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Long Play Updates

Bluelinx - BXC - close: 12.95 change: +0.49 stop: 11.90

BXC produced some excitement today. Before the opening bell BXC pre-announced positive earnings for its fourth quarter. Consensus estimates were at $0.07 for the quarter and BXC said they'll report earnings in the 44-50 cents range. The earnings report will come out in February. The stock shot higher and hit $14.18 before pulling back to almost fill the opening gap. Volume was huge at 4.9 times the daily average. We would either look for a dip and bounce from the $12.40-12.50 region or a new move over $13.20 as a new bullish entry point. Our target for BXC is the $15.00-15.50 range by late February through early March. FYI - the P&F chart points to a $25 target.

Picked on January 10 at $12.47
Change since picked: + 0.48
Earnings Date 02/15/06 (confirmed)
Average Daily Volume: 142 thousand

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Nexen Inc. - NXY - close: 56.72 change: +2.86 stop: 49.99*new*

Today was a very strong session for NXY. The stock broke out to new highs on above average volume to close with a 5.3% gain. More conservative traders may want to consider exiting right here for a win but then again the stock's close near its high for the session bodes well for tomorrow. We're raising the stop loss to $49.99. Our target is the $57.50-58.00 range.

Picked on January 11 at $52.11
Change since picked: + 4.61
Earnings Date 02/17/06 (unconfirmed)
Average Daily Volume: 424 thousand

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Patterson-UTI - PTEN - close: 38.33 change: +0.86 stop: 33.85

Oil service stocks were the best performing sector in the market today. Shares of PTEN added 2.29% and closed near a new high. Our target is the $39.85-40.00 range versus the P&F chart's target of $46.50.

Picked on January 17 at $36.85
Change since picked: + 1.48
Earnings Date 03/16/06 (unconfirmed)
Average Daily Volume: 3.2 million
 

Short Play Updates

Ansoft Corp. - ANST - close: 31.93 chg: -0.07 stop: 34.51

Good news! As of Friday it looked like ANST's oversold bounce wasn't over yet. Today's failure to bounce any higher is a good sign for our bearish play. That doesn't mean that ANST won't continue to rebound but the bulls are facing a tougher fight than we thought. Our target is the $27.70-28.00 range near its 200-dma.

Picked on January 19 at $32.71
Change since picked: - 0.78
Earnings Date 02/14/06 (unconfirmed)
Average Daily Volume: 104 thousand

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Baidu.com - BIDU - close: 56.30 change: -4.56 stop: 62.05 *new*

Our aggressive, high-risk short in BIDU has been opened. The stock has broken down below major psychological support at the $60.00 level today. The $60 level was the low on its IPO back in August. Our trigger to short the stock was at $59.75. We are going to lower our stop loss a couple of points to $62.05. Now that the play is open our target is the $52.00-50.00 range.

Picked on January 23 at $59.75
Change since picked: - 3.45
Earnings Date 03/16/06 (unconfirmed)
Average Daily Volume: 1.0 million

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Health Net - HNT - close: 48.69 chg: -0.87 stop: 51.05

Our new short on HNT is now open. The stock continued to breakdown on Monday and fell below technical support at the 100-dma. Our trigger to short the stock was at $48.95. Our target is the $45.00-44.00 range. We do not want to hold over the February 1st earnings report.

Picked on January 23 at $48.95
Change since picked: - 0.26
Earnings Date 02/01/06 (confirmed)
Average Daily Volume: 958 thousand

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Landstar System - LSTR - cls: 39.70 chg: -1.22 stop: 41.51*new*

LSTR continues to trade lower inside its narrow, descending channel. Today and Friday marked a failed rally at resistance and today's low appears to be a bounce from the bottom of its channel. We are going to lower our stop loss to $41.51. Our target is the $36.50-36.00 range above its simple 200-dma. We do not want to hold over the early February earnings report.

Picked on January 18 at $39.95
Change since picked: - 0.25
Earnings Date 02/02/06 (unconfirmed)
Average Daily Volume: 406 thousand

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MedImmune - MEDI - close: 33.18 change: +0.21 stop: 35.01

Double-check your stop loss placement. MEDI dipped to the $32.00 level and bounced in what looks like a one-day bullish reversal pattern. Expect shares to continue higher tomorrow and challenge short-term resistance near $34.00. We are not suggesting new positions. We do not want to hold any positions over the early February earnings report.

Picked on January 18 at $33.45
Change since picked: - 0.27
Earnings Date 02/02/06 (unconfirmed)
Average Daily Volume: 2.1 million

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PETsMART - PETM - close: 23.89 change: -0.19 stop: 25.01*new*

This morning before the opening bell PETS reported earnings that were better than expected. While PETS and PETM don't have quite the same business model the news still gave PETM some strength. The good news here is that the rally in PETM failed and the stock has closed under what was short-term support at the $24.00 level and its 100-dma. This looks like a new entry point for shorts. Our target is the $21.50-21.00 range. We are edging the stop loss down to $25.01.

Picked on January 22 at $24.08
Change since picked: - 0.19
Earnings Date 03/01/06 (unconfirmed)
Average Daily Volume: 1.2 million

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Travelzoo - TZOO - close: 20.38 change: -0.64 stop: 23.05

TZOO continued to show relative weakness on Monday with another 3% decline toward the $20.00 level. There is a chance that TZOO might bounce from the $20 level so watch for a failed rally under $22.00 if it does bounce. Our target is the $17.25-16.50 range. We do not want to hold over the early February earnings report.

Picked on January 22 at $21.02
Change since picked: - 0.64
Earnings Date 02/02/06 (confirmed)
Average Daily Volume: 309 thousand
 

Closed Long Plays

Amer. Power Conv. - APCC - cls: 23.05 chg: -0.02 stop: 22.90

We have been stopped out at $22.90. The $23.00 level held up as support for most of the session except for a brief intraday dip near the opening bell.

Picked on January 08 at $23.57
Change since picked: - 0.52
Earnings Date 02/02/06 (unconfirmed)
Average Daily Volume: 1.5 million
 

Closed Short Plays

Brunswick - BC - close: 40.20 change: +0.13 stop: 41.01

Today's failed rally near $40.70 looks like a good sign for the bears but BC is still holding above support at the $40.00 level. The failure to breakdown today and the fact that we are running out of time before the company's earnings report on Thursday are why we are dropping BC as a candidate. Technically the stock looks pretty bearish but it's not worth the risk to hold over the earnings report, especially with a short position.

Picked on January xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 01/26/06 (confirmed)
Average Daily Volume: 746 thousand
 

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