The oil services sector accelerated lower. Meanwhile we still have multiple candidates in different sectors with bullish triggers should the market rebound higher.


BULLISH Play Updates

Best Buy Inc. - BBY - close: 43.30 change: +0.35 stop: 39.85

BBY displayed some relative strength on Friday with a 0.8% gain and a new 2009 high. Shares managed to close over recent resistance at the $43.00 level. Volume was actually decent on Friday while volume for most of the market was terrible. Overall shares of BBY look bullish. Let's hope a correction in the S&P 500 doesn't derail this rally. Our first target is $46.00. Our second target is $49.80. Our time frame is several weeks.

Annotated chart:

Entry on  November 10 at $42.20
Change since picked:     + 1.10   			
Earnings Date          12/15/09 (unconfirmed)    
Average Daily Volume:       5.1 million 
Listed on  November 09, 2009    


Bank of Hawaii - BOH - close: 45.72 change: +0.51 stop: 43.90

BOH ignored weakness in the major indices and the financial sector to post a 1.1% gain on Friday. Shares are still under resistance at $46.00 so I'd wait for a new rise over $46.20 before launching new positions. The low on Friday was $44.84. More conservative traders might want to consider upping their stops toward $44.80.

Our first target to take profits is at $49.85. FYI: The Point & Figure chart is bullish with a $59 target.

Annotated chart:

Entry on  November 18 at $46.20 
Change since picked:     - 0.48   			
Earnings Date          01/25/10 (unconfirmed)    
Average Daily Volume:       424 thousand
Listed on  November 17, 2009    


ENERSYS - ENS - close: 23.79 change: +0.56 stop: 22.40

Traders bought the dip in ENS on Friday. Shares displayed relative strength with a 2.4% gain. However, ENS remains under resistance at the $24.00 level. I'd look for a move over $24.50 to launch positions.

Our first target is $27.00. Our second target is $29.75. Our time frame is several weeks.

Annotated chart:

Entry on  November 16 at $24.20
Change since picked:     - 0.41   			
Earnings Date          02/10/10 (unconfirmed)    
Average Daily Volume:       530 thousand
Listed on  November 14, 2009    


Halliburton - HAL - close: 29.88 change: -0.56 stop: 29.80

Strength in the dollar continues to pressure oil and the oil stocks retreated last week. We're still sitting on the sidelines with HAL so it doesn't hurt to wait. I'm watching for short-term support near the 40 or 50-dma in the $29.15-29.50 zone. Aggressive traders might want to consider buying a bounce. I'm suggesting readers wait for a new high. Our trigger remains at $32.20. If triggered our first target is $34.90.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 32.20
Change since picked:     + 0.00   			
Earnings Date          01/26/10 (unconfirmed)    
Average Daily Volume:      15.7 million 
Listed on  November 17, 2009    


PACCAR Inc. - PCAR - close: 38.49 change: -0.38 stop: 38.25

The short-term trading action in PCAR has turned bearish. The stock produced a handful of failed rallies last week. Fortunately we're still on the sidelines waiting for a breakout over resistance near $40.00. We'll keep PCAR on the play list for now but if it closes under $38.00 I'll drop it. I'm suggesting a trigger to buy PCAR at $40.35. If triggered our first target is $44.75. FYI: The Point & Figure chart is bullish with a $48.00 target.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 40.35
Change since picked:     + 0.00   			
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:       3.3 million 
Listed on  November 16, 2009    


Potlatch Corp. - PCH - close: 29.21 change: +0.30 stop: 27.95

PCH managed to bounce from technical support near its 50-dma and exponential 200-dma (around the $28.50 level). Aggressive traders might want to go ahead and buy this bounce but if you do consider a stop loss just under Friday's low. I'm suggesting readers wait for a new move over $30.00.

Our first target to take profits is at $33.60. We will cautiously set a secondary target at $35.75. FYI: The Point & Figure chart is bullish with a $56 target.

Annotated chart:

Entry on  November 16 at $30.30
Change since picked:     - 1.09   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       503 thousand
Listed on  November 11, 2009    


Southern Copper Corp. - PCU - close: 34.87 change: -0.09 stop: 33.80 *new*

A rise in the U.S. dollar could be PCU's undoing. The stock has struggled this past week thanks to a rebound in the dollar, which has put downward pressure on copper prices. Shares of PCU produced a bearish failed rally/reversal pattern on Wednesday. Yet there hasn't been a lot of follow through lower. The larger trend is still up.

Aggressive traders may want to adjust their stop loss and place it under the rising 50-dma, which has been technical support in the past. I'm actually moving our stop loss higher and placing it at $33.80 to reduce our risk. I am not suggesting new bullish positions at this time. Our target is $39.50. Our plan called for small positions (25% to 50% your normal size).

Annotated chart:

Entry on  November 04 at $33.80
Change since picked:     + 1.07   			
Earnings Date          10/22/09 (confirmed)    
Average Daily Volume:       3.5 million 
Listed on  November 03, 2009    


Polaris Industries - PII - close: 44.31 change: -0.01 stop: 42.75

Thus far PII has managed to cling to support near the $44.00 level. If the S&P 500 sees any more declines I fear we'll get stopped out. PII should have some additional support at the rising 50-dma near $43.40 but I wouldn't count on it. More conservative traders may want to tighten their stops toward the 50-dma. I'm not suggesting new positions at this time.

Our target to exit is $49.65. I consider this an aggressive play and suggest smaller position sizes.

Annotated chart:

Entry on  November 09 at $45.15
Change since picked:     - 0.84   			
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:       516 thousand
Listed on  November 07, 2009    


Renolds American - RAI - close: 50.88 change: +0.08 stop: 47.90

RAI has been relatively resistant to profit taking. Shares spent last week consolidating sideways. The overall trend is up and I'm suggesting readers look for a dip near $50.00 as our next entry point. Our target is $54.50. Our time frame is several weeks!

Annotated chart:

Entry on  November 14 at $50.32 
Change since picked:     + 0.56   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       1.6 million 
Listed on  November 14, 2009    


Symantec - SYMC - close: 17.72 change: -0.15 stop: 17.24

SYMC produced another failed rally at the $18.00 level on Friday. The trend of higher lows is suggesting SYMC will eventually breakout higher. We have a trigger to buy SYMC at $18.20. If triggered our first target to take profits is at $19.90. The $20.00 level will probably act as round-number resistance. Our second target, with a much longer time frame, is $21.75. Currently the Point & Figure chart is bullish with a $23 target.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 18.20
Change since picked:     + 0.00   			
Earnings Date          01/27/10 (unconfirmed)    
Average Daily Volume:      11.8 million 
Listed on  November 16, 2009    


Travelers Companies - TRV - close: 52.38 change: -0.30 stop: 49.75

Shares of TRV continue to inch lower and lower toward our trigger to buy it. The plan is to buy TRV at $52.15. Broken resistance near $52.00 should be new support. Cautious (and patient) traders may want to wait for a dip closer to $50.00, which should be even stronger support. If triggered our target is $57.40.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 52.15
Change since picked:     + 0.00   			
Earnings Date          01/27/10 (unconfirmed)    
Average Daily Volume:       5.3 million 
Listed on  November 07, 2009    


Wyndham Worldwide - WYN - close: 18.99 change: -0.06 stop: 16.90

Last week's pull back in WYN has come very close to a 38.2% Fibonacci retracement. As long as the broader market doesn't collapse I'd expect WYN to see a bounce soon. If the pull back continues then I'd look for support near $18.00 or its 50-dma near $17.25. We're adjusting the stop loss to $17.20.

Our first target is $21.00. FYI: The point & figure chart is bullish with a $27 target. Our time frame is several weeks. The plan was to use small positions (1/2 a position).

Annotated chart:

Entry on  November 10 at $18.88 (1/2 position) /gap open higher
Change since picked:     + 0.11   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       3.5 million 
Listed on  November 10, 2009    


BEARISH Play Updates

Exelon Corp. - EXC - close: 46.81 change: +0.42 stop: 47.25

Positive comments on EXC in Barron's helped the stock rallied 0.9% on Friday. I don't see any changes from my Thursday night comments. The larger trend remains bearish. I'm suggesting readers use a trigger at $45.80, which is just under the November low. If triggered our first target is $42.25. Our second target is $40.25. The Point & Figure chart is already bearish with a $40 target.

Annotated chart:

Entry on  November xx at $xx.xx <-- TRIGGER @ 45.80
Change since picked:     + 0.00   			
Earnings Date          01/21/10 (unconfirmed)    
Average Daily Volume:       4.2 million 
Listed on  November 19, 2009    


CLOSED BULLISH PLAYS

Baker Hughes Inc. - BHI - close: 40.49 change: -0.69 stop: 40.49

Another day of weakness for oil sent the oil stocks lower. Shares of BHI have broken support and hit our stop loss at $40.49. The selling did stall near its 100-dma the move down on Friday looks like a downside breakout to a bear-flag pattern.

chart:

Entry on  November 09 at $43.06 
Change since picked:     - 2.57 <-- stopped @ 40.49 (-5.9%)
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:       5.6 million 
Listed on  November 09, 2009