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Play Updates

In Play Updates and Reviews

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Long Play Updates

Randgold Res. - GOLD - close: 22.67 chg: +0.74 stop: 21.65*new*

Gold stocks out performed the broader market today. The XAU gold index rose 2.6%. Shares of GOLD out performed even its peers with a 3.3% gain and a new six-week high. The move is definitely bullish although we'd like to have seen more volume behind it. Unfortunately, we're almost out of time. GOLD is due to report earnings on November 2nd. We are planning to exit tomorrow (Wednesday) at the closing bell to avoid holding over the earnings report. Please note that we're inching up our stop loss to $21.65.

Picked on October 25 at $22.35
Change since picked: + 0.32
Earnings Date 11/02/06 (unconfirmed)
Average Daily Volume: 369 thousand

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PDL BioPharma - PDLI - close: 21.13 chg: +0.32 stop: 20.59*new*

PDLI is still inching higher as we come closer to the end of our play. We only have two days left as we plan to exit on Thursday at the closing bell to avoid holding over the company's earnings report. More conservative traders may want to lock in a minor gain now. We're raising our stop loss to $20.59. Our target is the $22.25-22.50 range.

Picked on October 05 at $20.11
Change since picked: + 1.02
Earnings Date 11/02/06 (confirmed)
Average Daily Volume: 1.3 million

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Simpson Mfg. - SSD - close: 28.39 chg: -0.61 stop: 27.99

We still see no changes from our previous updates on SSD. At this moment we're waiting for a breakout over resistance at the $30.00 level (and its 100-dma). If triggered at $30.15 our target is the $34.00-35.00 range, under the 200-dma. Expect some resistance near $32.50.

Picked on October xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 10/26/06 (confirmed)
Average Daily Volume: 494 thousand
 

Short Play Updates

INVACARE - IVC - close: 21.83 change: +0.04 stop: 23.11

There is no change from our previous update on IVC. The stock produced a minor bounce but continues to look bearish after yesterday's breakdown under support at the $22.00 level. Our target is the $20.05-20.00 range. More aggressive traders may want to aim lower.

Picked on October 30 at $21.94
Change since picked: - 0.15
Earnings Date 10/26/06 (confirmed)
Average Daily Volume: 209 thousand

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Rambus Inc. - RMBS - close: 16.56 change: -0.07 stop: 17.25

We do not see any change from our weekend new play description on RMBS. Shares traded sideways in a narrow range on Tuesday. We want to short a breakdown under support at $16.00. We'll suggest a trigger to open positions at $15.90. If triggered our target is the $12.50 level. More aggressive traders may want to aim for the August lows closer to $10.00. Be advised that RMBS is very active in various legal battles over patents and intellectual property and bears (and bulls) are constantly at risk for an unexpected headline sending the stock surging one way or the other. More conservative traders may want to avoid this play.

Picked on October xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 10/19/06 (confirmed)
Average Daily Volume: 9.7 million

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Texas Instruments - TXN - close: 30.18 change: +0.02 stop: 32.05

TXN traded sideways in a narrow 40-cent range on Halloween. The stock remains in its bearish pattern of lower highs. We remain bearish and would use a new decline under $29.90 as another entry point to short the stock. Our target is the $27.50 mark. More conservative traders may want to adjust their stops toward the $31 level, which as broken support should act as new resistance.

Picked on October 27 at $29.90
Change since picked: + 0.28
Earnings Date 10/23/06 (confirmed)
Average Daily Volume: 14.8 million
 

Closed Long Plays

Chipotle Mex.Grill - CMG - cls: 59.90 chg: +0.85 stop: 56.40

Target achieved. CMG rallied into its earnings report and the end of the month with a 1.4% gain on strong volume. The high today was $60.25. Our target was the $59.90-60.00 range. After the closing bell today CMG reported earnings that were 9 cents better than analysts' estimates.

Picked on October 23 at $56.40
Change since picked: + 3.50
Earnings Date 10/31/06 (confirmed)
Average Daily Volume: 900 thousand

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D.R.Horton - DHI - close: 23.43 change: -0.14 stop: 22.99

We have been waiting on DHI to breakout over resistance at $25.50 for days now. Given the stock's recent weakness we're going to drop it as a bullish candidate. Traders may want to keep an eye on it for a decline under its 100-dma and the October 23rd low as a potential entry point for shorts. Our suggested entry point was $25.51 that DHI failed to hit.

Picked on October xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 11/14/06 (confirmed)
Average Daily Volume: 4.1 million

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W&T Offshore - WTI - close: 33.77 chg: +0.60 stop: 31.19

Target achieved. After a rocky start shares of WTI turned in a solid performance on Tuesday afternoon. Shares hit an intraday high of $34.00. Our target was the $34.00-35.00 range. More aggressive traders may want to aim higher due to WTI's relative strength.

Picked on October 13 at $30.21
Change since picked: + 3.56
Earnings Date 11/09/06 (confirmed)
Average Daily Volume: 534 thousand
 

Closed Short Plays

None
 

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