Long Play Updates
Bldg Materials - BMHC - close: 37.51 chg: -0.78 stop: 34.99
Friday's market sell-off put a crimp in BMHC's recent bullish breakout. The stock lost 2% and closed back under the $38 level. Fortunately, the P&F chart remains bullish and continues to point to a $51 target. We remain optimistic here. Readers can watch for a dip to and a bounce from the $36.00 level or a move back above the $38.00 level as a new entry point to buy the stock. However, we would be very cautious about initiating new positions if the major averages continue to be weak next week. Our target is the $44.00-45.00 range but we'll exit early on April 24th to avoid holding over the earnings report.
Picked on April 06 at $38.29
Digital Realty - DLR - close: 28.51 chg: +0.00 stop: 26.90
DLR displayed some relative strength on Friday by not participating in the market-wide sell-off. However, the stock is still struggling with resistance in the $28.50 region. We hesitate to suggest new long positions here. We would either wait for a dip to and a bounce from the $27.50 (maybe 27.00) level or look for a new high over $28.75. Our target is the $29.75-30.00 range. We do not want to hold over the early May earnings report.
Picked on March 29 at $28.04
Denbury Res. - DNR - close: 32.54 change: -0.28 stop: 29.95*new*
DNR weathered the Friday sell-off pretty well. The stock is holding on to its gains but the lack of upward momentum is turning the short-term technical oscillators bearish. We are not suggesting new positions right now. It looks like the next move might be lower toward the $30.00-30.50 region. Therefore more conservative traders may want to lock in some profits now. We would wait for the dip and signs of a bounce before initiating new positions. The P&F chart target remains bullish at $46.50. Our target is unchanged in the $33.50-34.00 range. Please note that we are going to raise our stop loss to $29.95.
Picked on March 26 at $30.47
Liberty Global - LBTYA - close: 20.92 chg: -0.17 stop: 19.95*new*
LBTYA's upward rally is stalling. The stock is struggling with technical resistance at the 100-dma. We suspect that the next move may be down back toward the $20.00 region or the 10-dma near 20.45. We would not suggest new bullish positions at this time. Wait for the dip first before considering new positions. Our target is the $21.95-22.25 range. We are adjusting our stop loss to $19.95.
Picked on April 02 at $20.47
LoJack Corp. - LOJN - close: 23.72 chg: -0.27 stop: 21.59
LOJN continues to consolidate sideways. The stock seems stuck between resistance at the 100-dma and support at the 50-dma. Traders have a choice. You can look for a bounce near the 50-dma (23.25) or look for a breakout over the 100-dma (24.25) as the next bullish entry point. However, we would suggest caution over starting new long positions with the major market indices looking poised for more selling. Our target is the $26.25-26.50 range. We do not want to hold over the early May earnings report.
Picked on March 29 at $23.62
Nordson Corp. - NDSN - close: 49.18 chg: -0.36 stop: 47.45*new*
NDSN tried to breakout over resistance at the $50.00 level on Friday morning but quickly lost its momentum. This left NDSN stuck in its recent trading range between $48.50 and the $50 level. The overall pattern remains bullish but traders have a choice. Look for a breakout over $50 again or a bounce from the $48.50 region as the next bullish entry point. We are going to raise our stop loss to $47.45, which is under technical support at the 50-dma. More conservative traders might want to consider tightening their stops toward $48.00. Our target is the $53.00-53.50 range. We do not want to hold over the late May earnings report.
Picked on March 29 at $49.25
Oil States Intl. - OIS - close: 38.84 chg: -0.83 stop: 35.75
Oil stocks did not escape the market's sell-off on Friday. Shares of OIS turned in a strong week so it was a prime target for some profit taking. Volume was a little above average on Friday so the profit taking may not be over yet. We would watch for a dip to the 10-dma near 37.30. If the 10-dma fails then OIS should find stronger support near the $36.00 level. We would not suggest new positions at this time. Wait and watch for a dip before considering new positions. Our target is the $41.00-42.00 range. We do not want to hold over the early May earnings report.
Picked on March 29 at $36.05
QuickLogic - QUIK - close: 6.29 chg: -0.11 stop: 5.45
Semiconductor stocks were a prime target for selling on Friday after their mid-week rally. The SOX lost 1.84% on Friday. Shares of QUIK closed with a 1.7% loss but that was after an intraday bounce from its lows near $6.00. We remain bullish on QUIK but the stock is looking short-term overbought so we hesitate to suggest new positions here. More conservative traders may want to lock in some profits now with the stock up more than 9.5% from our picked price. The P&F chart remains bullish and points to a $9.00 target. Given the market weakness we are going to adjust our target to the $6.95-7.25 range.
Picked on April 02 at $ 5.74
Trident Micro. - TRID - 30.01 chg: -0.50 stop: 27.49
TRID is still consolidating sideways under the $31.00 level. Overall the pattern remains bullish but TRID might be vulnerable to a pull back into the $27.75-28.00 region. We would prefer to see shares bounce from its first trendline of support near $29.00 (see chart). We are not suggesting new bullish positions at this time. Our target is the $33.00-33.50 range. We do not want to hold over the mid April earnings report.
Picked on March 26 at $30.50
Short Play Updates
N.Y.Times - NYT - close: 24.92 change: -0.49 stop: 25.85
Good news! NYT spiked higher on Friday morning but reversed course near $25.80 when shares hit the 21-dma. This failed rally grew into a bearish engulfing candlestick and NYT closed at a new multi-year low. Our target is the $24.00 level. We do not want to hold over the April 13th earnings report.
Picked on March 22 at $25.55
Closed Long Plays
Closed Short Plays
Illumina - ILMN - close: 25.95 chg: +3.87 stop: 25.01
We have been stopped out of ILMN. Friday morning, before the opening bell, the company announced a positive earnings pre-announcement. ILMN expects profit and revenues to come in above previous guidance given in February. Shares of ILMN gapped open at $24.00 and the short-squeeze pushed it to $25.95. We would have been stopped out at $25.01.
on April 03 at $23.45
Tribune Co. - TRB - close: 27.60 change: +0.42 stop: 29.36
We are suggesting that readers exit early in TRB. The company is due to report earnings on Thursday, April 13th and we do not want to hold over the report. That only gives us three days and suddenly the stock is showing relative strength. The overall trend remains bearish but we've been warning about an oversold bounce for days now. We don't want to see TRB rebound now and erase any more potential gains.
Picked on March 19 at $29.36