Editor's Note:
The stock market was frozen sideways as snow storms and holiday plans kept interest in stocks at a minimum. I can save you some time tonight. Almost nothing changed from yesterday. For the most part commodity-related names and banks drifted higher but gains were pretty minor. Nearly everything else was moving sideways.

-James

Current Portfolio:


BULLISH Play Updates

Alcoa Inc - AA - close: 15.25 change: +0.02

Stop Loss: 14.25
Target(s): 14.95, 15.95
Current Gain/Loss: +15.7%
Time Frame: 8 to 10 weeks
New Positions: see below

Comments:
12/28 update: Commodity-related stocks managed to rally in spite of strength in the U.S. dollar. AA's rally didn't get very far. There is no change from my prior comments. I'm expecting a correction toward the $14.50 area. Cautious traders may want to take profits now. Currently our final exit target is $15.95. Aggressive traders could aim higher (maybe the $17 area). No new positions at this time.

Current Position: Long AA stock @ 13.18

12/25: new stop loss @ 14.25
12/21: 1st Target Hit @ 14.95 (+13.4%)

Entry on November 16 at $13.18
Earnings Date 01/10/11 (unconfirmed)
Average Daily Volume: 26.1 million
Listed on November 6th, 2010


Automatic Data Processing - ADP - close: 46.53 change: -0.04

Stop Loss: 45.95
Target(s): 49.75, 52.50
Current Gain/Loss: unopened
Time Frame: 10 to 12 weeks
New Positions: Yes, see trigger

Comments:
12/28 update: ADP tried to bounce but the early morning strength faded. Currently our plan is to wait for a breakout and launch bullish positions at $47.25.
FYI: The Point & Figure chart for ADP is forecasting a bullish price target of $66.00.

Buy-the-breakout Trigger @ $47.25

Suggested Position: Buy ADP stock @ $47.25

- or -

Buy the 2011 February $50.00 call (ADP1119B50)

*Note: just because the Feb. $50 calls are cheap don't go overboard and buy too many. They're cheap for a reason. ADP may not hit $50 by Feb. expiration.

Entry on December xx at $xx.xx
Earnings Date 01/26/11 (unconfirmed)
Average Daily Volume: 2.8 million
Listed on December 16th, 2010


Alaska Air Group - ALK - close: 57.04 change: +0.49

Stop Loss: 54.90
Target(s): 59.75, 64.00, (option exit 61.75)
Current Gain/Loss: + 3.8%
Time Frame: 8 to 9 weeks
New Positions: see below

Comments:
12/28 update: The XAL airline index dropped again but this time ALK outperformed its peers. I remain cautious on the stock given the sector's weakness. More conservative traders may want to consider raising their stops. I am not suggesting new bullish positions at this time.

We want to sell half of our stock position at $59.75. Sell all of our January options at $61.75. Sell the rest of our stock position at $64.00.

Current Position: Long ALK stock @ $54.91

- or -

Long the 2011 January $60 calls (symbol: ALK1122A60) entry @ $1.60

12/21: First target is 59.75, adding second target at $64 for ALK stock.
12/21: Adjusting our only exit target on the calls to $61.75.

Entry on November 22 at $54.91
Earnings Date 01/27/11 (unconfirmed)
Average Daily Volume: 331 thousand
Listed on November 20th, 2010


Popular Inc. - BPOP - close: 3.08 change: +0.05

Stop Loss: 2.75
Target(s): 3.40, 3.95
Current Gain/Loss: + 2.6%
Time Frame: 12 to 16 weeks
New Positions: see below

Comments:
12/28 update: Financials continue to show strength. BPOP rallied toward last week's high. I am not suggesting new bullish positions at this time. Conservative traders may want to raise their stop closer to the 50-dma.

Current Position: Long BPOP stock @ $3.00

- or -

Long the 2011 April $3.00 calls (BPOP1116D3) Entry @ $0.34

12/22: Close over $3.00 is another bullish entry point.
12/18: New stop loss @ 2.75

Entry on December 14 at $ 3.00
Earnings Date 01/20/11 (unconfirmed)
Average Daily Volume: 11.7 million
Listed on December 11th, 2010


Citigroup Inc. - C - close: 4.78 change: +0.01

Stop Loss: 4.49
Target(s): 5.00, 5.35
Current Gain/Loss: + 1.0%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: Citigroup failed to truly participate in the banking sector's strength but then gains for the banks were relatively minor. I am not suggesting new bullish positions at these levels. This remains an aggressive, higher-risk trade. The plan was to keep our position size small to limit their risk.

Current Position: Long Citigroup stock @ $4.73

- or -

Long the 2011 March $5.00 calls (C1119C5) Entry @ $0.20

Entry on December 20 at $ 4.73
Earnings Date 01/18/11 (confirmed)
Average Daily Volume: 688 million
Listed on December 18th, 2010


Companhia Brasileira de Distribuicao - CBD - close: 40.43 change: -0.40

Stop Loss: 37.90
Target(s): 44.95, 49.00
Current Gain/Loss: + 0.4%
Time Frame: 12 to 14 weeks
New Positions: see below

Comments:
12/28 update: Uh-oh! The action today in CBD has produced a bearish engulfing candlestick (reversal) pattern. This could be just a fluke due to the market's low holiday volume. Plus, these patterns normally need to see confirmation. Still, I remain cautious on launching new positions. CBD can be a volatile stock so readers should consider this a higher-risk trade.

NOTE: We may need to reconsider our time frame on CBD. It could take longer than previously expected for shares to hit our targets.

Current Position: Long CBD stock @ $40.25

12/21 New stop loss @ 37.90

Entry on November 23 at $40.25
Earnings Date 03/02/11 (unconfirmed)
Average Daily Volume: 608 thousand
Listed on November 20th, 2010


Check Point Software Technologies - CHKP - close: 45.83 change: -0.09

Stop Loss: 43.95
Target(s): 47.25, 49.75
Current Gain/Loss: + 1.6%
Time Frame: 8 to 10 weeks
New Positions: see below

Comments:
12/28 update: CHKP spiked to a new high over $46.00 only to reverse. Nothing has changed from my prior comments. I would prefer to initiate new positions on a dip near $45.00.

Our first target is $47.25. Our second, longer-term target is $49.75. This could take several weeks. Investors will have to decide whether or not they are willing to hold over CHKP's earnings in late January.

Current Position: Long CHKP stock @ $45.10

- or -

Long the 2011 April $45.00 calls (CHKP1116D45) Entry @ $2.55

Entry on December 20 at $45.10
Earnings Date 01/26/11 (unconfirmed)
Average Daily Volume: 1.4 million
Listed on December 18th, 2010


Walt Disney Co. - DIS - close: 37.36 change: -0.12

Stop Loss: 36.75
Target(s): 39.90, 42.50
Current Gain/Loss: unopened
Time Frame: 10 to 12 weeks
New Positions: Yes, see trigger

Comments:
12/28 update: DIS continues to slip but traders bought the dip at $37.07. I suggested that nimble traders could try and buy a dip near $37.00. Officially the newsletter is waiting for a breakout over $38.00. I am suggesting a trigger at $38.25. We'll use a stop loss at $36.75. Our targets are $39.90 and $42.50. Our time frame is two or three months.

Trigger @ 38.25

- Suggested Positions -

Buy DIS stock @ 38.25

- or -

Buy the 2011 February $40.00 calls (DIS1119B40)

- or -

Buy the 2011 April $40.00 calls (DIS1116D40)

Entry on December xx at $xx.xx
Earnings Date 02/08/11 (unconfirmed)
Average Daily Volume: 8.6 million
Listed on December 25th, 2010


Ford Motor Co. - F - close: 16.73 change: -0.14

Stop Loss: 16.29
Target(s): 18.40, 19.95
Current Gain/Loss: - 1.0%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: It was a quiet day for Ford with the stock trading in a 20-cent range. Traders may want to consider new positions right here. Or you could wait for a move over the $17.00 level. We'll try and limit our risk with a stop loss at $16.29.

FYI: The Point & Figure chart for Ford is bullish with a long-term target of $19.50.

- Suggested Positions -

Long Ford stock @ $16.90

- or -

Long the 2011 January $17.50 calls (F1122a17.5) Entry @ $0.25

- or -

Long the 2011 March $18.00 calls (F1119C18) Entry @ $0.61

Entry on December 23 at $16.90
Earnings Date 01/27/11 (unconfirmed)
Average Daily Volume: 58.7 million
Listed on December 22nd, 2010


FLIR Systems Inc. - FLIR - close: 29.80 change: -0.03

Stop Loss: 27.40
Target(s): 30.90, 33.00
Current Option Gain/Loss: + 2.4%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: FLIR spent the session drifting sideways. There is no change from my previous comments. I am still expecting a correction toward $29.00. Wait for that dip near the $29.00 mark as our next entry point. FLIR doesn't move super fast but our targets are $30.90 and $33.00.

Current Position: Long FLIR stock @ $29.10

- or -

Long the 2011 April $30.00 calls (FLIR1116D30) Entry @ $1.60

Entry on December 22 at $29.10
Earnings Date 02/10/11 (unconfirmed)
Average Daily Volume: 1.6 million
Listed on December 18th, 2010


JB Hunt Transport Services - JBHT - close: 40.48 change: -0.14

Stop Loss: 38.75
Target(s): 43.50, 46.75
Current Option Gain/Loss: + 0.3%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: No change from my prior comments. I am suggesting readers look for a dip near $40.00 as our next entry point to launch bullish positions.

FYI: The Point & Figure chart for JBHT is bullish with a $54.50 target.

Suggested Position: Long JBHT stock @ $40.33

- or -

Buy the 2011 February $40 calls (JBHT1119B40) Entry @ $1.85

12/22 Entry at $40.33
12/21 New Entry Point - Launch Positions Now (open of 12/22)

Entry on December 22 at $40.33
Earnings Date 01/28/11 (unconfirmed)
Average Daily Volume: 1.2 million
Listed on December 13th, 2010


Morgan Stanley - MS - close: 27.66 change: +0.15

Stop Loss: 25.49
Target(s): 29.85, 31.85
Current Gain/Loss: + 2.6%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
12/28 update: Financials managed to extend their rally but gains were weak. MS outperformed with a +0.5% gain. Readers could launch positions now or wait for a dip toward $27.00 or the 200-dma. Our first target is $29.85.

Current Position: Long MS stock @ 26.95

- or -

Long the 2011 January $27.50 calls (MS1122a27.50) Entry @ $0.58

- or -

Long the 2011 April $27 calls (MS1116D27) Entry @ $1.64

Entry on December 22 at $26.95
Earnings Date 01/20/11 (unconfirmed)
Average Daily Volume: 12.2 million
Listed on December 21st, 2010


Microsoft Corp. - MSFT - close: 28.01 change: -0.06

Stop Loss: 25.95
Target(s): 27.45, 29.00
Current Gain/Loss: + 9.6%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: Upward momentum in MSFT appears to be fading. It's about time. We've been waiting for a correction. I would not launch new positions here.

Current Position: Long MSFT stock @ 25.55

- or -

Buy the 2011 January $25.00 calls (symbol: MSFT1122A25) Entry @ $1.39

12/25/10 new stop @ 25.95
12/18/10 new stop @ 25.70
12/14/10 Target hit @ 27.45 (+7.4%), option @ $2.55 (+83.4%)
12/11/10 New stop @ 25.45
11/29/10 New stop @ 24.70

Entry on November 17 at $25.55
Earnings Date 01/27/11 (unconfirmed)
Average Daily Volume: 68.4 million
Listed on November 15th, 2010


Mylan, Inc. - MYL - close: 21.26 change: -0.16

Stop Loss: 19.70
Target(s): 21.90, 22.90
Current Gain/Loss: unopened
Time Frame: 12 to 14 weeks
New Positions: Yes, see trigger

Comments:
12/28 update: Shares of MYL failed at $21.50 again. Aggressive traders could buy a breakout over $21.50. I'm suggesting we wait for a dip to $20.65.

The most recent data listed short interest at 12% of the 287 million-share float. Any significant rallies could fuel some short covering.
FYI: The Point & Figure chart for MYL is bullish with a $33 target.

Trigger to buy-the-dip @ $20.65

Suggested Position: Buy MYL stock @ $20.65

- or -

Buy the 2011 April $20.00 calls (MYL1116D20)

Entry on December xx at $xx.xx
Earnings Date 02/24/11 (unconfirmed)
Average Daily Volume: 9.0 million
Listed on December 20th, 2010


NII Holdings Inc. - NIHD - close: 44.00 change: -0.45

Stop Loss: 41.75
Target(s): 49.00, 53.50
Current Gain/Loss: - 1.1%
Time Frame: 8 to 10 weeks
New Positions: see below

Comments:
12/28 update: NIHD opened at $44.49 and then quickly faded toward the $44.00 level. Shares hovered near $44 all day long. The lack of follow through on yesterday's afternoon bounce is a little bit worrisome. Readers may want to wait for a move over $44.75 before initiating new positions.

My time frame is several weeks and we may end up exiting the January calls earlier than our stock position since January options expire in about four weeks. Cautious traders might want to consider a stop loss closer to $43.25 instead. FYI: The Point & Figure chart for NIHD is bullish with a $61 target.

Current Position: Long NIHD stock @ $44.49

- or -

Long the 2011 January $45.00 calls (NIHD1122A45) Entry @ $1.15

- or -

Long the 2011 February $48.00 calls (NIHD1119B48) Entry @ $1.10

Entry on December 28 at $44.49
Earnings Date 02/24/11 (unconfirmed)
Average Daily Volume: 1.9 million
Listed on December 27th, 2010


Starbucks Corp. - SBUX - close: 32.39 change: -0.08

Stop Loss: 31.70
Target(s): 34.75
Current Gain/Loss: + 0.4%
Time Frame: 8 to 10 weeks
New Positions: see below

Comments:
12/28 update: SBUX dipped toward $32.00 before paring its losses. We can still open bullish positions at current levels. More conservative traders looking for strength could wait for a move over $32.75. The plan was to keep our position size very small to limit our risk as SBUX remains overbought.

FYI: SBUX is currently in a legal battle with Kraft Foods (KFT) over distribution of SBUX's ground coffee brand but investors seem to be ignoring it.

Suggested Position: Long SBUX stock @ $31.25

- or -

Long the 2011 January $33.00 call (SBUX1122A33) Entry @ $0.55
Long the 2011 April $34.00 call (SBUX1116D34) Entry @ $1.30

12/27/10 Trigger hit @ 32.25
12/25/10 new trigger 32.25, new stop 31.70

Entry on December 27 at $32.25
Earnings Date 01/20/11 (unconfirmed)
Average Daily Volume: 7.1 million
Listed on December 8th, 2010


Sara Lee Corp - SLE - close: 17.55 change: +0.04

Stop Loss: 15.75
Target(s): 17.00, 17.90
Current Gain/Loss: +11.9%
Time Frame: 10 to 12 weeks
New Positions: no

Comments:
12/28 update: In the news today SLE announced that it will sell its cleaning products division (White King and the Janola unit) to Symex Holdings, an Australian company, for $50 million. Shares of SLE really didn't move much on the news. Readers may want to exit the options early. I am not suggesting new positions at this time.

Current Position: Long SLE stock @ $15.68

- or -

Long the 2011 April $15.00 calls (SLE1116D15) Entry @ $1.35

12/21/10 New stop loss @ 15.75
12/18/10 New stop @ 15.45, New final target @ 19.75
12/17/10 Target Hit @ 17.00 (+8.4%), option @ $2.00 (+48.1%)

Entry on December 8 at $15.68
Earnings Date 02/03/11 (unconfirmed)
Average Daily Volume: 7.6 million
Listed on December 7th, 2010


Sony Corp. - SNE - close: 35.84 change: +0.23

Stop Loss: 34.40
Target(s): 37.75, 39.75
Current Gain/Loss: + 0.6%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: SNE gapped open higher at the open and eventually settled with a +0.6% gain. I would still consider new bullish positions at current levels.

Current Position: Long SNE stock @ $35.60
- or -
Long the 2011 APRIL $35 calls (SNE1116D35) Entry @ $2.26

12/22 Triggered @ $35.60
12/21 New trigger @ 35.60, New stop @ 34.40

Entry on December 22 at $35.60
Earnings Date 02/03/11 (unconfirmed)
Average Daily Volume: 888 thousand
Listed on November 23rd, 2010


Trimble Navigation - TRMB - close: 39.93 change: -0.40

Stop Loss: 36.40
Target(s): 41.00, 43.00
Current Option Gain/Loss: unopened
Time Frame: 8 to 10 weeks
New Positions: Yes, see trigger

Comments:
12/28 update: There is no change from my prior comments. We are waiting for a correction with a trigger to open positions at $38.50. If we don't see shares move soon we might drop it. Then again, if TRMB closes over $40.60, we could launch new positions with a tight stop loss at $39.49. Keep that in mind as an alternative strategy.

Trigger @ $38.50

Suggested Position: Buy TRMB stock @ $38.50

- or -

Buy the 2011 February $40.00 calls (TRMB1119B40) current ask $2.35

Entry on December xx at $xx.xx
Earnings Date 02/02/11 (unconfirmed)
Average Daily Volume: 435 thousand
Listed on December 4th, 2010


Ternium S.A. - TX - close: 41.61 change: -0.15

Stop Loss: 35.85
Target(s): 43.00, 45.00
Current Gain/Loss: unopened
Time Frame: 12 to 14 weeks
New Positions: Yes, see trigger

Comments:
12/28 update: There is no change from my prior comments on TX. We don't want to chase it at current levels. At the moment our buy the dip entry point is $38.25 but we might adjust that if TX finds new support near $40.00.

Buy-the-Dip Trigger @ $38.25

Suggested Position: Buy TX stock

Note: TX does have options but the spreads are horrendously wide so I'm not suggesting any calls on this trade.

Entry on December xx at $xx.xx
Earnings Date 02/23/11 (unconfirmed)
Average Daily Volume: 295 thousand
Listed on December 14th, 2010


Wells Fargo & Co - WFC - close: 31.20 change: -0.01

Stop Loss: 28.90
Target(s): 29.25, 32.90
Current Gain/Loss: +16.0%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: The relative strength in the banking sectors today did not have much influence on shares of WFC. Shares of this bank slid sideways in a very narrow range. I am not suggesting new positions at this time. Our target to exit is $32.90. Aggressive traders could set their target near resistance at $34.00 instead. The Point & Figure chart is very bullish with a long-term $48 target.

Current Position: Long WFC stock @ $26.88

- or -

Long the 2011 January $27.50 call (WFC1122A27.5) Entry @ $1.16

12/22: New stop loss @ 28.90, New final target @ 32.90
12/21: New stop loss @ 28.49
12/09: New stop loss @ $27.90
12/08: Target Hit $29.25 (+8.8%), Option @ $2.30 (+98.2%)

Entry on November 30 at $26.88
Earnings Date 01/19/11 (unconfirmed)
Average Daily Volume: 32.7 million
Listed on November 29th, 2010


World Wrestling Entertainment - WWE - close: 14.45 change: -0.05

Stop Loss: 13.75
Target(s): 14.95, 16.40
Current Gain/Loss: + 2.4%
Time Frame: 10 to 12 weeks
New Positions: see below

Comments:
12/28 update: There is no change from my prior comments. I would prefer to launch new positions in the $14.30-14.00 zone. Readers may want to wait and buy a bounce instead of buying a dip.

Suggested Position: Long WWE stock @ $14.10

- or -

Buy the 2011 April $15.00 calls (WWE1116D15), entry @ $0.45

*Note: The call options on WWE have very large spreads, making them a higher-risk trade.

Entry on December 13 at $14.10
Earnings Date 02/10/11 (unconfirmed)
Average Daily Volume: 242 thousand
Listed on December 9th, 2010


Weyerhaeuser Co. - WY - close: 18.84 change: +0.13

Stop Loss: 16.99
Target(s): 19.95
Current Gain/Loss: unopened
Time Frame: 8 to 10 weeks
New Positions: Yes, see trigger

Comments:
12/28 update: WY is another commodity-related name that managed to rally in spite of strength in the U.S. dollar. We are waiting for a dip toward short-term support near $18.00. The plan is to buy the stock or calls at $18.10. We'll use a stop at $16.99 but more conservative traders might consider a stop loss closer to $17.50 instead. Our first target is $19.95.

Trigger @ 18.10

Suggested Position: Buy WY stock @ $18.10

- or -

Buy the 2011 April $20 calls (WY1116D20)

Entry on December xx at $xx.xx
Earnings Date 02/04/11 (unconfirmed)
Average Daily Volume: 4.7 million
Listed on December 25th, 2010