Editor's Note:

We are bullish on stocks for the next couple of weeks. Money managers are likely to chase performance and try to window dress their portfolios into the quarter end on March 31st. However, I would prefer to wait for a dip, hopefully early this week, before launching any new bullish trades.

Current Portfolio:


BULLISH Play Updates

Broadcom Corp. - BRCM - close: 33.67 change: -0.32 stop: 31.40

Semiconductor stocks encountered some profit taking on Friday. The trend for the sector is still up but if they reverse here it will look like a lower high for the SOX index. Meanwhile BRCM failed at its Thursday high and the move on Friday was a bearish engulfing (reversal) candlestick pattern. Normally these patterns require confirmation. Even if BRCM does retreat I would expect support near $32.00. If you're looking for a new entry point I would prefer to buy a bounce near the $32 region. Our first target is $34.95. Our second, more aggressive target is $37.40 with a time frame of several weeks.

Current Position: BRCM stock @ 32.66

Annotated chart:

Entry on March 11 at $32.66
Earnings Date 04/21/10 (unconfirmed)
Average Daily Volume: 8.0 million
Listed on March 10th, 2010


CITRIX Systems - CTXS - close: 48.34 change: +0.28 stop: 44.95

CTXS displayed some relative strength on Friday with a 0.5% gain. Yet shares rallied just enough to fill the gap from Wednesday morning. A failure to move higher would definitely look like a short-term reversal and I would expect a dip back toward $45.00. More conservative traders may want to take profits now. I am not suggesting new bullish positions at this time. Our target to exit is $49.65.

Current Position: CTXS stock @ 46.08

Annotated chart:

Entry on March 10 at $46.08
Earnings Date 04/29/10 (unconfirmed)
Average Daily Volume: 4.5 million
Listed on March 9th, 2010


Inland Real Estate Corp. - IRC - close: 9.40 change: +0.01 stop: 8.49

IRC held up pretty well on Friday. After a sharp two-week rally the stock managed to maintain its gains. I see this as a sign of strength. However, if you're looking for a new bullish entry point I would prefer to buy a dip. Look for a pull back toward the $9.00 region, which should be new support.

The first target to take profits is $9.99. Our second target is $10.95. Investors could probably hold on to IRC for months and aim for the $12.50-13.00 zone. Our time frame is several weeks and I do mean several!

Current Position: IRC stock @ $9.25

Annotated chart:

Entry on March 17 at $ 9.25
Earnings Date 05/06/10 (unconfirmed)
Average Daily Volume: 417 thousand
Listed on March 13th, 2010


Linear Tech. - LLTC - close: 28.36 change: -0.35 stop: 26.95

Profit taking in semiconductors helped fuel a 1.2% decline in LLTC on Friday. More aggressive traders could buy this dip. However, I think if you're patient we'll get a better entry point on a dip near $28.00 in the next day or two. Our first target is $29.95. Our second target is $30.95.

Current Position: LLTC stock @ 28.25

Option Traders:

Current Position: CALL APR 28.00 (LLTC 10D28.00) @ $1.00

Annotated chart:

Entry on March 16 at $28.25
Earnings Date 04/13/10 (unconfirmed)
Average Daily Volume: 3.9 million
Listed on March 11th, 2010


NUCOR - NUE - close: 44.39 change: -0.35 stop: 43.85

Strength in the dollar and weakness in commodities has weighed on NUE the past couple of days. Shares dipped toward support near $44.00 and its 50-dma and exponential 200-dma on Friday. If there is any follow through on Monday we'll probably get stopped out. I hesitate to launch new positions at this time.

Our first target to take profits is at $46.75. Our second and final target is $49.85.

Current Position: NUE stock @ $42.98

Annotated chart:

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


Palomar Medical Tech. - PMTI - close: 10.97 change: +0.28 stop: 9.74

Shares of PMTI displayed impressive relative strength on Friday with a late-day surge and a 2.6% gain. If you're looking for a new entry point I suggest waiting for a dip. A pull back toward the $10.50-10.30 zone could be an entry point. Our first target is $11.45. Our second target is $12.75 but PMTI will have to push past technical resistance at the 200-dma first. Our time frame is several weeks.

Current Position: PMTI stock @ 10.55

Annotated chart:

Entry on March 16 at $10.55
Earnings Date 04/29/10 (unconfirmed)
Average Daily Volume: 132 thousand
Listed on March 13th, 2010


Wells Fargo - WFC - close: 30.38 change: +0.09 stop: 28.75

The fact that traders keep buying the dips in WFC is encouraging. Shares are up three weeks in a row. While I'm bullish on WFC I'd rather launch new positions on a dip near $29.25. I am adjusting our exit plans. We'll make $31.35 our first target. $32.40 is our second target.

Current Position: WFC stock @ 29.53

Annotated chart:

Entry on March 11 at $29.53
Earnings Date 04/22/10 (unconfirmed)
Average Daily Volume: 38.1 million
Listed on March 10th, 2010


BEARISH Play Updates

Bally Technologies - BYI - close: 37.72 change: -0.76 stop: 40.05

BYI has rolled back over toward its March lows yet they have yet to break those lows. The low on Friday was $37.58. On Thursday I suggested readers wait for a new decline under $37.50 to open bearish positions.

Our first target to take profits is at $35.05 since the $35.00 level has been support in the past. Our second target is $32.00. More aggressive traders could aim for the $30 level.

FYI: This should be considered an aggressive trade. The most recent data available listed short interest at nearly 13% of the 52 million-share float. That is above average and if BYI makes a sudden move higher it raises the risk of a short squeeze.

Current Position: SHORT BYI stock @ 37.63

Annotated chart:

Entry on March 16 at $37.63
Earnings Date 05/06/10 (unconfirmed)
Average Daily Volume: 1.9 million
Listed on March 15th, 2010


Corrections Corp. of America - CXW - close: 19.83 chg: -0.55 stop: 21.26

Our bearish play for CXW is now open. Shares quickly fell through support near $20.00 and its 30-dma on Friday. Our trigger for bearish positions was hit at $19.90. CXW really under performed the market with a 2.69% decline and above average volume. Our target is $18.00. The low in February 2010 was $17.50.

CXW has hit our trigger at $19.90.

Current Position: SHORT CXW stock @ 19.90

Annotated chart:

Entry on March 19 at $19.90
Earnings Date 05/06/10 (unconfirmed)
Average Daily Volume: 1.1 million
Listed on March 17th, 2010


CLOSED BULLISH PLAYS

Goldcorp - GG - close: 38.87 change: -0.42 stop: 38.49

I am temporarily giving up on GG and gold. The situation in Greece is too volatile. A week or two ago it seemed that the situation had cooled with Greece's successful debt auction. Yet this past week Greece warned it may have to seek aid from the IMF anyway. This is seen as very bearish for the eurozone and the euro currency. Weakness in the euro is fueling a sharp bounce in the dollar, which has dragged gold prices lower. The gold miners have followed the price of gold lower.

I am dropping GG from our play list. The stock never hit our trigger to open bullish positions at $41.10.

Trigger to open positions was @ 41.10. Trade never opened.

Annotated chart:

Entry on March xx at $xx.xx *never opened*
Earnings Date 05/06/10 (unconfirmed)
Average Daily Volume: 7.5 million
Listed on March 16th, 2010


POWR - Powersecure Intl $7.91 Change -0.19 stop $7.95

Profit taking on Friday was enough to pull POWR under the $8.00 level and hit our stop loss at $7.95. Shares managed an intraday bounce from their 100-dma but the play is closed.

Closed Position: POWR stock @ 7.95
Entry was $7.64

Option buyers:
Closed Position (03/13/10) MARCH $7.50 CALL (POWR 10C0750) @ $1.45
Entry price on the option was $0.55

Annotated chart:

Entry on March 03 at $ 7.64
Earnings Date 03/11/10 (confirmed)
Average Daily Volume: 78K
Listed on March 2nd, 2010


CLOSED BEARISH PLAYS

PALM - Palm Inc - close: 4.00 change: -1.65 stop: 6.50

Target achieved. PALM was crushed with a 29% decline on Friday following its Thursday night earnings report. The company is quickly losing the smartphone battle to Apple and RIMM. Not only did several firms downgraded the stock but a few analysts set their price target at zero and worried about the future of the company.

We had a target to take profits and cover this trade at $4.00. Shares hit $3.96 on Friday.

Closed Position: (SHORT) PALM @ $4.00
Entry was at $5.80

covered half on 03/18/10 at $5.65

Annotated chart:

Entry on March 8th at $ 5.80
Earnings Date 03/18/10 (confirmed)
Average Daily Volume: 25 million
Listed on March 6th, 2010