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Long Play Updates

Universal Health - UHS - close: 52.57 chg: +0.47 stop: 49.95

Healthcare stocks, which are traditionally seen as defensive equities, got a boost today after another round of market weakness. Shares of UHS posted their best close in months. Our target is the $56.00-57.00 range. The P&F chart points to a $64 target.

Picked on May 10 at $52.15
Change since picked: + 0.42
Earnings Date 04/27/06 (confirmed)
Average Daily Volume: 571 thousand
 

Short Play Updates

Blyth Inc. - BTH - close: 20.38 chg: +0.03 stop: 20.55

We do not see any changes from our weekend update. We're suggesting that readers be ready to catch the breakdown with a trigger to short the stock at $19.79, which is under the March low. If triggered we will target a decline into the $18.25-18.00 range since the $18.00 level has been support in the past. Keep in mind that we want to exit ahead of the late May earnings report.

Picked on April xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 05/24/06 (unconfirmed)
Average Daily Volume: 185 thousand

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Coach Inc. - COH - close: 30.64 chg -0.01 stop: 33.01

COH spent the session consolidating sideways in a relatively narrow range. It would not surprise us to see an oversold bounce soon. Be prepared for it. A failed rally under $32 could be a new entry point. Our target is the $28.25-27.50 range. More aggressive traders may want to aim lower since the P&F chart points to a $24 target.

Picked on May 11 at $31.45
Change since picked: - 0.81
Earnings Date 04/25/06 (confirmed)
Average Daily Volume: 2.3 million

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Hi-Tech Pharma - HITK - close: 21.04 chg: -0.18 stop: 24.01

HITK did not make much progress either direction today. We do not see any changes from our previous updates. We're not suggesting new shorts at this time. Our target is the $20.25-20.00 range.

Picked on May 10 at $22.91
Change since picked: - 1.87
Earnings Date 03/09/06 (confirmed)
Average Daily Volume: 154 thousand

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Juniper Networks - JNPR - cls: 16.89 chg: +0.02 stop: 18.01

JNPR tried to bounce but it stumbled, failing to trade over Friday's high. We would be somewhat careful about considering new positions here. The NWX networking index looks poised to produce an oversold bounce. If the NWX does bounce we'd expect JNPR to follow. Look for a failed rally under $17.50 or its 10-dma as a potential entry point. You'll notice that traders weren't making any big decisions today and volume came in about half the daily average. Our target is the $15.10-15.00 range.

Picked on May 12 at $16.89
Change since picked: - 0.00
Earnings Date 07/19/06 (unconfirmed)
Average Daily Volume: 11.2 million

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K-Swiss - KSWS - close: 27.99 chg: +0.12 stop: 29.01

We continue to urge caution here. KSWS was weak this morning with a gap down and a dip to $27.26 but shares immediately began to rebound. Wait for a failed rally before considering new positions. The 10-dma near $28.50 would be a good spot to look for short-term resistance. Our target is the $25.15-25.00 range. More aggressive traders may want to aim lower. The P&F chart points to a $21.00 target. Be advised that the most recent data puts short interest at 5.8% of KSWS' 27 million-share float. That raises the risk of a short squeeze.

Picked on May 12 at $27.45
Change since picked: + 0.54
Earnings Date 04/27/06 (confirmed)
Average Daily Volume: 300 thousand

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Psychiatric Sol. - PSYS - cls: 29.49 chg: +1.24 stop: 30.25

Enter your favorite cuss word right here:_____! We're looking at a worst-case scenario here with PSYS. The stock spiked lower this morning to hit our trigger at $27.75 opening the play and immediately began to rebound. The rebound was pretty healthy with shares closing up 4.3% on strong volume. We are not suggesting new positions and more conservative traders may want to bail out early. Right now we're watching the $30.00 level and its 10-dma near $30.10 to act as short-term resistance.

Picked on May 15 at $27.75
Change since picked: + 1.74
Earnings Date 07/26/06 (unconfirmed)
Average Daily Volume: 645 thousand

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Red Robin - RRGB - close: 43.15 chg: +0.04 stop: 45.05*new*

We have two days left. We will plan to exit on Wednesday afternoon near the closing bell. We are adjusting our stop loss to $45.05.

Picked on April 26 at $43.99
Change since picked: - 0.84
Earnings Date 05/18/06 (confirmed)
Average Daily Volume: 355 thousand

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Tiffany & Co. - TIF - close: 32.66 chg: -0.34 stop: 35.01

TIF lost another 1% today and volume came in above average. The low today was $32.34, which is getting pretty close to our target in the $32.25-31.75 range. Unfortunately, we need to warn readers that the stock looks poised to bounce tomorrow. The 10-dma under $34.00 should be short-term resistance. More conservative traders may want to lock in some gains now.

Picked on April 25 at $35.11
Change since picked: - 2.45
Earnings Date 03/28/06 (confirmed)
Average Daily Volume: 1.3 million

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Yahoo! - YHOO - close: 31.03 chg: +0.22 stop: 32.55

YHOO spent the session churning sideways and the stock closed with a minor gain to erase Friday's decline. The overall pattern remains bearish but more patient traders may want to wait for a bounce/failed rally under the 50-dma near $32.00 before initiating positions (or wait for a decline under $30.00-29.75). Our target is the $27.00-26.00 range. Readers should note that short interest is about 6% of YHOO's 1.2 billion-share float.

Picked on May 14 at $30.81
Change since picked: + 0.22
Earnings Date 07/26/06 (unconfirmed)
Average Daily Volume: 20.2 million
 

Closed Long Plays

Stone Energy - SGY - close: 44.63 chg: -1.52 stop: 45.95

A drop in crude oil to under $70.00 a barrel really undermined the energy sector today. Like a lot of stocks in the industry shares of SGY gapped open lower and continued to sell-off into the closing bell. Shares opened at $45.65, which is 30-cents under our stop loss.

Picked on May 07 at $47.41
Change since picked: - 2.78
Earnings Date 05/03/06 (confirmed)
Average Daily Volume: 560 thousand
 

Closed Short Plays

None
 

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