Long Play Updates
Amphenol - APH - cls: 35.75 change: +0.78 stop: 34.69
Wednesday's market rally helped APH reverse two days of losses but volume came in very low. This does look like a new entry point for long positions but readers might want to wait for a new high past resistance near $36.50. Our target is the $39.75-40.00 range.
Picked on June 10 at $35.74
Aracruz Celulose - ARA - cls: 63.52 chg: +2.22 stop: 57.99
ARA produced another big move with shares up 3.6%. The stock managed a new all-time high late this afternoon. We remain bullish but we're not suggesting new positions at this time. More conservative traders might want to tighten their stops! Our target is the $68.00-70.00 range.
Picked on June 03 at $62.00
EMC Corp. - EMC - close: 16.59 change: +0.29 stop: 15.99
EMC produced a decent bounce (+1.7%) but shares remain in a short-term bearish trend of lower highs and under short-term technical resistance at the 10-dma. We're not suggesting new positions just yet. Our target is the $18.50-20.00 range.
Picked on May 27 at $16.46
Fomento Economico - FMX - cls: 39.10 chg: +0.37 stop: 37.99
FMX produced a 0.9% gain but shares failed to breakout over the 10-dma again. That is a warning sign for the bulls. We're not suggesting new positions with FMX under $40.00. If the stock doesn't breakout over $39.50 soon we might cut it early. Our target is the $44.00-45.00 range.
Picked on June 03 at $40.44
Raytheon - RTN - close: 56.18 chg: +0.36 stop: 53.95
The bounce in RTN looks like a new entry point to buy the stock but we're still suggesting that readers consider a tighter stop loss. Our target is the $59.75-60.00 range.
Picked on June 03 at $56.17
St. Mary Land - SM - cls: 38.08 chg: +0.36 stop: 36.95
SM continues to bounce and the close over $38.00 looks like a new entry point to go long the stock. More conservative traders may want to wait for a rise past $38.50. Our target is the $43.50-44.00 range.
Picked on June 04 at $38.51
Encore Wire Corp. - WIRE - cls: 29.80 chg: +0.52 stop: 27.95
WIRE is still stuck under resistance at $30.00. Aggressive traders might want to jump in right here. We're suggesting readers wait for a new breakout over $30.00 or over $30.45 before considering new positions. The Point & Figure chart suggests a $46 price target. We are targeting the $32.50-33.00 range.
Picked on May 27 at $29.26
Short Play Updates
AMB Properties - AMB - cls: 56.23 change: +1.26 stop: 58.26
Several of the REIT stocks soared on Wednesday after new buyout and takeover rumors fluttered through the sector. Shares of AMB bounced 2.2%, which was just enough to recoup yesterday's losses. A failed rally under $57.00 could be a new entry point for shorts but we would be careful if the major market indices continue to rally. Our target is the $52.00-50.00 range.
Picked on June 11 at $ 56.21
Bolt Tech. - BTJ - cls: 38.02 chg: +2.07 stop: 42.01
Oil stocks got a boost today with another rebound in crude oil futures. Shares of BTJ, which crashed yesterday and almost hit our target, rebounded sharply today rising 5.7%. Watch for a new failed rally under $40.00 as a new entry point for shorts. More conservative traders may want to lower their stop loss toward $40.00. Our target is the $35.50-35.00 range.
Picked on June 11 at $ 39.16
Broadcom - BRCM - cls: 30.46 change: +0.36 stop: 31.65
We don't see any changes from our previous comments on BRCM. At this time we're waiting for a new breakdown. We want to see a new low under the late May lows. Therefore we're suggesting a trigger to short BRCM at $29.75. If triggered our target is the $27.00-26.00 range. We do not want to hold over the mid July earnings report. FYI: One of the larger risks with shorting BRCM will be any sort of headline-making news events in the legal battle between BRCM and QCOM.
Picked on June xx at $xx.xx <-- see TRIGGER
Continental Airlines - CAL - cls: 33.48 chg: -0.62 stop: 36.26
Another rise in oil under mined any rebound in the airlines. CAL lost 1.8% and closed at a new multi-month low. Volume came in strong again, which is bearish. We are suggesting shorts here although CAL is arguably oversold. A bounce back toward the $35.50-35.75 zone might be a new entry point if CAL tries to "fill the gap". Our target is the $30.50-30.00 range. We do not want to hold over the mid July earnings report.
Picked on June 12 at $34.10
CIT Group - CIT - cls: 58.54 chg: +0.37 stop: 60.05
The market's big bounce did not provide a great environment for CIT to slip lower. Instead shares reversed midday and look poised to bounce toward $59 or higher. Wait and watch for a failed rally under $60 before considering new shorts. Our target is the $55.25-55.00 range. We'll suggest a stop loss at $60.05 but more conservative traders might want to use $59.65.
Picked on June 12 at $58.17
Healthcare REIT - HCN - cls: 41.47 chg: +0.63 stop: 43.01
HCN managed a 1.5% bounce but remains under resistance (broken support) at the $42 level. A failed rally near $42 could be used as a new entry point for shorts. Our target is the $38.50-38.00 range. More conservative traders may want to use a tighter stop loss.
Picked on June 11 at $ 41.73
IAC/InterActive - IACI - cls: 33.61 chg: +0.65 stop: 34.35
Today's 1.9% bounce in IACI negates the previous three-day bearish reversal pattern. However, we're not willing to give up just yet. Readers can wait for a new relative low before considering new bearish positions. We do see potential support in the $31.50 zone but it's hard to pinpoint. Our target is the $30.35-30.00 range.
Picked on June 12 at $32.96
Monster Worldwide - MNST - cls: 45.25 chg: +0.84 stop: 46.26
Warning! MNST has produced a bullish reversal. The stock actually created a bullish engulfing candlestick pattern. Now normally these patterns need to see another day of confirmation but we suggest that more conservative traders seriously consider just exiting now if you opened positions this morning. We're not suggesting new shorts until MNST trades under $44.25 again.
Picked on June 12 at $44.41
Staples Inc. - SPLS - cls: 24.31 chg: -0.00 stop: 25.76
SPLS closed unchanged on Wednesday after producing its fourth failed rally under the $24.75 level. The bears seem to have a real lid on the stock. More conservative traders may want to lower their stop losses.
Picked on May 27 at $24.40
U S T Inc. - UST - close: 53.23 chg: +0.39 stop: 55.11
We don't see any changes from our previous comments on UST. At this time we're not suggesting new positions. UST has already hit our target in the $52.60-52.50 range. Now we're aiming for the $50.50-50.00 zone.
Picked on May 23 at $54.96
Closed Long Plays
McGrath RentCorp. - MGRC - cls: 32.10 chg: +0.20 stop: 31.29
MGRC hit our new stop loss at $31.29 midday. Yesterday we were worried that Tuesday's session was a bull trap and shares were reversing lower so we raised our stop. The stock dipped to $31.23 and then bounced back sharply. We would watch for a new rise past $32.50 as a new entry point to go long the stock. Remember, shares have an above average amount of short interest and the stock could see a short squeeze.
Picked on June 12 at $32.31
Closed Short Plays
Flamel Tech. - FLML - cls: 25.55 change: +0.92 stop: 26.05
Most quote services are going to tell you that the intraday high for FLML today was $26.40. That looks like a bad tick. Pull up an intraday chart on FLML and the high was $25.76. While we haven't technically been stopped out yet we're going to play it like we were. It doesn't look good for the bears anyway after today's 3.75 rebound.
Picked on June 10 at $24.25