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Play Updates

In Play Updates and Reviews

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Long Play Updates

E*Trade - ET - close: 23.26 change: -0.16 stop: 22.34*new*

This looks like bad news for ET. The post-FOMC reaction in the stock saw shares spike to $24.10 and then quickly reverse. Not only is this a failed rally near the $24 level but it's a failed rally/bearish reversal at its 100-dma. We are not suggesting new plays and we're raising our stop loss to $22.34, which is the bottom of its recent trading range. More conservative traders may want to raise their stop even higher.

Picked on August 04 at $23.61 *gap higher*
Change since picked: - 0.35
Earnings Date 07/19/06 (confirmed)
Average Daily Volume: 5.3 million


Highland Hospitality - HIH - cls: 13.63 chg: -0.11 stop: 13.25

HIH also sold off following the FOMC announcement and shares look poised to move lower. We're not suggesting new plays and more conservative traders may want to tighten their stops. Our target is the $14.90-15.00 range.

Picked on August 04 at $13.85
Change since picked: - 0.22
Earnings Date 07/27/06 (confirmed)
Average Daily Volume: 388 thousand

Short Play Updates

Juniper Networks - JNPR - cls: 12.92 chg: -0.08 stop: 14.01

JNPR hit another new relative low today but tomorrow looks like another story. After the closing bell, larger rival Cisco Systems (CSCO) posted earnings that were better than expected. Shares of CSCO were trading higher after hours and it's affecting JNPR, which was trading around $13.30 in after hours. At $13.30 JNPR would be above short-term technical resistance at its simple 10-dma. We would expect a gap open higher tomorrow. We're leaving our stop loss at $14.01, since $14 is still overhead resistance but more conservative traders may want to adjust their stop loss to $13.75 (breakeven) or $13.51.

Picked on July 21 at $13.75
Change since picked: - 0.83
Earnings Date 07/19/06 (confirmed)
Average Daily Volume: 13.1 million


UAL Corp. - UAUA - close: 24.78 chg: -0.17 stop: 27.01

UAUA did not see any bullish follow through on yesterday's show of strength but there was talk today of the latest airfare increase sticking as consumers absorb the higher prices. Overall airlines were weaker with the XAL index sliding 1.48%. We would watch for a bounce towards the $26.00 level, which as broken support should act as near-term overhead resistance. Our target is the $22.00-20.00 range.

Picked on August 01 at $25.70
Change since picked: - 0.92
Earnings Date 07/31/06 (confirmed)
Average Daily Volume: 1.8 million


Meridian Biosci. - VIVO - cls: 20.27 chg: -0.03 stop: 22.05

There are still no changes from our previous updates on VIVO. Look for a decline under $20.00 or last week's low at $19.78 before considering new bearish short positions. Our target is the $18.15-18.00 range since the $18.00 level was support last year. FYI: the P&F chart shows a triple-bottom breakdown sell signal with a $16 target.

Picked on July 23 at $20.94
Change since picked: - 0.67
Earnings Date 07/20/06 (confirmed)
Average Daily Volume: 175 thousand


Watson Wyatt Wld - WW - close: 32.15 chg: -0.31 stop: 33.19*new*

WW produced a failed rally at its descending 10-dma this morning. The stock now looks poised to move lower, which is an improvement from yesterday. We're lowering our stop loss to breakeven at $33.19. Our target is the $31.50-31.00 range. Please note that we plan to exit on Wednesday, August 9th at the closing bell to avoid holding over the company's earnings report due out August 10th.

Picked on July 16 at $33.19
Change since picked: - 1.04
Earnings Date 08/10/06 (confirmed)
Average Daily Volume: 216 thousand

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