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Long Play Updates

ConocoPhillips - COP - cls: 72.26 chg: +2.94 stop: 68.90 *new*

Oil stocks weathered the market's ups and downs today relatively well. COP dipped to $69.00 before bouncing back to almost erase yesterday's losses. We would still consider new bullish positions right here. Please note we're adjusting our stop loss to $68.90. Our target is the $78.50-80.00 zone. More aggressive traders could aim for the 200-dma or the $85.00 region.

Picked on September 16 at $72.28
Change since picked: - 0.02
Earnings Date 10/22/08 (unconfirmed)
Average Daily Volume: 12.7 million
 

Short Play Updates

None
 

Closed Long Plays

Ultra S&P 500 Proshares - SSO - cls: 53.17 chg: +3.17 stop: 47.65

The concept to buy a late morning dip in SSO was a good one. Unfortunately, implementing it as an end of day newsletter proved to be a challenge. Furthermore dealing with the SSO, which moves twice the movement of the S&P 500, on one of the most volatile days of the year was another challenge. A 5% stop loss was too tight. So what happened? Stocks opened higher but eventually plunged to new lows midday. The SSO was hostage to the extremely sharp weakness in the financial sector. Financials are one of the largest if not the largest chunk of the S&P 500. Financials went into a tailspin and this pushed the SSO to a low of $47.50. Our entry point at 11:00 a.m. gave us a $50.16 entry price. A 5% stop would have been $47.65. Thus we were stopped out. When stocks reversed the financials, which led the way lower, now led the way higher. The BKX banking index and the BIX banking index ended the day up 13.8% and 15.9%, respectively. Today's session looks like a potential bottom in the market, especially with the sharp pull back in the VIX today. Aggressive traders willing to handle the volatility might want to jump in on a dip tomorrow.

Picked on September 18 at $50.16 /stopped out 47.65
Change since picked: + 3.01
Earnings Date 00/00/00
Average Daily Volume: 10.6 million
 

Closed Short Plays

EMC Corp. - EMC - close: 12.41 change: -0.43 stop: 13.75

Target exceeded! The midday market weakness pulled EMC to an intraday low of $11.50. Our target was $12.15. Shares of EMC are very oversold and due for a bounce!

Picked on September 09 at $13.67
Change since picked: - 1.26
Earnings Date 10/22/08 (unconfirmed)
Average Daily Volume: 30.7 million

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Expedia - EXPE - close: 15.83 change: +0.73 stop: 16.75

EXPE sank to $14.04 midday. Our first target was $15.00. The sharp bounce back looks like a bullish reversal so we're suggesting an exit right now if you haven't already closed the play. We did have a secondary target at $13.50 but this bounce looks like it could last a while and if EXPE breaks out over $16.00 it will probably rush past our stop loss.

Picked on September 10 at $16.75 *early exit/1st target hit
Change since picked: - 0.92
Earnings Date 11/06/08 (unconfirmed)
Average Daily Volume: 4.2 million

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Infosys Tech. - INFY - cls: 34.92 chg: +0.57 stop: 37.65

Second target exceeded! INFY opened weak and eventually sank to $32.16. Our second target was the $33.00 mark. The stock's big bounce from its lows today near the March 2008 low looks like it has potential to be a significant bottom. If you didn't exit with us you need to be very careful here. I would expect a bounce back toward the 10-dma.

Picked on September 09 at $38.45 /2nd target hit 33.00 (32.16low)
Change since picked: - 3.53
Earnings Date 10/09/08 (unconfirmed)
Average Daily Volume: 3.0 million
 

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