Editor's Note:
The banking sector failed to participate in the generally widespread bounce on Monday. Overall it was a lackluster session.

-James

Current Portfolio:


BULLISH Play Updates

Autodesk Inc. - ADSK - close: 44.29 change: -0.02

Stop Loss: 41.90
Target(s): 48.50
Current Gain/Loss: + 0.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
05/09 update: The action in ADSK was a bit disappointing. Shares closed virtually unchanged on the session and volume was very light. I'm starting to grow more cautious on this trade. Readers may want to up their stops closer to the $43 level. Our target is $48.50 but we'll plan on exiting ahead of the mid May earnings report.

Current Position: Long ADSK stock @ $44.25

- or -

Long the May $45 calls (ADSK1121E45) Entry @ $1.19

Entry on May 3 at $44.25
Earnings Date 05/19/11 (unconfirmed)
Average Daily Volume: 2.1 million
Listed on April 23rd, 2011


Capital One Financial - COF - close: 53.37 change: -0.42

Stop Loss: 50.85
Target(s): 57.00, 59.50
Current Gain/Loss: + 0.5%
Time Frame: 4 to 8 weeks
New Positions: Yes, see below

Comments:
05/09 update: Financial stocks were underperformers on Monday. COF was no exception. The stock started the day at a loss and slowly drifted under a short-term pattern of lower highs. Readers might want to wait for COF to bounce from its 30-dma again (currently near $52.50) before considering new positions. Our upside targets are $57.00 and $59.50.

Current Position: Long COF stock @ $53.07

- or -

Long the June $55 calls (COF1118F55) Entry @ $0.96

Entry on May 5 at $53.07
Earnings Date 07/21/11 (unconfirmed)
Average Daily Volume: 3.7 million
Listed on May 4th, 2011


Discover Financial Services - DFS - close: 24.61 change: +0.32

Stop Loss: 23.40
Target(s): 27.25
Current Gain/Loss: + 2.1%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
05/09 update: DFS ignored the general weakness in financial stocks on Monday and posted a +1.3% gain. The stock is back above some of its key moving averages. The next level of resistance is the $25.00 mark.

(Small Positions)

Current Position: long DFS stock @ $24.10

- or -

Long the May $24 calls (DFS1121E24) Entry @

05/04 Triggered at $24.10.
04/30 Added an alternative entry point @ $25.25
04/26 New trigger @ 24.10, New stop loss @ 23.40

Entry on May 4 at $24.10
Earnings Date 06/23/11 (unconfirmed)
Average Daily Volume: 5.9 million
Listed on April 12th, 2011


EMC Corp. - EMC - close: 27.15 change: +0.03

Stop Loss: 26.45
Target(s): 29.95, 32.25
Current Gain/Loss: - 1.4%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
05/09 update: EMC delivered a very lackluster performance and shares closed virtually unchanged on Monday. The relative weakness is a bit worrisome. More conservative traders might want to wait for a new rise past $27.75 (or a close over $27.50) before initiating new positions.

Current Position: Long EMC stock @ $27.55

- or -

Long the June $27.00 calls (EMC1118F27) Entry @ $1.35

Entry on May 3 at $27.55
Earnings Date 04/20/11
Average Daily Volume: 21.4 million
Listed on April 27th, 2011


Ingersoll-Rand - IR - close: 50.87 change: +0.79

Stop Loss: 48.75
Target(s): 54.75
Current Gain/Loss: + 1.5%
Time Frame: 6 to 8 weeks
New Positions: Yes, see below

Comments:
05/09 update: IR displayed some relative strength with a +1.5% gain on Monday. I would still consider new positions now or you can wait for another dip near the $50 area. Our target is $54.75. FYI: The Point & Figure chart for IR is bullish with a $79 target.

Current Position: long IR stock @ $50.12

- or -

Long the June $50 call (IR1118F50) Entry @ $1.80

Entry on May 9 at $50.12
Earnings Date 07/22/11 (unconfirmed)
Average Daily Volume: 2.6 million
Listed on May 7th, 2011


NVIDIA Corp. - NVDA - close: 19.75 change: +0.43

Stop Loss: 18.19
Target(s): 21.85
Current Gain/Loss: + 3.6%
Time Frame: less than two weeks
New Positions: see below

Comments:
05/09 update: Semiconductor stocks struggled a bit today but NVDA bucked the trend. The company announced plans to buy wireless chip maker Icera for $367 million. Evidently Wall Street approves. NVDA rallied +2.2% on the news.

We are planning to exit prior to the May 12th earnings report.

Current Position: Long NVDA stock @ 19.05

- or -

Long the May $20 call (NVDA1121E20) Entry @ $0.56

Entry on May 3 at $19.05
Earnings Date 05/12/11 (confirmed)
Average Daily Volume: 19.0 million
Listed on May 2nd, 2011


Oracle Corp. - ORCL - close: 35.20 change: +0.33

Stop Loss: 32.95
Target(s): 38.00
Current Gain/Loss: + 1.4%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
05/09 update: ORCL managed to outperform the NASDAQ composite but the rally stalled at its 10-dma. Shares look poised to dip lower on Tuesday. Readers may want to wait for a pull back into the $34.50 area before considering new bullish positions.

Current Position: Long ORCL stock @ $34.70

- or -

Long the June $35 call (ORCL1118F35) Entry @ $0.98

Entry on April 25 at $34.70
Earnings Date 06/23/11 (unconfirmed)
Average Daily Volume: 25.1 million
Listed on April 23rd, 2011


SAIC, Inc. - SAI - close: 17.43 change: +0.17

Stop Loss: 16.95
Target(s): 18.40
Current Gain/Loss: + 0.5%
Time Frame: 8 to 9 weeks
New Positions: see below

Comments:
05/09 update: SAI managed a bounce off its rising 30-dma but volume was very light today. I am not suggesting new positions at this time.

Current Position: long SAI stock @ $17.33

- or -

Long the August $18.00 call (SAI1120H18) entry @ $0.55

04/30 Warning, SAI has produced a reversal. consider an early exit
04/27 New stop loss @ 16.95

Entry on April 6 at $17.33
Earnings Date 06/02/11 (unconfirmed)
Average Daily Volume: 2.4 million
Listed on April 5th, 2011


DENTSPLY Intl. - XRAY - close: 38.61 change: +0.29

Stop Loss: 37.30
Target(s): 42.00, 44.50
Current Gain/Loss: unopened
Time Frame: 6 to 8 weeks
New Positions: Yes, see trigger

Comments:
05/09 update: XRAY is moving the right direction but it has yet to clear its recent highs. Nimble traders might want to jump in early on a move through $38.80. Our plan is to launch bullish positions at $39.00. If triggered our profit targets are $42.00 and $44.50. FYI: The Point & Figure chart for XRAY is bullish with a $59 target.

NOTE: Readers may want to avoid the options. XRAY doesn't have a lot of option volume and the spreads are wide, which puts traders at a disadvantage.

Trigger @ $39.00

Suggested Position: buy XRAY stock @ 39.00

- or -

buy the June $40 call (XRAY1118F40)

Entry on May x at $xx.xx
Earnings Date 07/25/11 (unconfirmed)
Average Daily Volume: 904 thousand
Listed on May 7th, 2011


BEARISH Play Updates

Raytheon Co. - RTN - close: 49.51 change: +0.07

Stop Loss: 50.15
Target(s): 45.25
Current Gain/Loss: - 1.7%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
05/09 update: Friday looked like a failed rally at its 30-dma. Unfortunately there was no follow through lower today. I'm growing concerned that RTN is going to try and breakout higher from this current consolidation. There is still resistance near the $50.00 level but I'm hesitant to launch positions after today's action.

Small Positions

Current Position: Short RTN stock @ $48.68

- or -

Long the May $47.00 PUTs (RTN1121Q47) Entry @ $0.28

Entry on May 2 at $48.68
Earnings Date 04/28/11
Average Daily Volume: 2.6 million
Listed on April 30th, 2011


Tidewater Inc. - TDW - close: 55.81 change: +1.03

Stop Loss: 60.10
Target(s): 52.00
Current Gain/Loss: unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see trigger

Comments:
05/09 update: TDW was oversold and we were expecting a bounce. Our plan is to launch bearish positions at $57.75. Readers may want to step back and wait for the bounce to stall at resistance first before considering new positions. Keep in mind that we do not want to hold over the mid May earnings report.

Trigger @ $57.75 (Small Positions)

Suggested Position: Short TDW stock @ 57.75

- or -

Buy the June $55 PUT (TDW1118R55)

Entry on May x at $xx.xx
Earnings Date 05/19/11 (unconfirmed)
Average Daily Volume: 502 thousand
Listed on May 3rd, 2011