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In Play Updates and Reviews

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Long Play Updates

Aeropostale - ARO - close: 30.01 change: +0.21 stop: 29.99

Retail stocks managed to rally despite a worse than expected retail sales number this morning. Shares of ARO responded by bouncing from a morning test of support near its simple 50-dma. We want to catch a breakout through the top of the $28.00-31.00 trading range. We're suggesting a trigger at $31.21 to open long positions. If triggered then we'll target a rally into the $33.95-34.50 range.

Picked on March xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 03/09/06 (confirmed)
Average Daily Volume: 1.1 million


BE Aerospace - BEAV - close: 24.41 change: +0.10 stop: 22.95

Defense and aerospace stocks closed in the green along with most of the market but the group definitely under performed. BEAV seems to be showing relative weakness especially after this morning's announcement. United Airlines announced that they had selected BEAV to " retrofit the premium class sections of its entire international wide-body fleet. B/E will design and manufacture seating and a variety of related cabin furniture for the airline industry's largest retrofit program ever awarded, initially valued at over $165 million. Deliveries are expected to begin in 2007." (source: Business wire). Overall the stock's pattern remains bullish but enter new positions cautiously. Our target is the $26.00-26.50 range.

Picked on March 12 at $24.25
Change since picked: + 0.16
Earnings Date 05/05/06 (unconfirmed)
Average Daily Volume: 800 thousand


Hewlett Packard - HPQ - cls: 33.40 chg: +0.18 stop: 31.99

HPQ is still inching higher now up three days in a row. Traders might want to consider bullish positions here. We are targeting a move into the $35.00-35.50 range.

Picked on February 22 at $32.94
Change since picked: + 0.23
Earnings Date 02/15/06 (confirmed)
Average Daily Volume: 13.5 million


IAC/InterActive - IACI - close: 31.08 chg: +0.70 stop: 28.99

Something lit a fire under shares of IACI this morning. We cannot find the news or catalyst to explain the surge higher but we're not complaining. Volume came in just slight above the average. More importantly the stock has confidently broken out above resistance in the $30.00-30.50 region and cleared potential resistance near $31.00. The move over $31.00 has produced a new triple-top breakout buy signal on the P&F chart that points to a $40 target. Our target for IACI is the $32.90-33.00 range.

Picked on March 03 at $30.31
Change since picked: + 0.77
Earnings Date 02/08/06 (confirmed)
Average Daily Volume: 2.1 million


Synopsys - SNPS - close: 22.29 change: +0.31 stop: 21.58

We are finally starting to see some signs of life from SNPS. The stock stair-stepped higher today and the afternoon rally was fueled by a rise in volume. Overall volume remains anemic. Technical oscillators are bullish and its MACD is nearing a new buy signal. We would use today's gain as a new bullish entry point to go long. Our target is the $24.40-24.50 range.

Picked on March 02 at $22.49
Change since picked: - 0.20
Earnings Date 02/15/06 (confirmed)
Average Daily Volume: 1.4 million

Short Play Updates

Amkor Tech. - AMKR - close: 8.53 change: +0.04 stop: 9.01

Double-check your stop losses and make sure you're comfortable with the amount of risk you're taking in AMKR. The semiconductor sector helped lead the rally in tech stocks today. The SOX index bounced from technical support at the 100-dma and round-number support at the 500 level. After days of selling pressure the group is producing an oversold bounce. The question is how long will it last? We're surprised that AMKR did not bounce higher today. We're not suggesting new bearish positions at this time. More conservative traders may want to tighten their stop losses or exit altogether.

Picked on March 09 at $ 8.50
Change since picked: + 0.03
Earnings Date 05/10/06 (unconfirmed)
Average Daily Volume: 3.2 million


Baidu.com - BIDU - close: 48.70 change: -0.96 stop: 52.11

Thankfully shares of BIDU continue to show relative weakness. The stock failed to participate in today's market-wide rally and its MACD appears to have produced a new sell signal. This remains a risky play and given the market environment we're not suggesting new positions. We are going to target the $41.00-40.00 range. More conservative traders might want to exit near the February lows (around $44).

Picked on March 09 at $ 48.32
Change since picked: + 0.38
Earnings Date 05/23/06 (unconfirmed)
Average Daily Volume = 788 thousand


Hilton Hotels - HLT - close: 23.00 chg: -0.03 stop: 24.06

HLT displayed relative weakness today too by failing to rally wth the rest of the market. The stock dipped to $22.76 and managed to rebound almost to unchanged. That suggests an intraday bullish reversal so expect a bounce tomorrow, probably toward the $23.50 region near the simple 10-dma. We're aiming for a decline into the $22.25-22.00 range.

Picked on March 02 at $23.98
Change since picked: - 0.99
Earnings Date 05/02/06 (unconfirmed)
Average Daily Volume: 2.9 million


Hovnanian - HOV - close: 45.05 change: +2.11 stop: 46.11

Whoa! A pull back in bond yields fueled a huge rally in interest-rate sensitive homebuilders. HOV closed with a 4.9% gain near round-number resistance at the $45.00 mark. We are not suggesting new bearish positions at this time and more conservative traders may want to be eyeing the exit door!

Picked on March 05 at $44.85
Change since picked: + 0.20
Earnings Date 03/01/06 (confirmed)
Average Daily Volume: 972 thousand


Officemax - OMX - close: 28.95 chg: +0.16 stop: 29.41

Hang on! OMX continued to show weakness this morning and dipped to $28.49 before getting caught up in the market-wide rally. The move looks like a potential bullish reversal pattern so we are urging our readers to be cautious. Unfortunately, the dip this morning was low enough to hit our trigger to short the stock at $28.69. We are not suggesting new bearish positions at this time. Our target is the $27.10-27.00 range.

Picked on March 14 at $28.69
Change since picked: + 0.26
Earnings Date 05/04/06 (unconfirmed)
Average Daily Volume: 1.0 million

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