BULLISH Play Updates

Bank of Hawaii - BOH - close: 46.27 change: +0.70 stop: 43.90

Banking stocks continued to lag the rest of the market but the Dubai bailout news is positive for the global banking system. Today's 1.5% gain in BOH is a bullish breakout from the short-term consolidation but shares still have some overhead resistance. Aggressive traders might want to consider small positions now. I'm sticking to my earlier comments - wait for a move past $46.50 or the Nov. 23rd high of $46.75 before considering new positions. Our first target is $49.85. I'm adding a second target at $53.50.

Entry on  November 18 at $46.20 
Change since picked:     + 0.07   			
Earnings Date          01/25/10 (unconfirmed)    
Average Daily Volume:       424 thousand
Listed on  November 17, 2009    


Broadcom - BRCM - close: 30.56 change: +0.40 stop: 28.75

Friday's action still looks ominous but I'd buy this bounce from $30.00. More conservative traders could use a tighter stop loss.

The stock may not move much as investors wait to hear what the company has to say at their "analyst day" on Tuesday. Our first BRCM target is $34.75. Our second target is $37.00. Our time frame is several weeks.

Entry on  December 07 at $31.25
Change since picked:     - 0.69   			
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:       7.4 million 
Listed on  December 05, 2009    


Cal-Maine Foods Inc. - CALM - close: 29.03 change: +0.00 stop: 27.49

It was a quiet session for CALM. The stock closed unchanged on the session. I don't see any changes from my weekend comments. Our first target to take profits is at $30.95. Our target is somewhat aggressive since we only have two or three weeks before CALM reports earnings and we don't want to hold over the report.

Entry on  December 09 at $28.66 -small positions-
Change since picked:     + 0.37   			
Earnings Date          12/28/09 (unconfirmed)    
Average Daily Volume:       125 thousand
Listed on  December 09, 2009    


Disney - DIS - close: 31.83 change: +0.13 stop: 29.99

DIS hit a new high for the year. I don't see any changes from my weekend comments.

Shares of DIS are testing a trendline of higher highs. Patient traders may want to wait for a dip back toward $31.00-30.50 before initiating positions. Our target is a little optimistic at $34.75 but we will plan to exit ahead of the February earnings report. FYI: The Point & Figure chart currently points to a $45 target.

Entry on  December 12 at $31.70 
Change since picked:     + 0.13   			
Earnings Date          02/09/10 (unconfirmed)    
Average Daily Volume:      11.0 million 
Listed on  December 12, 2009    


Home Depot - HD - close: 28.87 change: +0.38 stop: 27.40

We didn't have to wait long for HD to hit our trigger. Actually shares gapped open higher at $28.82, which was above our trigger to open bullish positions at $28.60. I would still consider new bullish positions in the $29.00-28.00 zone. Our first target is $30.60. We'll plan to exit ahead of the February earnings report. FYI: The P&F chart is very bullish with a $44 target.

Entry on  December 14 at $28.82 *gap higher entry  
Change since picked:     + 0.05   			
Earnings Date          02/23/10 (unconfirmed)    
Average Daily Volume:      15.7 million 
Listed on  December 12, 2009    


HMS Holdings - HMSY - close: 46.79 change: +1.15 stop: 43.90

The widespread market rally helped push HMSY to a 2.5% gain and a new 2009 high. Our multi-week target is $49.75. FYI: The P&F chart is bullish with a $69 target.

Entry on  December 05 at $45.72 
Change since picked:     + 1.07   			
Earnings Date          02/18/10 (unconfirmed)    
Average Daily Volume:       192 thousand
Listed on  December 05, 2009    


Johnson & Johnson - JNJ - close: 64.96 change: +0.11 stop: 59.90

In spite of the market's strength JNJ is still fighting with resistance near $65.00. JNJ remains short-term overbought and due for a correction. Broken resistance in the $62.00-62.50 level should offer some support. I'm not suggesting new positions at this time. Our target first target is $67.50.

Entry on  November 23 at $63.05
Change since picked:     + 1.91   			
Earnings Date          01/26/10 (unconfirmed)    
Average Daily Volume:      12.6 million 
Listed on  November 21, 2009    


Potlatch Corp. - PCH - close: 32.17 change: +0.67 stop: 29.49

Traders bought the dip in PCH at its rising 10-dma. This is short-term bullish. 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:     + 1.87   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       503 thousand
Listed on  November 11, 2009    


Renolds American - RAI - close: 53.40 change: +0.40 stop: 50.90

RAI spiked to $54.00 this morning but eventually pared its gains to just +0.75%. I don't see any changes from my prior comments. I'm not suggesting new positions at this time. Our target to exit is $54.90.

Entry on  November 14 at $50.32 
Change since picked:     + 3.08   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       1.6 million 
Listed on  November 14, 2009    


Starbucks Corp. - SBUX - close: 22.84 change: +0.44 stop: 20.95

SBUX extends its gains with a 1.9% rally. More conservative traders might want to raise their stops. Our first target is $24.90.

Entry on  December 10 at $22.25
Change since picked:     + 0.59   			
Earnings Date          01/28/10 (unconfirmed)    
Average Daily Volume:      10.9 million 
Listed on  November 30, 2009    


Travelers Companies - TRV - close: 51.02 change: +0.32 stop: 49.75

TRV is still struggling with short-term resistance near $51.00. I am not suggesting new positions at this time. Our last upside target was $57.40.

Entry on  November 27 at $51.94 /gap down entry point 
Change since picked:     - 0.92   			
Earnings Date          01/27/10 (unconfirmed)    
Average Daily Volume:       5.3 million 
Listed on  November 07, 2009    


Texas Instruments - TXN - close: 25.98 change: +0.34 stop: 24.40

Volume was relatively light for TXN's 1.3% gain. I would prefer to open new positions on a dip near the 30-dma (25.35) but a move over $26.25 could work as a momentum entry point. Our first target is $29.75.

Entry on  December 02 at $26.15
Change since picked:     - 0.17   			
Earnings Date          01/26/10 (unconfirmed)    
Average Daily Volume:      12.6 million 
Listed on  December 01, 2009    


Warner Chilcott - WCRX - close: 27.40 change: +0.43 stop: 23.90

Target achieved. WCRX extended its gains and set a new 2009 high at $27.70. I am not suggesting new positions at this time. Our first target was $27.40. Our second target is $29.45.

chart:

Entry on  December 01 at $24.77 gap open entry point (small positions)
Change since picked:     + 2.63   	
                         /1st target hit @ 27.40 (+10.6%)
Earnings Date          02/25/10 (unconfirmed)    
Average Daily Volume:       1.8 million 
Listed on  November 28, 2009    


Wyndham Worldwide - WYN - close: 20.66 change: +0.64 stop: 18.45 *new*

WYN rallied from the $20.00 level to close near its highs. I'm raising our stop loss to $18.45. Our first target is $21.00. Our second and final target is $22.40. 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:     + 1.78   			
Earnings Date          02/11/10 (unconfirmed)    
Average Daily Volume:       3.5 million 
Listed on  November 10, 2009    


Financial SPDR - XLF - close: 14.47 change: +0.08 stop: 14.15

Financials rallied but they continue to lag behind the rest of the market. I remain cautious on this sector.

At this point I would wait for a move over $15.00 before considering new bullish positions. Our target is $16.40.

Entry on  December 03 at $14.85 
Change since picked:     - 0.38   			
Earnings Date          --/--/-- (unconfirmed)    
Average Daily Volume:        82 million 
Listed on  December 02, 2009    


BEARISH Play Updates

Activision-Blizzard - ATVI - close: 10.83 change: +0.08 stop: 11.45 *new*

ATVI failed to move much on the market's rally. That's good news for the bears but if the S&P 500 really breaks out higher we may want to consider an early exit out of this trade. At the moment the trend is still down.

Our first target is $10.05. Our second target is $9.25. Our time frame is several weeks. FYI: The Point & Figure chart is currently forecasting a $7.50 target.

Entry on  December 04 at $11.15
Change since picked:     - 0.32   			
Earnings Date          02/04/10 (unconfirmed)    
Average Daily Volume:        20 million 
Listed on  November 28, 2009    


Bank of New York - BK - close: 27.04 change: +0.10 stop: 27.16

BK continues to trade sideways in a narrow range.

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    


Wells Fargo - WFC - close: 25.49 change: +0.08 stop: 28.01

If the financials don't participate this market rally isn't going very far. Shares of WFC failed under the $26.00 level today. Technically this is a new bearish entry point but I would hesitate to launch positions with the S&P 500 poised to break higher. Our first bearish target for WFC is $23.10. Our second and final target is $21.00.

Entry on  December 10 at $25.75 (small positions)
Change since picked:     - 0.26   			
Earnings Date          01/27/10 (unconfirmed)    
Average Daily Volume:        37 million 
Listed on  December 08, 2009    


CLOSED BULLISH PLAYS

Best Buy Inc. - BBY - close: 45.37 change: +1.03 stop: 42.95

Our BBY play is closed. The plan was to exit today at the closing bell to avoid earnings tomorrow morning. The stock rallied 2.3% thanks to a widespread market rally.

chart:

Entry on  November 10 at $42.20
Change since picked:     + 3.17 <-- early exit (+7.5%)
Earnings Date          12/15/09 (unconfirmed)    
Average Daily Volume:       5.1 million 
Listed on  November 09, 2009