Long Play Updates
Ashland Inc. - ASH - close: 44.38 chg: -0.52 stop: 43.99
Bulls bought the initial dip toward $44 this morning but the bounce was rolling over by the end of the day. This does not bode well for the bulls. If the markets see any follow through lower tomorrow we would expect ASH to hit our stop loss at $43.99. Our target was the $49.75-50.00 zone.
Picked on February 4 at $46.15 *triggered
Acuity Brands - AYI - cls: 45.27 chg: -0.13 stop: 43.49
AYI displayed some relative strength this morning with a rally from its low near $44.80. Unfortunately, the rebound failed near $47 and its exponential 200-dma. Odds are growing for AYI to dip toward $44 and its 100-dma and 10-dma. Wait for signs of another bounce before considering new bullish entry points. Our target is the $49.50-50.00 zone. The Point & Figure chart looks very bullish with a $62 target and a breakout over resistance.
Picked on February 5 at $45.50 *triggered
Horizon Lines - HRZ - close: 21.87 chg: +0.89 stop: 18.99
HRZ displayed relative strength with a 4.2% gain today. Unfortunately, the intraday low was not deep enough to hit our suggested entry point. We are suggesting readers buy a dip near $20.00 in the $20.35-20.00 region. HRZ never traded under $20.80 today. We are going to stick with our strategy for now. We're suggesting a stop loss at $18.99 but more conservative traders could try a tighter stop loss. If triggered at $20.35 our target is the $24.00-25.00 range. Watch the 100-dma as potential overhead resistance. The Point & Figure chart is bullish with a triple-top breakout buy signal and a $30 target.
Picked on February xx at $xx.xx <-- see TRIGGER
Schering-Plough - SGP - cls: 20.37 change: -0.02 stop: 19.02*new*
Once again traders bought the dip near $20.00 and the afternoon rebound looks like a potential entry point for bullish positions. Unfortunately, this isn't a great market environment to be starting new long plays. We are adjusting our stop loss to $19.02 and we would seriously consider raising the stop closer to $20.00. We only have a few days left before earnings and we don't want to hold over the report. Our target is the $22.00-22.50 range.
Picked on January 27 at $19.02
Short Play Updates
Closed Long Plays
Cepheid - CPHD - close: 27.69 change: -1.38 stop: 27.95
Our patience with CPHD was not well rewarded. The stock continued to sell-off today and shares lost 4.7%. Today's move is a breakdown under short-term support near $28.00 and the stock hit our suggested stop loss at $27.95. Today's weakness also confirms a bearish breakdown from its two-month bullish channel. The short-term trend is now down and we would look for CPHD to consolidate toward $25.00 and/or its 100-dma.
Picked on February 5 at $30.15 *triggered
Closed Short Plays