Option Investor
Play Updates

Upward Momentum is Fading Fast

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BULLISH Play Updates

Hansen Natural - HANS - close: 33.18 change: -0.72 stop: 30.49

The short-covering rally in HANS may be running out of steam. The stock has struggled to make it past the $34.00 level for two weeks now. We are not suggesting new bullish positions. HANS has already hit our first target and more conservative traders may want to exit completely. Our secondary target is $36.00.

Picked on December 16 at $30.25 *triggered       
Change since picked:     + 2.93   			
Earnings Date          02/26/09 (unconfirmed)    
Average Daily Volume:       1.8 million     


Hecla Mining - HL - close: 2.71 change: +0.23 stop: 2.15

It was a bullish day for HL. The stock traded to a high of $2.78. Unfortunately, shares gapped open at $2.65 so our entry point is not so attractive compared to Friday's close at $2.48. We remain bullish here but readers may want to wait for a dip back toward $2.50 and buy the pull back there. We have two targets. Our first target is $2.95. Our second target is $3.45.

Picked on December 27 at $ 2.65 /gap higher entry
Change since picked:     + 0.00 /originally listed @ 2.48
Earnings Date          02/19/09 (unconfirmed)    
Average Daily Volume:       6.1 million     


Liberty Global - LBTYA - close: 14.69 change: -0.58 stop: 12.90

Our new play on LBTYA is now open. As expected shares pulled back and dipped toward their 50-dma. The intraday low was $14.20. Our suggested entry point was to buy a pull back in the $14.50-14.00 zone. We are using a stop loss at $12.90. More conservative traders may want to use a tighter stop loss. Our target is $17.40. The P&F chart is forecasting a $20 target.

chart:
LBTYA

Picked on December 29 at $14.50 *triggered       
Change since picked:     + 0.19   			
Earnings Date          02/23/09 (unconfirmed)    
Average Daily Volume:       3.2 million    


Mannatech Inc. - MTEX - close: 2.55 change: -0.05 stop: 2.34

MTEX pulled back a bit on Monday. Traders can watch for a bounce in the $2.50-2.45 zone as another bullish entry point. We don't see any changes from our weekend comments. Our first target is $2.95. Our secondary target is $3.25. Be sure to take some money off the table at our first target since the $3.00 mark and the 50-dma could be tough resistance to crack. I would consider this a higher-risk play because the stock does not have a lot of volume and shares are prone to some big intraday spikes.

Picked on December 27 at $ 2.60 
Change since picked:     - 0.05   			
Earnings Date          03/09/09 (unconfirmed)    
Average Daily Volume:        84 thousand    


RadioShack - RSH - close: 11.36 change: -0.39 stop: 11.15

RSH slipped toward technical support at its 20 and 50-dma today. Shares managed a meager bounce off its lows. I think the rally is done and we want to exit on any bounce from here. Plan to close this plan on a bounce back to $11.70. If RSH breaks the $11.00 mark it may be time to think bearish positions.

RSH has already hit our first target. Our second target was $13.75.

Picked on December 13 at $11.15 
Change since picked:     + 0.21   			
Earnings Date          02/12/09 (unconfirmed)    
Average Daily Volume:       4.3 million     


Total System Services - TSS - close: 13.67 change: -0.44 stop: 13.49

Uh-oh! Bulls may be in trouble here. The bullish pattern of higher lows has been broken. Shares of TSS lost 3.1% and while they are trying to rebound from the $13.50 level the stock is still facing a lot of resistance around $14.25. We have been waiting for a breakout higher with a trigger to buy the stock at $14.40. That may not happen now and if TSS closes under $13.50 we may want to consider bearish strategies instead.

If TSS hits our trigger at $14.40 we will have two targets. Our first target is $15.95. Our second target is $17.45.

Picked on December xx at $xx.xx <-- see TRIGGER  
Change since picked:     + 0.00   			
Earnings Date          01/22/09 (unconfirmed)    
Average Daily Volume:       1.1 million   


BEARISH Play Updates

Applied Materials - AMAT - close: 9.80 change: +0.11 stop: 10.26

Readers should be watching AMAT for a failed rally near $10.00 as a new bearish entry point. Today's bounce is a step in the right direction. We have two targets. Our first target is $9.05. Our second target is $8.25.

Picked on December 23 at $ 9.72 
Change since picked:     + 0.08   			
Earnings Date          02/10/09 (unconfirmed)    
Average Daily Volume:      19.8 million     


Walt Disney Co. - DIS - close: 21.47 change: -0.71 stop: 23.05

Disney shares tagged a new three-week low today and closed with a 3.2% loss. I don't see any changes from our previous comments. If you don't want to short the stock here then look for another bounce or failed rally near $22.00 as your entry point.

We have two targets. Our first target is $20.10. Our secondary target is $19.05.

Picked on December 23 at $21.85 
Change since picked:     - 0.38   			
Earnings Date          02/03/09 (unconfirmed)    
Average Daily Volume:      17.9 million     


DreamWorks Animation - DWA - close: 23.15 change: -0.46 stop: 24.35

DWA retested last week's lows before paring its losses and closing down about 2% on Monday. Overall I don't see any changes from our weekend comments. The path of least resistance should be down. I would still consider new bearish positions now. We have two targets. Our first target is $21.00. Our second target is $19.25.

Picked on December 23 at $23.18 
Change since picked:     - 0.03   			
Earnings Date          02/26/09 (unconfirmed)    
Average Daily Volume:       902 thousand    


CLOSED BULLISH PLAYS

Compuware - CPWR - close: 6.61 change: +0.04 stop: 6.29

It looks like our stop loss was a little too tight. Shares of CPWR opened at $6.54 and then sank to $6.29 before bouncing back and into positive territory. The play for us is closed. However, the afternoon rebound was pretty strong. More aggressive traders may want to take another swing at CPWR here with a stop under today's low.

chart:
CPWR

Picked on December 27 at $ 6.57 /stopped out at $6.29
Change since picked:     + 0.04   			
Earnings Date          01/28/09 (unconfirmed)    
Average Daily Volume:       2.9 million     


Hasbro Inc. - HAS - close: 28.30 change: -0.74 stop: 28.31

It was a rough day for HAS with the stock falling more than 2.5%. Shares hit our stop loss at $28.31 closing the play at breakeven. The upward momentum is fading fast and a breakdown under $28.00 or its 50-dma near $27.35 would be bearish!

chart:
HAS

Picked on December 06 at $28.31 /gap higher entry
Change since picked:     - 0.01 /originally listed at $27.84
Earnings Date          02/09/09 (unconfirmed)    
Average Daily Volume:       2.6 million     


Henry Schein - HSIC - close: 35.08 change: -0.30 stop: 34.75

Our bullish play on HSIC is in jeopardy. The stock is not seeing any follow through higher. Instead today's decline broke the bullish trend of higher lows. HSIC did bounce from the $34.80 mark more than once today so the bulls might try again here but we're suggesting an early exit. We'd rather cut our losses now and look for another entry point later.

chart:
HSIC

Picked on December 18 at $35.21 
Change since picked:     - 0.13   			
Earnings Date          02/25/09 (unconfirmed)    
Average Daily Volume:       1.2 million     


MPS Group Inc. - MPS - close: 6.98 change: -0.31 stop: 6.95

Short-term support at the $7.00 level did not hold. MPS plunged through the $7.00 mark this morning and hit $6.78. The stock hit our stop loss at $6.95 closing the play. The stock opened at $7.24 and shaved five cents off our entry price.

chart:
MPS

Picked on December 27 at $ 7.24 /stopped out @ 6.95
Change since picked:     - 0.26 /gap down entry
Earnings Date          02/05/09 (unconfirmed)    
Average Daily Volume:       824 thousand    


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