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Long Play Updates

DuPont - DD - close: 49.04 chg: -0.42 stop: 46.95

There is nothing new to report on for DD. Shares traded flat to down during the market's decline on Wednesday. Should DD turn lower we can expect support near $48.00. We are going to suggest readers buy dips near $48.00 but you might want to raise your stop loss to reduce your risk. 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
Change since picked: + 0.20
Earnings Date 04/22/08 (unconfirmed)
Average Daily Volume: 7.2 million

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Energen - EGN - close: 66.74 chg: -0.06 stop: 61.69

Oil and natural gas continued to rally but EGN eventually succumbed to some minor profit taking. We suggest buying dips near $65.00 as a new entry point. Our short-term target is the $69.50-70.00 zone. If we have time we'll consider a secondary, more aggressive target above $70. The P&F chart is bullish and the upside target just jumped from $77 to $80. We do not want to hold over the late April earnings report.

Picked on April 07 at $64.65 *triggered
Change since picked: + 2.09
Earnings Date 04/24/08 (unconfirmed)
Average Daily Volume: 657 thousand

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Corning Inc. - GLW - close: 25.30 chg: -0.81 stop: 23.65

GLW really under performed the market today with a 3.1% sell-off. Shares plunged right from the opening bell yet we could not find any specific news or catalyst that might explain the sudden weakness. At this point we would expect a dip to $25.00 and readers can use a pull back near $25.00 or even $24.50 as a new entry point for bullish positions but you may want to wait for a bounce first. 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: Today's move over $26.00 has produced a brand new Point & Figure chart buy signal with a $39 target.

Picked on March 25 at $25.14
Change since picked: + 0.16
Earnings Date 04/24/08 (unconfirmed)
Average Daily Volume: 14.7 million

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Honeywell - HON - close: 58.03 chg: +0.84 stop: 54.49

The $23 billion jet-engine deal we reported on last night helped HON out perform the market today. Shares spiked higher at the open today and while HON pared its gains traders were buying the dip this afternoon. We are not suggesting new positions. 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 April 18th earnings report.

Picked on March 25 at $56.00
Change since picked: + 2.03
Earnings Date 04/18/08 (confirmed)
Average Daily Volume: 6.7 million

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Hormel Foods - HRL - close: 41.94 change: -0.11 stop: 39.85

HRL essentially spent the session trading sideways. We would expect a dip toward $41.50 at this time. Right now our stop loss is at $39.85 but we're thinking about raising it toward $41.00 or even $41.50ish. 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: 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
Change since picked: + 0.11
Earnings Date 05/22/08 (unconfirmed)
Average Daily Volume: 513 thousand

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iShares Telecom - IYZ - close: 23.78 chg: -0.49 stop: 22.89

IYZ has taken a turn for the worse with a 2% drop today. We would expect a pull back toward $23.50 probably $23.40. A bounce from the $23.50 region can be used as a new entry point for bullish positions. 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
Change since picked: + 0.28
Earnings Date 00/00/00
Average Daily Volume: 429 thousand

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Coal ETF - KOL - close: 41.17 change: -0.72 stop: 38.45

Coal stocks experienced some profit taking today. We're still waiting on a deeper pull back in KOL. Currently we're suggesting readers buy a dip in the $40.00-39.50 zone. If triggered at $40.00 our target is the $44.75-45.00 range.

Picked on April xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 00/00/00 (unconfirmed)
Average Daily Volume: 240 thousand

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Agribusiness ETF - MOO - close: 57.20 chg: -0.54 stop: 53.95

MOO also hit some profit taking today but we expect more to come. Our plan calls for investors to buy a dip in MOO in the $56.00-55.00 zone. If triggered our target is the $59.85-60.00 range. The Point & Figure chart is bullish with a $72 target.

Picked on April xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 00/00/00 (unconfirmed)
Average Daily Volume: 1.0 million

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Nintendo Co - NTDOY - close: 66.85 chg: -0.25 stop: 63.95

NTDOY continued to slip but is still trading above its bullish trend of higher lows. A bounce from here can be used as a new bullish entry point. 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 07 at $68.50 *triggered/gap open
Change since picked: - 1.65
Earnings Date 00/00/08 (unconfirmed)
Average Daily Volume: 312 thousand
 

Short Play Updates

Amgen - AMGN - close: 41.59 change: +0.10 stop: 42.55

Hmm... today's action in AMGN wasn't what we had in mind. The BTK biotech index, which had grown overbought, hit some heavy profit taking with a 2.8% sell-off today. AMGN bucked the trend in the sector and posted a gain. We remain bearish on AMGN with the stock under $42.00 but today's relative strength is a surprise. Readers might want to wait for a move under $41.20 before initiating short positions. There is potential support in the $39-40 zone but our target is the $36.00-35.00 range. We do not want to hold over the late April earnings report. Remember, we always consider biotech stocks higher-risk and aggressive plays. These stocks are very sensitive to headline news. You almost never know when the next FDA decision or clinical trials results will come out and they could send the stock gapping higher or lower overnight, which would make our stop losses rather useless.
Annotated chart:

Picked on April 08 at $41.49
Change since picked: + 0.10
Earnings Date 04/24/08 (unconfirmed)
Average Daily Volume: 11.5 million

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Cognizant Tech - CTSH - cls: 27.83 chg: -0.69 stop: 30.26 *new*

CTSH dropped again, this time with a 2.4% loss. The MACD on the daily chart has rolled over into a new sell signal. We are adjusting the stop loss to $30.26. 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
Change since picked: - 1.35
Earnings Date 05/01/08 (unconfirmed)
Average Daily Volume: 5.1 million

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Freddie Mac - FRE - close: 24.83 chg: -0.63 stop: 29.35

The potentially bullish Citigroup news last night failed to buoy the financials. FRE lost 2.4% and broke down under the $25.00 mark. One of our suggested entry points for shorts was $24.90. The play is now open. At the moment we have a VERY wide, aggressive stop loss and readers may want to consider a tighter stop. Our first target is the $20.50-20.00 zone.

Picked on April 09 at $24.90 *triggered
Change since picked: - 0.07
Earnings Date 06/12/08 (unconfirmed)
Average Daily Volume: 20.8 million

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Longs Drug Stores - LDG - cls: 38.16 chg: -0.87 stop: 41.31*new*

Target achieved. LDG lost another 2% today and shares hit our first target in the $38.25-38.00 range. Technicals continue to deteriorate but the stock is nearing potential support at its March lows. We should expect a potential bounce in the $37.50-37.00 region. Please note we're adjusting the stop loss to $41.31. 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 /1st target hit 38.25
Change since picked: - 3.14
Earnings Date 05/15/08 (unconfirmed)
Average Daily Volume: 596 thousand
 

Closed Long Plays

Meritage Homes - MTH - close: 19.49 chg: -1.41 stop: 19.49

We have been suggesting that readers take profits in MTH for the last several days. Hopefully you were able to lock in a gain near $22.00. We had adjusted our target to $24.75 but the closest MTH got was $24.49 on April 3rd. Shares of MTH hit our stop loss at $19.49 today ending the play.

Picked on March 24 at $18.60 *triggered
Change since picked: + 0.89
Earnings Date 04/24/08 (unconfirmed)
Average Daily Volume: 893 thousand
 

Closed Short Plays

None
 

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