Long Play Updates
Adobe Systems - ADBE - close: 40.95 change: +0.21 stop: 38.34
Another day, another gain for shares of ADBE. The stock is now up five days in a row. While the momentum is great it may be time for a short-term pull back. If you're looking for a new position consider waiting for a dip toward $40.00 or its 50-dma near $39.70. Our short-term target is the $43.00-44.00 range. More aggressive traders may want to aim higher since the P&F chart points to a $51 target.
Picked on February 18 at $40.27
Aetna - AET - close: 45.83 change: -0.49 stop: 42.95
Healthcare stocks suffered some minor profit taking and AET slipped just over 1% following a strong six-day rally. A dip back toward $45 or the $44 levels could be used as a new entry point to buy the stock although a pull back all the way to the $44 region would definitely pull the technical indicators toward new bearish signals. Our target is the $49.00-50.00 range. FYI: The P&F chart points to a $65 target.
Picked on February 18 at $45.61
EchoStar - DISH - close: 42.35 chg: -0.82 stop: 40.38
Ouch! DISH suffered a 1.89% pull back on Wednesday. The move produced a bearish engulfing (reversal) candlestick pattern and on big volume. The only news we could find that might explain such a sell-off was a press release late this afternoon announcing that Forgent Networks had won an intellectual property case in federal course against twelve companies regarding digital recorder playback technology. DISH was one of the companies listed as a defendant. We don't know if this is a material news event of if traders just used it as an excuse to take profits following DISH's recent highs. The move is a bearish reversal and more conservative traders may want to exit now to lock in a gain. Our target is the $43.50-44.00 range.
Picked on February 04 at $40.38
eBay Inc. - EBAY - close: 33.50 change: +0.06 stop: 32.45
We do not see any changes from our previous comments on EBAY. We are still waiting for a breakout over resistance near $34.00. Our suggested trigger to go long the stock is at $34.15. If triggered our target is the $37.50-38.00 range.
Picked on February xx at $xx.xx <-- see TRIGGER
Intl. Speedway - ISCA - cls: 54.30 chg: +0.02 stop: 52.64
Warning! ISCA hit our trigger to open positions but failed to hold its gains over resistance and the move looks like a short-term bearish reversal. The stock rallied to $54.78 this morning, hitting a new one-year high, but then quickly reversed and closed almost unchanged on the session. Volume was very low in spite of the volatility. The play is now open and traders who waited to open plays have a choice. Watch for a dip back towards the 10-dma (around $53.65) and buy a bounce or wait for a new relative high over $54.80. Our concern is that today's failure to hold the breakout increases the possibility that ISCA is forming a bearish double top with the November peak. Our target is the $58.50-60.00 range. The P&F chart looks pretty bullish with a breakout over resistance and a buy signal that points to a $75 target.
Picked on February 21 at $54.51
Ross Stores - ROST - close: 34.45 change: +0.01 stop: 31.45
Retail stocks struggled to post gains as investors reacted to the higher than expected CPI news and another surge in crude oil prices. Fortunately, the profit taking in the sector seemed minor. Traders bought the dip in ROST near $34.00 this afternoon and the move looks like a potential entry point for new positions. Our target is the $36.50-37.00 range. FYI: The P&F chart points to a $54 target.
on February 14 at $33.75
Titanium Metals - TIE - cls: 37.88 change: +0.74 stop: 32.75
Metal-related stocks were generally higher on Wednesday and shares of TIE posted a 1.99% gain on above average volume, which tends to be a bullish sign. We don't see any changes from our weekend comments. Our target is the $39.50-40.00 range. The P&F chart shows a triple-top breakout buy signal with a $54 target.
Picked on February 14 at $35.24
Short Play Updates
Avid Tech. - AVID - close: 33.82 chg: +0.25 stop: 36.05
We are not suggesting new positions in AVID. The stock is still trying to bounce and looks like it will challenge and breakout over the $34.00 level soon. More conservative traders may want to exit early or tighten their stops toward $35.00 or even the $34.00 level. We warned readers to expect a bounce near $32.00 but it's growing stronger and strength in the broader markets doesn't help the bears here in AVID. The P&F chart points to a $29.00 target. Our target is the $30.50-30.00 range. FYI: Readers should note that the most recent (January) data puts short interest at 12.2% of AVID's 40.9 million-share float, which is relatively high and raises the risk of a short squeeze.
Picked on February 05 at $34.65
Comptr.Prog.&Sys - CPSI - cls: 29.56 chg: -0.02 stop: 31.26
CPSI failed to move on Wednesday, closing almost unchanged on the session. We do not see any changes from our previous comments. More conservative traders may want to exit early since CPSI has not seen any follow through lower - or consider tightening your stop loss toward $30.00. We suspect that CPSI will make another rally attempt toward $30 or $31. We would wait and watch for another failed rally at either level before considering new short positions. Our concern is that with the major market indices trading higher any sort of rebound in CPSI could spark a short squeeze as fearful bears rush to cover. Our target is the $25.50-25.00 range. The P&F chart points to an $18 target. The most recent (January) data puts short interest at 10.3% of the company's 9.3 million-share float. That is a high amount of short interest and with such a small float it really increases the risk of a short squeeze so trade cautiously!!
Picked on February 06 at $29.52
Cash Amer. - CSH - close: 42.74 chg: -0.34 stop: 44.55
Technical indicators continue to look bearish on CSH but someone keeps buying the dips near $42.00. Bulls bought the dip again midday. We would wait for a new failed rally under $44.00 or a new decline under $41.90 before considering new positions. Our target is the $39.00-38.50 range, which is where we expect CSH to meet up with its 200-ema again. The P&F chart points to a $33.00 target.
Picked on February
11 at $42.51
Teledyne Tech - TDY - close: 38.09 change: +0.29 stop: 39.05
TDY posted a 0.7% gain and closed right on its simple 200-dma. The stock is trading just under its trendline of resistance. More conservative traders may want to inch their stops down toward $38.50 or just exit early to limit any losses. We will consider an early exit if we see a rise or a close over $38.50. Currently our target is the $34.25-34.00 range. The P&F chart has a triple-bottom breakdown sell signal with a $33 target. FYI: The latest (January) data has short interest at 3.7% of the company's 31.3 million-share float.
Picked on January 28 at $37.80
Closed Long Plays
Closed Short Plays