Editor's Note: James is traveling this week.


BULLISH Play Updates

Ford Motor Co. - F - close: 11.74 change: -0.04 stop: 10.99

Ford continues to show relative strength and closed near the highs for the week. The problems with Toyota are helping Ford. I don't see any changes from James' prior comments and would still open bullish positions between $11.40-11.50 when available. There is potential resistance at the January highs but our first target is $12.50. Our second, longer-term target is $13.40. Our time frame is several weeks.

Entry on  February 23 at $11.72 /gap higher entry
Change since picked:     + 0.06   			
Earnings Date          04/22/10 (unconfirmed)    
Average Daily Volume:        96 million 
Listed on  February 23, 2010    



Lennox Intl. - LII - close: 42.19 change: -0.13 stop: 39.75

The rebound on Friday ran out of steam and the stock closed negative. James wants to wait for a dip to $41.00 before initiating positions. With strong support at the 50-day at $40.35 that works for me. In reality readers could look for a pull back into the $41.00-40.00 zone as an entry point. If triggered our first target is $44.95. LII doesn't move super fast so be patient.

Entry on  February xx at $xx.xx <-- TRIGGER @ 41.00
Change since picked:     + 0.00   			
Earnings Date          04/22/10 (unconfirmed)    
Average Daily Volume:       591 thousand
Listed on  February 18, 2009    



NUCOR - NUE - close: 41.37 change: -0.48 stop: 39.95

I would NOT enter this play today. I understand why James is playing NUE but I would not enter any new positions at this time.

James' comments: NUE is channeling sideways with support in the $39-40 zone and resistance in the $50-51 zone. We can buy dips (or bounces) in the $40-41 area. More aggressive traders may want to use a wider stop loss and place their stop under the February low (38.93). If you want to wait for a little confirmation on the bounce then look for a new rise over $43.00 to initiate positions.

Our first target to take profits is at $46.75. Our second and final target is $49.85. Our time frame is about four to six weeks.

Entry on  February 16 at $42.98 (small positions)/gap higher entry
Change since picked:     - 1.10   			
Earnings Date          04/22/10 (unconfirmed)    
Average Daily Volume:       6.1 million 
Listed on  February 16, 2009    



Patterson Companies - PDCO - close: 29.67 change: -0.34 stop: 27.99

James is looking for a return to support at the 50-day average for an entry.

James comments: More aggressive traders can jump in now or look for a move over $30.25 as their entry point. I would rather wait to buy a dip at $29.00, near the rising 50-dma. More conservative traders may want to up their stop toward the $28.50 region. If we are triggered at $29.00 our first target is $32.50. Our time frame is four to six weeks.

Entry on  February xx at $xx.xx <-- TRIGGER @ 29.00
Change since picked:     + 0.00   			
Earnings Date          05/20/10 (unconfirmed)    
Average Daily Volume:       1.4 million 
Listed on  February 20, 2009    



ROSS Stores - ROST - close: 48.92 change: +0.05 stop: 47.25 *new*

The rally continues in ROST. The relative strength is very encouraging. I am raising our stop loss to $47.25. Our target to exit is $49.75.

Entry on  February 13 at $46.43 (small positions)
Change since picked:     + 2.44   			
Earnings Date          03/18/10 (unconfirmed)    
Average Daily Volume:       2.4 million 
Listed on  February 13, 2009    



Raytheon Co - RTN - close: 56.25 change: +0.39 stop: 54.95 *new*

New high for RTN on Friday. The Thursday dip was bought aggressively. Let's hope this continues.

Our stop loss is $53.75. Our target to exit is $59.50. Our time frame is four to six weeks.

Entry on  February 25 at $55.85
Change since picked:     + 0.00   			
Earnings Date          04/22/10 (unconfirmed)    
Average Daily Volume:       2.9 million 
Listed on  February 20, 2009    



BEARISH Play Updates

Ameritrade - AMTD - close: 17.64 change: +0.19 stop: 18.26

Nice gap and crap on Friday. The AMTD CEO said there was little chance of an Etrade acquisition until Etrade got rid of their questionable loans. I am changing the first target to $16.75. Our second target is $15.05.

Entry on   January 28 at $17.88 
Change since picked:     - 0.38   			
Earnings Date          04/21/10 (unconfirmed)    
Average Daily Volume:       6.1 million 
Listed on   January 28, 2009    



PACCAR Inc. - PCAR - close: 35.35 change: -0.35 stop: 36.65

I think PCAR is going to retest the February lows but I am changing the first target to $33.75. There is decent support at $33.50. Our second target is $30.50. Our time frame is several weeks. FYI: It is worth noting that the most recent data listed short interest at 7.5% of the 321-million share float.

Entry on  February 23 at $34.90
Change since picked:     + 0.80   			
Earnings Date          04/28/10 (unconfirmed)    
Average Daily Volume:       3.1 million 
Listed on  February 20, 2009    



Yum Brands - YUM - close: 33.73 change: +0.02 stop: 34.15

James comments: Bigger picture it looks like YUM is poised to trade lower but the stock might see a short-term rally toward stronger resistance at $34.50 and its 50 and 200-dma. Cautious traders could tighten their stops down toward $33.90 and if you get stopped out you could re-enter if YUM produces a failed rally near $34.50. I'm not suggesting new positions at this moment. Our first target is $30.15. Our longer-term target is $28.00.

Entry on  February 23 at $33.73 /gap open entry
Change since picked:     - 0.03   			
Earnings Date          02/24/10 (unconfirmed)    
Average Daily Volume:       4.3 million 
Listed on  February 23, 2010    



CLOSED BULLISH PLAYS

UltraShort Europe - EPV - close: 24.44 change: -.33

The odds are increasing for a resolution to the Greek problem. Germany and France are said to be working on a debt guarantee or an outright buy of Greek bonds for next week.

EXIT Now @ $24.44

Entry on  February 23 at $24.82 /gap open entry
Change since picked:     - 0.01   			
Earnings Date          --/--/-- 
Average Daily Volume:        98 thousand
Listed on  February 23, 2010