: +0.15 stop: 15.01
ANTP managed another bounce on Friday but the stock closed off its highs for the session. We are detecting some conflicting signals but the overall pattern remains bearish. We're not suggesting new positions at this time and more conservative traders may want to tighten their stop loss near the simple 50-dma. Our six-week target is the $10.20-10.00 range. Remember, this is an aggressive, high-risk short.
Picked on November 03 at $13.32
Sanderson Farms - SAFM - close: 33.43 chg: -0.11 stop: 35.55
Strength in the broader market has put the brakes on SAFM's decline. The stock's pattern remains bearish but we're not suggesting new positions. Our target is the $32.00-31.00 range.
Picked on October 23 at $35.17
Tecumseh Prod. - TECUA - close 19.34 chg: +0.61 stop: 20.55
TECUA produced an oversold bounce on Friday and rallied back to the $19.50 level before paring its gains. Readers can watch for a failed rally here or under the $20.00 mark, if the bounce continues, as a new bearish entry point to short the stock. Our target is the $16.00 mark.
Picked on November 09 at $18.96
Closed Long Plays
Martek Biosciences - MATK - cls: 29.74 chg: -0.96 stop: 29.85
We are giving up on MATK. The stock has failed to breakout over resistance at the $32.00 level. Instead shares are moving the other way. If anything, Friday's breakdown under the $30.00 mark looks like a new bearish entry to short the stock. MATK never hit our trigger to go long so we're dropping the play unopened.
on November xx at $xx.xx <-- see TRIGGER
Closed Short Plays
Mentor Graphics - MENT - close: 8.87 chg: -0.06 stop: 8.36
MENT tried to breakout over resistance at the $9.00 level again on Friday. Shares look like they're building up steam for a successful breakout. Therefore we're going to switch sides. Instead of using a trigger to look for a breakdown we'll move to a trigger to catch a breakout. See MENT in our new longs section today. We're dropping MENT as a short candidate. Shares never hit our trigger at $7.80.
Picked on October xx at $xx.xx <-- see Trigger
Packaging Corp. - PKG - close: 20.58 chg: +0.35 stop: 20.55
PKG produced a spike higher on Friday morning that pushed shares to $20.83. This breakout over short-term resistance at its 100-dma (20.48) and the $20.50 level also hit our stop loss at $20.55. We could not find a catalyst for the show of strength other than the general market bullishness.
Picked on November 06 at $19.89
Sysco - SYY - close: 31.41 chg: +0.71 stop: 32.01
Uh-oh! Bears need to go to red alert here. The stock has broke out above resistance at the $31.00 level on strong volume. The move was fueled by a company press release. SYY announced they have raised their cash dividend by 13.3% to 17 cents a share and they announced a 20-million share buy back program. Currently there are more than 626 million shares outstanding. SYY closed with a 2.3% gain and looks poised to rally towards technical resistance at its 50-dma near $31.82. We are suggesting traders exit early right here to avoid further losses!
Picked on November 01 at $30.60