Long Play Updates
Helmerich Payne - HP - cls: 31.75 chg: +0.25 stop: 28.85
Please read tonight's Play Editor's note. Crude oil ticked higher but the move failed to inspire any strength in energy stocks. Both the OIX oil index and OSX oil services index ended lower. These two oil indices produced failed rally patterns today, which is bad news for the bulls. This group could see more short-term weakness. Shares of HP temporarily traded above its bearish trend of lower highs. However, the rally reversed under resistance at its 21-dma and 100-dma. This move is short-term bearish and we would expect HP to dip back toward support in the $31.00-30.00 zone. Wait for a bounce before considering new positions. We have two targets. Our first target is the $34.50-35.00 range, which looks like resistance. Our second, more aggressive target is the $36.00-36.50 zone near its highs. FYI: Most quote services will tell you that HP rose 0.25 today. The real move was only 20 cents. Look at historical prices and you'll see that HP closed at $31.55 on Friday.
Picked on August 12 at $31.55
Patterson-UTI - PTEN - cls: 22.67 change: +0.31 stop: 20.74
PTEN out performed the broader market and most of its peers with a 1.3% gain today. Yet the move may turn out to be bearish. The stock closed off its intraday highs in what looks like a short-term failed rally pattern. We would expect a dip toward $22.50 at a minimum and probably closer to the $22.00 region. Wait for a bounce before considering new bullish positions. Our first target is the $24.85-25.00 range.
Picked on August 12 at $22.36
Starbucks - SBUX - cls: 27.81 chg: -0.23 stop: 26.75
There is no change from our previous comments on SBUX. We are still waiting for a breakout over resistance and we're suggesting a trigger to buy the stock at $28.81. This is above resistance at $28.50 and its 100-dma. However, more aggressive and nimble traders may want to consider buying SBUX right here. The stock dipped toward short-term support near $27.50 and held. Shares were on the rebound late this afternoon. If you opened positions now you could use a tight stop under $27.50. Before you consider new bullish positions please read tonight's play editor's note.
Picked on August xx at $xx.xx <-- see TRIGGER
Teva Pharma - TEVA - cls: 43.14 change: -0.19 stop: 41.45
Be ready for a dip in TEVA. The stock rallied toward resistance at $44.00 and failed. We would now expect another pull back toward the $42.00 level and its rising 50-dma. Wait and watch for a bounce before considering new positions. More conservative traders may want to wait for a rise past $44.50 before initiating new positions. Our conservative target is the $45.85-46.00 range due to the old all-time high. Our secondary target is the $47.50-50.00 range.
Picked on August 12 at $43.33
Short Play Updates
Dell Inc. - DELL - cls: 26.70 change: +0.25 stop: 28.05
DELL posted a 0.9% gain on Monday but the move actually looks like another bearish entry point. Shares produced a failed rally inside its declining channel. Our target is the $25.75-25.50 range near its 200-dma. More aggressive traders may want to aim toward the $24.75 region.
Picked on August 06 at $26.95
Motorola - MOT - cls: 16.85 change: +0.24 stop: 17.55
MOT traded higher most of the session but struggled with the $17.00 level as overhead resistance. The larger trend is still bearish but short-term it looks like MOT is trying to find a bottom. We would hesitate to open new positions at this time. If you're feeling conservative you could tighten your stop loss toward Thursday's high (17.23). Our target is the $15.10-14.50 range.
Picked on July 29 at $16.95
NTELOS - NTLS - cls: 25.24 change: +0.63 stop: 26.55 *new*
The relative strength in NTLS today is a little discomforting. We warned readers about Friday's bullish engulfing candlestick-style pattern. Today would be a bullish confirmation. However, NTLS still has a bearish trend of lower highs. We are going to lower our stop loss to $26.55. We're not suggesting new positions at this time. Our target is the $22.25-22.00 range.
Picked on August 05 at $25.76
Riverbed Tech. - RVBD - cls: 42.22 change: +1.11 stop: 45.51
RVBD is still trying to bounce and shares posted a 2.7% gain today. If there was any good news it was the below average volume on the move. RVBD still has a bearish trend of lower highs and a failed rally under $45.00 or its 50-dma near 44.00 could be used as a new entry point for shorts. Our target is the $36.00-35.00 range. The P&F chart points to a $35 target.
Picked on August 05 at $41.79
UnitedHealth - UNH - cls: 49.04 change: +1.56 stop: 50.01
Bullish reversal alert! A Goldman Sachs analyst upgraded their view on the managed healthcare stocks and UNH rose sharply. The combination of Friday's big bounce and today's upgrade sent UNH to an intraday high of $49.99. Round-number resistance at the $50.00 level held - for now. We are not suggesting new bearish positions at this time even though UNH pared its gains from today's high. More conservative traders may want to exit early. Our target is the $45.25-45.00 range. FYI: The weekly chart now sports a three-candle bullish reversal pattern.
Picked on July 26 at $49.95
Energy Sector SPDR - XLE - cls: 67.80 chg: +0.08 stop: 70.10
Crude oil futures inched higher but oil stocks, for the most part, ignored it. There was some early morning strength in the energy sector but it quickly faded. We're not suggesting new short positions at this time. The XLE has already hit our first target in the $65.25-65.00 range. Our secondary, aggressive target is the $62.50 level.
Picked on July 26 at $69.75
Closed Long Plays
Closed Short Plays