Stocks retreated from their highs but trading was light without any leadership in the major indices.


BULLISH Play Updates

Best Buy Inc. - BBY - close: 42.85 change: -0.86 stop: 39.85

The retreat in BBY today (-1.9%) makes yesterday's failed rally pattern look even worse. I would expect a dip back toward $42.00 and potentially deeper but it all depends on the S&P 500 and if it can break higher or not. I would still consider new bullish positions on a dip in the $42-41 zone but bear in mind that the retailers might see some sell-the-news pressure next week when we hear the preliminary "Black Friday" traffic numbers. Our first target is $46.00. Our second target is $49.80. Our time frame is several weeks.

Entry on  November 10 at $42.20
Change since picked:     + 0.65   			
Earnings Date          12/15/09 (unconfirmed)    
Average Daily Volume:       5.1 million 
Listed on  November 09, 2009    


Bank of Hawaii - BOH - close: 46.37 change: +0.10 stop: 43.90

Financials were some of the worst performers today but BOH shook off any sector weakness. The stock rebounded from its morning lows to close in positive territory. While I remain bullish on the stock it would be uncommon to see BOH keep rising if the sector starts to roll over. Technically this remains a bullish entry point with the stock above $46.00.

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

Entry on  November 18 at $46.20 
Change since picked:     + 0.17   			
Earnings Date          01/25/10 (unconfirmed)    
Average Daily Volume:       424 thousand
Listed on  November 17, 2009    


ENERSYS - ENS - close: 23.67 change: -0.34 stop: 22.40

Shares of ENS seem to be going nowhere fast. The stock is stuck in a $23.00-24.50 trading range. Readers can choose to buy dips near the 50-dma or wait for a breakout over $24.50.

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

Entry on  November 16 at $24.20
Change since picked:     - 0.53   			
Earnings Date          02/10/10 (unconfirmed)    
Average Daily Volume:       530 thousand
Listed on  November 14, 2009    


Halliburton - HAL - close: 30.46 change: +0.02 stop: 29.80

Crude oil was hammered for 2% loss and yet the oil stocks managed to rally. Now the rally in HAL was about as small as it can be so I wouldn't be too optimistic here. Currently the plan is to buy HAL when it hits $32.20. If triggered our first target is $34.90.

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    


Johnson & Johnson - JNJ - close: 63.18 change: +0.49 stop: 59.90

JNJ showed some relative strength with a 0.7% gain and a new 2009 high. The $65.00 level might offer some resistance but our target first target is $67.50.

Entry on  November 23 at $63.05
Change since picked:     + 0.13   			
Earnings Date          01/26/10 (unconfirmed)    
Average Daily Volume:      12.6 million 
Listed on  November 21, 2009    


PACCAR Inc. - PCAR - close: 38.38 change: -0.56 stop: 38.25

PCAR under performed the market with a 1.4% decline. Shares tested short-term support near $38.00 again. We're still waiting for a breakout higher with a trigger to open bullish positions at $40.35. If triggered our first target is $44.75. FYI: The Point & Figure chart is bullish with a $48.00 target.

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: 29.51 change: -0.23 stop: 27.95

We're just not getting anywhere in PCH with the stock market churning sideways. Readers might want to wait for a new close over $30.00 before initiating positions.

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.

Entry on  November 16 at $30.30
Change since picked:     - 0.79   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       503 thousand
Listed on  November 11, 2009    


Southern Copper Corp. - PCU - close: 34.82 change: -0.23 stop: 33.80

Short-term momentum indicators continue to weaken on PCU. 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).

Entry on  November 04 at $33.80
Change since picked:     + 1.02   			
Earnings Date          10/22/09 (confirmed)    
Average Daily Volume:       3.5 million 
Listed on  November 03, 2009    


Polaris Industries - PII - close: 44.97 change: -0.38 stop: 43.25

PII tested short-term support near $44.00 again this morning. Traders did buy the dip but the stock has not yet broken the new short-term trend of lower highs. If you're looking for a new entry point consider waiting for a move over $46.00.

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

Entry on  November 09 at $45.15
Change since picked:     - 0.18   			
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:       516 thousand
Listed on  November 07, 2009    


Renolds American - RAI - close: 51.31 change: +0.05 stop: 49.49

RAI spent Tuesday consolidating sideways in a narrow range. Shares still look poised to move higher. Our target is $54.50. Our time frame is several weeks!

Entry on  November 14 at $50.32 
Change since picked:     + 0.99   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       1.6 million 
Listed on  November 14, 2009    


Symantec - SYMC - close: 17.94 change: -0.07 stop: 17.24

There is no change from my prior comments. We are waiting for a breakout higher with a trigger to open bullish positions 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.

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: 53.09 change: +0.12 stop: 49.75

The consolidation in TRV narrowed but we remain on the sidelines. We have a trigger to buy a dip at $52.15. Plus, we have an alternative entry point to open small positions (1/2 to 1/4 your normal size) if TRV hits $53.60. If triggered our target is $57.40.

Entry on  November xx at $xx.xx <-- TRIGGER @ 52.15 (or 53.60 small pos)
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: 18.83 change: -0.23 stop: 17.20

WYN is still consolidating sideways. I'm not suggesting new positions at these levels.

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).

Entry on  November 10 at $18.88 (1/2 position) /gap open higher
Change since picked:     - 0.05   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       3.5 million 
Listed on  November 10, 2009    


BEARISH Play Updates

Bank of New York - BK - close: 26.45 change: -0.35 stop: 27.16

Financials stocks were weak around the globe but the selling pressure mellowed by the time it hit the U.S. Shares of BK only lost 1.3%. We'll stick to our plan and wait for a breakdown under support. I'm suggesting a trigger to open bearish positions at $25.49. More cautious trader could wait for a drop under $25.00 since it might be round-number support.

If the newsletter is triggered at $25.49 our first target is $22.25. Our second target is $20.50. Our time frame is several weeks.

Entry on  November xx at $xx.xx <-- TRIGGER @ 25.49
Change since picked:     + 0.00   			
Earnings Date          01/20/10 (unconfirmed)    
Average Daily Volume:      11.4 million 
Listed on  November 21, 2009    


Exelon Corp. - EXC - close: 47.43 change: +0.03 stop: 47.25

EXC acts like it wants to breakout over resistance near $47.65. If we see a close over $48.00 we'll drop EXC as a bearish candidate. Our play is still unopened. 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.

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    


Liberty Global - LBTYA - close: 20.13 change: -0.50 stop: 21.26

LBTYA broke support near its exponential 200-dma, its long-term trendline of higher lows and the $20.00 mark intraday. Shares hit $19.79, which was enough to open our bearish play with our trigger at $19.85. Now that the play is open our first target is $18.20. Our second target is $16.20. Our time frame is several weeks.

Note: The bounce back above $20.00 is a little worrisome and readers may want to wait for a new relative low under $19.79 before launching positions.

chart:

Entry on  November 24 at $19.85
Change since picked:     + 0.28   			
Earnings Date          02/24/10 (unconfirmed)    
Average Daily Volume:       2.5 million 
Listed on  November 21, 2009    


Metlife Inc. - MET - close: 34.42 change: -0.07 stop: 36.05

MET spent the session churning sideways. I'm still bearish but readers may want to wait for a new drop under $34.00 or $33.60 to open positions. There is potential support at the 200-dma near $31.00 but I'm suggesting we target a drop to $30.25. More aggressive traders could aim lower.

Entry on  November 21 at $34.39 /gap higher entry
                           /originally listed at $33.90
Change since picked:     + 0.03   			
Earnings Date          02/04/10 (unconfirmed)    
Average Daily Volume:       7.2 million 
Listed on  November 21, 2009