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In Play Updates and Reviews

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Long Play Updates

Citigroup - C - close: 24.63 change: -0.49 stop: 22.89

Financial stocks stumbled today. Shares of C slipped almost 2%. However, it still looks like C has put in a bottom. We would still be buyers here near $24.50 or on a dip in the $24.50--24.00 level. More conservative traders might want to consider a stop loss closer to the $24.00 mark. Our target is the $27.50-28.00 zone.

Picked on April 21 at $24.50 *triggered
Change since picked: + 0.13
Earnings Date 04/24/08 (unconfirmed)
Average Daily Volume: 104 million


Gerdau S.A. - GGB - close: 38.80 chg: +0.36 stop: 35.19

GGB posted another new high today. Shares just seem to be floating higher. More conservative traders might want to use a tighter stop loss. We have two targets. Our first target is the $39.75-40.00 zone. Our second, more aggressive target is the $42.00 mark. The P&F chart is bullish with a $57 target. We do not want to hold over the early May earnings report (unconfirmed).

Picked on April 10 at $36.84
Change since picked: + 1.96
Earnings Date 05/03/08 (unconfirmed)
Average Daily Volume: 3.1 million


iShares Telecom - IYZ - close: 24.42 chg: +0.55 stop: 23.39*new*

The IYZ displayed relative strength today. Shares added 2.3% and closed near their highs. The stock is close to challenging prior resistance near $24.50. We are upping our stop loss to $23.39. 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: + 0.92
Earnings Date 00/00/00
Average Daily Volume: 429 thousand


Starbucks - SBUX - close: 17.85 chg: +0.15 stop: 17.32

Exit Alert! Close this play immediately. After the closing bell tonight SBUX issued an earnings warning. The company sees second quarter results in the 15-cent range. Wall Street estimates were in the 20-21 cent range. SBUX management says this is the worst economic environment in the company's history. The stock is trading sharply lower in after hours markets around $15.92. Odds are that SBUX will gap open lower tomorrow morning. We're leaving our stop loss at breakeven at $17.32 but fully expect SBUX will gap open below us and we'll be taken out at the opening trade.

Picked on April 15 at $17.32
Change since picked: + 0.38
Earnings Date 04/30/08 (unconfirmed)
Average Daily Volume: 13.6 million


Teleflex Inc. - TFX - close: 51.62 chg: +0.05 stop: 49.85

The profit taking in TFX may have played out. Shares were inching higher into the closing bell. We are not suggesting new bullish positions in TFX at this time. Our short-term target is the $54.75-55.00 range, which should intersect with the stock's longer-term trendline of lower highs. The long-term trend is still bearish. We're just trying to play the oversold bounce. We do not want to hold over the late April earnings report.

Picked on April 16 at $51.05 *triggered
Change since picked: + 0.57
Earnings Date 04/29/08 (confirmed)
Average Daily Volume: 319 thousand

Short Play Updates

Longs Drug Stores - LDG - cls: 39.12 chg: +0.83 stop: 40.05

Relative strength in shares of LDG today (+2.1%) is not a good sign for the bears. We are not suggesting new shorts and honestly we would strongly consider an early exit tomorrow morning! LDG has already hit our target at $38.25. 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: - 2.18
Earnings Date 05/15/08 (unconfirmed)
Average Daily Volume: 596 thousand

Closed Long Plays

FreeSeas Inc. - FREE - close: 7.39 chg: +0.09 stop: 6.45

FREE continues to rally. Our plan was to buy a dip but it just hasn't happened yet. Instead of waiting we're just going to drop FREE from the play list and keep an eye on it. The shipping group seems to be a little overbought and due for a correction. We'd rather sit back and watch for the bounce. If we see a new entry point we'll consider re-adding it to the newsletter. Right now we would be eyeing the $6.85-6.75 zone as a possible entry point.

Picked on April xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 03/28/08 (confirmed)
Average Daily Volume: 134 thousand

Closed Short Plays


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