Long Play Updates
DuPont - DD - close: 49.50 chg: +0.42 stop: 45.95
Shares of DD continue to march higher although the stock is now close to potential round-number, psychological resistance at the $50.00 mark. This would be a good spot to expect a pull back and readers could use a dip near $48.00 as a new entry point for bullish positions. We are raising our stop loss to $46.95. Our target is the $52.50-54.00 zone. We don't want to hold over the late April earnings report. FYI: The Point & Figure chart has a bullish triple-top breakout buy signal and a $63 target.
Picked on April 02 at $48.84
Corning Inc. - GLW - close: 25.56 chg: +0.03 stop: 23.65
GLW got off to a slow start but shares are finally starting to see some relative strength. If you looking for a new entry point a dip near $25.00 or its 10-dma near 24.75 will work. We're listing two targets. Our first target is the $27.00 level. Our second target is the $29.00 level. We do not want to hold over the late April earnings report. FYI: A move over $26.00 should produce a new P&F chart buy signal.
Picked on March 25 at $25.14
Honeywell - HON - close: 58.27 chg: +0.63 stop: 54.49
It would appear that investors did not mind HON's latest acquisition. On Friday HON announced a $1.2 billion deal for Norcorss Safety Products, a "maker of personal protection equipment". Shares of HON rose more than 1% and broke through technical resistance at its 200-dma. The road looks clear for HON to make a run at round-number resistance near $60.00. Our target is the $59.90-60.00 zone. More aggressive traders could aim for the top of the larger range near $62.00. Keep in mind that we do not want to hold over the earnings report.
Picked on March 25 at $56.00
Hormel Foods - HRL - close: 42.45 change: +0.44 stop: 39.85
HRL managed to hit a new all-time high on an intraday basis this past Friday. Volume continues to come in very low, which is actually a warning sign for the bulls. The general trend is still very bullish. We would either wait for a dip back toward the 10-dma (near 41.65) or a new high over $42.65 before considering new positions. More conservative traders may want to consider a stop closer to $41. Our target is the $45.75-46.00 range. We anticipate holding this stock on the newsletter for about six to eight weeks. The Point & Figure chart is bullish with a $64 target. FYI: This past week HRL declared a quarterly cash dividend of 18.5 cents per share payable on May 15, 2008 to shareholders of record on April 19th. HRL has been paying quarterly dividends for almost 80 years.
Picked on March 31 at $41.83 *triggered/gap open
iShares Telecom - IYZ - close: 24.13 chg: -0.20 stop: 22.89*new*
IYZ is definitely not the fastest moving ETF but shares do appear to have reversed into a new bullish trend. Traders have been buying the dips and the IYZ just broke through its 50-dma on Thursday. A dip or bounce near $23.50 could be used as a new bullish entry point. We are adjusting the stop loss to $22.89. We have two targets. Our 1st target is the $25.85-26.00 range. Our second target is the $27.85-28.00 zone.
Picked on March 25 at $23.50 *triggered
Meritage Homes - MTH - close: 22.09 chg: -0.69 stop: 19.49
MTH slipped about 3% on Friday but the stock turned in a very strong weekly performance. We continue to suggest that our readers lock in some gains right here. You might also want to consider a tighter stop loss near $20.00. We are not suggesting new positions although a dip or bounce near $20.00 could be used as an entry point. Our target is the $24.75 mark.
Picked on March 24 at $18.60 *triggered
Nintendo Co - NTDOY - close: 67.30 chg: +1.56 stop: 63.95
NTDOY recouped all of Thursday's losses with a 2.3% gain on Friday. The stock leaped higher and closed above technical resistance at its 100-dma. More aggressive traders may want to jump in now. We are suggesting that readers use a trigger at $68.01 to open bullish positions. If triggered our target is the $74.00-75.00 zone. Keep in mind that NTDOY is traded as an ADR here in the United States and shares will gap open up or down every day as they adjust to trading overseas. FYI: Some quote services might ask you to use the symbol NTDOY.PK to pull up data on NTDOY.
Picked on April xx at $xx.xx <-- see TRIGGER
Short Play Updates
Cognizant Tech - CTSH - cls: 29.39 chg: -0.17 stop: 30.75
We don't see any changes from our previous comments on CTSH. The stock is in a bearish trend of lower highs with clear overhead resistance at its descending 100-dma. A failed rally near $30.00 or $30.50 could be used as a new entry point for shorts. Our first target is the 26.25-26.00 zone. Our second, more aggressive target is the $24.25-24.00 range. The P&F chart is bearish with an $18 target.
Picked on March 30 at $29.18
Longs Drug Stores - LDG - cls: 41.57 chg: -0.06 stop: 43.55
LDG continues to trade sideways. The trend still looks bearish and we'd be more inclined to go short with LDG under $42.00 but we're not very enthusiastic about new LDG positions at this time. We're not going to drop it but we're not pounding the table on it either. Our first target is the $38.25-38.00 zone. Our second target is the $35.25-35.00 zone. The P&F chart is bearish with a $29.00 target.
Picked on March 30 at $41.30
Closed Long Plays
Closed Short Plays