Long Play Updates
Short Play Updates
Akamai Tech - AKAM - close: 30.59 chg: +1.22 stop: 32.55
AKAM produced a 4.1% rebound on Thursday, which was almost double what the NASDAQ composite delivered. Shares of AKAM look poised to bounce back toward resistance near $32.00 again. A bounce to $32 doesn't worry us that much. What does worry us is that the NASDAQ looks like it's close to putting in a short-term bottom and tech stocks in general could be ready for a rally or at least a correction higher. If you are looking for new shorts then wait for AKAM's current bounce to fail. If you're feeling conservative on the bearish side then consider adjusting your stop loss closer to $32.00. We have two targets. Our first target is the $27.75-27.50 zone. Our second target is the $25.50-25.50 range. FYI: Traders need to know that the most recent data puts short interest in AKAM at more than 12% of the 161.6 million-share float. That is an above average amount of short interest and raises our risk for a short squeeze!
Picked on March 16 at $31.19
Starbucks - SBUX - close: 17.53 chg: +0.03 stop: 18.55
SBUX lack of participation in Thursday's market rally is a good sign for the bears. The stock added 3 cents on strong volume as shares bounced around the $17.50 zone. We remain bearish on SBUX and would still consider new shorts under $18.00. Our target on SBUX is the $15.05-15.00 zone. FYI: The most recent data puts short interest at 3.4% of the 703 million-share float, which is about 2 days worth of short interest.
Picked on March 07 at $17.49 *triggered
Safeway Inc. - SWY - close: 28.98 change: +0.20 stop: 30.26
Not much happening in shares of SWY. The stock is consolidating sideways inside its bearish channel. The stock did add about 0.7% on Friday but that is an under performance compared to the rest of the market. We would still consider new shorts, especially on another failed rally under $30.00. There appears to be some support near $26.00 so we are suggesting a target in the $26.50-26.00 zone. The P&F chart is bearish with a $22.00 target. FYI: The latest data puts short interest at 3.9% of the 437 million-share float, which is about 4 days worth of short interest.
Picked on February 29 at $28.74
Closed Long Plays
Pengrowth Energy Trust - PGH - cls: 18.50 chg: -0.00 stop: 17.89
PGH closed unchanged on Thursday's session but the session was anything but calm. The stock spiked lower intraday and hit $17.61 before bouncing back. What caused the drop under support near $18.50, support near $18.00 and what should have been support at the 50-dma and 200-dma? Good question! We couldn't find anything to support the sudden weakness. These intraday spikes seem to look like buying opportunities but PGH hit our stop loss at $17.89, closing the play. We like this one as a high-dividend investment and will keep our eye on it.
Picked on March 09 at $18.85 /stopped 17.89
Closed Short Plays