BULLISH Play Updates

A.O.Smith Corp. - AOS - close: 33.43 change: -0.20 stop: 30.85

AOS is still looking pretty good. Even though the market was sharply lower this morning AOS did not break the $33.00 level. I'm not suggesting new positions at this time. Our first target to take profits is at $34.50. Our second target is $37.00 but we will plan to exit ahead of the July 17th earnings report.

Entry on      June 23 at $30.25 *triggered       
Change since picked:     + 3.18   			
Earnings Date          07/17/09 (confirmed)    
Average Daily Volume:       195 thousand
Listed on  June 20, 2009    


Bank of Montreal - BMO - close: 42.13 change: +0.20 stop: 39.90

Right on cue BMO dipped to $41.00 and bounced. I am concerned about the strength of the broader market but this looks like a new bullish entry point for BMO. Readers could buy this bounce or wait for a dip closer to $40.00. Our first target to take profits is $44.90. Our second target is $48.00. This could take six to eight weeks.

Entry on      June 25 at $41.38 
Change since picked:     + 0.55   			
Earnings Date          08/25/09 (unconfirmed)    
Average Daily Volume:       729 thousand
Listed on  June 25, 2009    


Bally Tech. - BYI - close: 29.05 change: -0.62 stop: 27.95 *new*

BYI spiked down toward $28.00 and bounced. This afternoon rebound looks like a new bullish entry point. I am raising our stop loss to $27.95. Our first target is $32.90. Our second target is $34.90. My time frame is six to eight weeks.

Entry on      June 26 at $30.10 *triggered       
Change since picked:     - 1.05   			
Earnings Date          08/19/09 (unconfirmed)    
Average Daily Volume:       859 thousand
Listed on  June 24, 2009    


Dell Inc. - DELL - close: 13.42 change: +0.45 stop: 12.45

DELL erased Thursday's losses with a 3.4% rally today. The company garnered some positive analyst comments. Unfortunately, I remain cautious here. The big bounce was enough to fill the gap from Thursday morning and not much else. Our first target to take profits is $14.90. We have a second target at $15.95 but we want to take most of our money off the table at $14.90. My time frame is about eight weeks. FYI: The Point & Figure chart is bullish with a $20 target but it's also showing potential resistance near $14.50. More conservative traders may want to start taking profits near $14.50.

Entry on      June 09 at $12.55 
Change since picked:     + 0.87   			
Earnings Date          08/27/09 (unconfirmed)    
Average Daily Volume:        29 million 
Listed on  June 06, 2009    


Energizer Holdings - ENR - close: 52.22 change: -0.03 stop: 49.90

Over the weekend I suggested buying a dip near $51.50 and we got it today. If you're not comfortable with the lack of follow through on the afternoon rebound then wait for a new move over $53.00 to launch positions. Our first target is $55.75. The Point & Figure chart is bullish with a $64 target. We'll set our second target at $59.95.

Entry on      July 02 at $52.75 *triggered       
Change since picked:     - 0.53   			
Earnings Date          07/28/09 (unconfirmed)    
Average Daily Volume:       781 thousand
Listed on  July 01, 2009    


3x Energy Bear ETF - ERY - close: 25.35 change: +0.68 stop: 20.75 *new*

The sell-off in crude oil was a big story today and this pushed oil stocks lower. The ERY gapped open higher at $26.25 and quickly hit $27.10 before paring its gains. I'm not suggesting new positions at this time. Please note our new stop at $20.75.

This is a very volatile (triple-leveraged) ETF so we're using a wide stop loss and I'm suggesting readers only trade half (or less) their normal position size. Our first target is $27.40. Our second target is $29.90. My time frame is four to six weeks or less.

Entry on      July 02 at $23.30 *triggered       
Change since picked:     + 2.05   			
Earnings Date          00/00/00 
Average Daily Volume:       4.0 million 
Listed on  July 01, 2009    


MEDNAX Inc. - MD - close: 43.22 change: +0.42 stop: 39.85

MD continues to look bullish as investors bought the dip near $42.35 this morning. Our first target is $47.40.

Entry on      July 01 at $43.01 *triggered       
Change since picked:     + 0.21   			
Earnings Date          08/03/09 (unconfirmed)    
Average Daily Volume:       367 thousand
Listed on  June 30, 2009    


Morgan Stanley - MS - close: 26.85 change: -0.14 stop: 24.75

MS dipped toward $26.00 and its exponential 200-dma and tried to bounce. We're waiting for a pull back toward $25.00. Our new trigger to buy MS is at $25.25. If triggered at $25.25 our first target is $27.75. Our second target is $29.75. We don't want to hold over the late July earnings so the play may close early.

--New Trade, buy dip @ 25.25 --
Entry on      July xx at $xx.xx *triggered       
Change since picked:     - 0.00   			
Earnings Date          07/22/09 (unconfirmed)    
Average Daily Volume:      29.4 million 
Listed on  June 23, 2009    


Western Digital - WDC - close: 26.36 chg: +0.14 stop: 23.95

Positive analyst comments over the weekend helped WDC stay in positive territory today. I'm tempted to go ahead and buy WDC here but a better entry point would be a dip near $24.60. Our first target is $29.75.

Entry on      June 25 at $26.10 *triggered       
Change since picked:     + 0.26   			
Earnings Date          07/23/09 (unconfirmed)    
Average Daily Volume:       4.6 million 
Listed on  June 24, 2009    


Wellpoint Inc. - WLP - close: 50.00 change: +0.25 stop: 47.85

If investors are turning more defensive then names like WLP should do well. Traders bought the dip near $49.00 this morning. Our first target is $54.00. Our second target is $57.40.

Entry on      June 22 at $49.25 *triggered       
Change since picked:     + 0.75   			
Earnings Date          07/29/09 (unconfirmed)    
Average Daily Volume:       4.4 million 
Listed on  June 20, 2009    


BEARISH Play Updates

Carpenter Tech. - CRS - close: 18.71 chg: -1.35 stop: 22.20

CRS almost hit our first target today. The stock gapped open lower at $19.62 and then plunged toward the $18.00 level. For 20 minutes the stock traded at $18.07 while our target was $18.05. I hope that some of our readers chose to take profits anyway. I would expect a bounce back toward $20.00, which should be new resistance. We can launch new positions there if you're looking for an entry point.

Our first target remains $18.05. Our second target is $16.25.

Entry on      July 04 at $19.62 /gap down entry
                              /originally listed at $20.06
Change since picked:     - 0.91   			
Earnings Date          07/28/09 (unconfirmed)    
Average Daily Volume:       586 thousand
Listed on  July 04, 2009    


DuPont - DD - close: 25.33 change: +0.55 stop: 27.05

I was a little surprised by the relative strength in DD today. Look for another failed rally near $26.00 or its 200-dma before considering new positions. More conservative traders may want to lower their stops to just above new resistance near $26.25. I'm leaving the stop above the 200-dma near $27.00. Our first target $22.25. Our second target is $20.25.

Entry on      June 16 at $25.20 
Change since picked:     + 0.13   			
Earnings Date          07/21/09 (unconfirmed)    
Average Daily Volume:       9.1 million 
Listed on  June 16, 2009    


iShares Mexico - EWW - close: 35.94 change: -0.24 stop: 38.05

Mexican stocks are still drifting lower following last week's failed rally. The EWW is now testing possible support at its 50-dma and exponential 200-dma. Look for a new move under $35.50 as a new entry point. More conservative traders can lower their stop toward last Wednesday's high of $37.61. Our target is $30.25.

Entry on      June 22 at $34.92 
Change since picked:     + 1.02   			
Earnings Date          00/00/00 
Average Daily Volume:       3.9 million 
Listed on  June 22, 2009    


Fastenal Co. - FAST - close: 31.44 change: -0.46 stop: 34.05

FAST has broken down to new relative lows. I would still consider new bearish positions here. Our first target is $30.15. Our second target is $28.05.

Entry on      July 04 at $31.90 
Change since picked:     - 0.46   			
Earnings Date          07/13/09 (unconfirmed)    
Average Daily Volume:       1.8 million 
Listed on  July 04, 2009    


Gamestop - GME - close: 21.04 change: -0.03 stop: 24.25

Monday was a quiet session for GME with the stock hovering near $21.00 in a very narrow range. If you haven't taken any profits yet you may want to do so now. The stock has already hit our first target at $22.05. Our second target to take profits is $20.25. Our third target is $18.15.

Entry on      June 02 at $24.32 
Change since picked:     - 3.22
                              /1st target hit @ 22.05 (-9.3%)
Earnings Date          08/20/09 (unconfirmed)    
Average Daily Volume:       6.3 million 
Listed on  June 02, 2009    


Gen-Probe - GPRO - close: 41.61 change: +0.07 stop: 44.05

I don't see any changes from my weekend comments on GPRO. Our first target is $38.05. Our second target is $35.25. FYI: The P&F chart is bearish with a $32.00 target.

Entry on      June 23 at $42.03 /gap higher entry
                             /originally listed at $41.64
Change since picked:     - 0.42   			
Earnings Date          07/30/09 (unconfirmed)    
Average Daily Volume:       449 thousand
Listed on  June 23, 2009    


McDermott Intl. - MDR - close: 18.18 change: -1.16 stop: 21.25

MDR sold off hard this morning. Shares gapped open lower at $18.83 and then plunged to $17.63 before trimming its losses. Don't be surprised if MDR fills the gap with a bounce back toward $19.00-19.50 before rolling over again. Our first target is $17.25. Our second target is $16.05.

Entry on      July 04 at $18.83 /gap down entry
                              /originally listed at $19.34
Change since picked:     - 0.65   			
Earnings Date          08/11/09 (unconfirmed)    
Average Daily Volume:       3.2 million 
Listed on  July 04, 2009    


iShares Materials - MXI - close: 44.74 change: -1.12 stop: 48.05

If you missed our first exit at $44.00 MXI provided another chance to take profits today. I would expect a bounce back toward $46.00 before MXI moves lower. MXI has already hit our first target at $44.00. Our second target is $41.00.

Entry on      June 16 at $47.55 
Change since picked:     - 2.81
                              /1st target hit 44.00 (-7.4%)
Earnings Date          00/00/00 
Average Daily Volume:       170 thousand
Listed on  June 16, 2009    


Raytheon - RTN - close: 43.32 change: +0.31 stop: 45.75

RTN managed a bounce from its 100-dma. Look for a failed rally near $44.00-44.50 as a new entry point. Our first target is $40.25. The P&F chart is very bearish with a $13 target.

Entry on      June 24 at $44.22 
Change since picked:     - 0.90  			
Earnings Date          07/23/09 (unconfirmed)    
Average Daily Volume:       3.5 million 
Listed on  June 24, 2009    


Homebuilders ETF - XHB - close: 11.17 change: -0.19 stop: 12.55

The DJUSHB home construction index lost 3% yet the XHB only fell 1.6%. The XHB has more than just homebuilders in it so it showed a little more relative strength. Currently the XHB is testing the $11.00 level. Some quote services are going to list the intraday low as $9.04. That's not true. The low today was only $10.97. The price near $9.00 is a bad tick. More conservative traders might want to consider a tighter stop near last week's high of $12.08.

Our target is $10.10. I am tempted to set a longer-term target in the $9.00-8.00 region.

Entry on       May 23 at $11.96 
Change since picked:     - 0.79   			
Earnings Date          00/00/00
Average Daily Volume:        10 million 
Listed on   May 23, 2009    


CLOSED BULLISH PLAYS

Andersons Inc. - ANDE - close: 29.67 change: -1.22 stop: 29.45

Bullish traders need to be very careful here. Today's under performance (-3.9%) could be the beginning of a trend reversal. We've been worried about the potential for a bearish double top pattern. Today's action doesn't help. Over the weekend we raised our stop loss to $29.45 and ANDE hit that stop this morning.

chart:

Entry on      June 25 at $29.95 
Change since picked:     - 0.50<-- stopped out @ 29.45 (-1.6%)
Earnings Date          08/06/09 (unconfirmed)    
Average Daily Volume:       379 thousand
Listed on  June 25, 2009    


Bank of America - BAC - close: 12.64 change: -0.41 stop: 11.85

Many of the banking stocks were under performers today. BAC lost 3.8% after Credit Suisse lowered their estimates for the company. Shares of BAC broke down under support near $12.00 and hit our stop loss at $11.85. The intraday low was $11.84. Our play is closed but I would keep BAC on your watch list. A dip toward $10.00 or the rising 100-dma could be a good bullish entry point. However, don't open positions ahead of earnings. Wait until after the report.

chart:

Entry on      June 04 at $12.24 /gap higher entry
                              /listed at $11.87
Change since picked:     - 0.39<-- stopped @ 11.85 (-3.1%)
Earnings Date          07/17/09 (confirmed)    
Average Daily Volume:       537 million 
Listed on   May 19, 2009    


Vodafone Group - VOD - close: 19.03 change: -0.03 stop: 18.85

European stocks continued to sink on Monday. VOD gapped open lower at $18.68 as it adjusted for trading in London. This was below our stop loss at $18.85 so our play was closed immediately. I would keep VOD on your watch list for a bounce from stronger support near $18.00 or a breakout over resistance at $20.00.

chart:

Entry on      June 29 at $19.52 
Change since picked:     - 0.84<-- stopped out @ 18.68 (-4.3%)
                              /gap down exit.
Earnings Date          11/10/09 (unconfirmed)    
Average Daily Volume:       4.2 million 
Listed on  June 29, 2009    


U.S. Steel - X - close: 32.03 change: -0.79 stop: 33.35

Our aggressive play on X is a bust. The stock has continued to sell-off as investors sell anything related to commodities and building materials. Shares have now broken their bullish trend line of higher lows. We knew this was a higher-risk trade, which is why our plan was trade a smaller position size.

chart:

Entry on      June 27 at $37.39 /gap higher entry
                              /originally listed at $36.91
Change since picked:     - 4.39<--stopped out @ 33.00 (-11.7%)
                             /gap down exit. 
Earnings Date          07/28/09 (unconfirmed)    
Average Daily Volume:      17.8 million 
Listed on  June 27, 2009    


Dentsply Intl. - XRAY - close: 29.45 change: -0.39 stop: 29.40

Over the weekend we turned more cautious on XRAY and raised the stop loss to $29.40. The stock continued to sink and hit $29.21 this morning. I would keep XRAY on your watch list for a new bounce past $31.00.

chart:

Entry on      June 25 at $30.87 
Change since picked:     - 1.47<-- stopped @ 29.40 (-4.7%)
Earnings Date          07/29/09 (unconfirmed)    
Average Daily Volume:       1.0 million 
Listed on  June 25, 2009