Editor's Note:
Disappointing economic data and growing worries over the situation in Greece sparked a global stock market sell-off.

Our NVDA play has been stopped out.

-James

Current Portfolio:


BULLISH Play Updates

Cheesecake Factory Inc. - CAKE - close: 30.25 change: -0.53

Stop Loss: 28.95
Target(s): 33.95, 37.00
Current Gain/Loss: - 4.0%
Time Frame: 8 to 10 weeks
New Positions: see below

Comments:
06/15 update: We were looking for a dip to $30.00 and we got it. Today's move appears to be a new entry point to buy CAKE but the market looks so ugly right now readers may want to hesitate on launching new positions.

Earlier Comments:
Keep in mind that CAKE doesn't move very fast (at least not normally) so we'll need some patience for this trade to work. FYI: The Point & Figure chart for CAKE is bullish with a $59 target.

Current Position: Long CAKE stock @ $31.53

- or -

Long the July $33 call (CAKE1116G33) Entry @ $0.75

06/09 CAKE is bouncing from the 200-dma as expected.
06/04 More conservative traders may want to exit early. We are expecting a drop to the 200-dma.

Entry on May 20 at $31.53
Earnings Date 07/21/11 (unconfirmed)
Average Daily Volume: 1.0 million
Listed on May 19th, 2011


Dr. Pepper Snapple Group - DPS - close: 40.72 change: -0.40

Stop Loss: 39.40
Target(s): 44.90
Current Gain/Loss: + 1.1%
Time Frame: 8 to 12 weeks
New Positions: see below

Comments:
06/15 update: DPS erased yesterday's gains, a common occurrence today. Shares did bounce near $40.50 this afternoon. This could be a new entry point or you could wait for another dip near $40.00 instead.

Current Position: Long DPS stock @ $40.25

- or -

Long Aug $45 call (DPS1120H45) Entry @ $0.30

06/14 new stop loss @ 39.40
06/04 new stop loss @ 38.95

Entry on June 3 at $40.25
Earnings Date 07/28/11 (unconfirmed)
Average Daily Volume: 2.1 million
Listed on May 14th, 2011


Ecolab Inc. - ECL - close: 54.90 change: -0.24

Stop Loss: 51.90
Target(s): 57.00, 59.90
Current Gain/Loss: + 2.9%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: ECL continues to show relative strength. The stock only fell -0.4% versus a -1.7% drop in the S&P 500. I would still consider new positions on dips in the $54.50-54.00 zone but more conservative traders may want to raise their stops closer to the $53.00 level.

Current Position: Long ECL stock @ 53.35

- or -

Long July $55 call (ECL1116G55) Entry @ $0.60

06/04 new stop loss @ 51.90

Entry on May 26 at $53.35
Earnings Date 07/26/11 (unconfirmed)
Average Daily Volume: 1.5 million
Listed on May 18th, 2011


Nanometrics Inc. - NANO - close: 16.80 change: -0.89

Stop Loss: 15.85
Target(s): 19.25, 22.00
Current Gain/Loss: - 0.1%
Time Frame: 6 to 8 weeks or more
New Positions: see below

Comments:
06/15 update: NANO gave back -5% today. The stock has dipped back toward its short-term trend of higher lows and its 10-dma. We can launch positions here or wait for a dip closer to the $16.25-16.00 and launch positions there.

We'll start with multi-week targets at $19.25 and $22.00. FYI: NANO does have options but the spreads are so wide I wouldn't trade them.

Current Position: Long NANO stock @ $16.82

Entry on June 13 at $16.82
Earnings Date 08/04/11 (unconfirmed)
Average Daily Volume: 467 thousand
Listed on June 11th, 2011


BEARISH Play Updates

Aon Corp. - AON - close: 50.12 change: -0.87

Stop Loss: 52.75
Target(s): 46.50
Current Gain/Loss: + 2.8%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: The bounce in AON has failed at its 100-dma. Shares are testing support near $50.00 again. The stock looks poised to breakdown. Readers could use a drop under $49.90 as a new entry point.

NOTE: The June $50 put has a bid of $30 cents. You could exit now with a -33% loss. I am suggesting we exit the June puts tomorrow (Thursday) at the closing bell.

Earlier Comments:
Our target is the $46.50 level. The option spreads on AON are a little wide. Conservative traders may not want to play the options.

(small positions only)

Current Position: short AON stock @ 51.61

- or -

Long the June $50 PUT (AON1118R50) entry @ $0.45

05/31 New stop loss @ 52.75
05/23 gap down entry @ 51.61

Entry on May 23 at $51.61
Earnings Date 07/29/11 (unconfirmed)
Average Daily Volume: 1.7 million
Listed on May 21st, 2011


AO Smith Corp. - AOS - close: 39.06 change: -1.00

Stop Loss: 42.05
Target(s): 36.00, 33.00
Current Gain/Loss: + 2.1%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: AOS is back to testing short-term support near $39.00. The intraday low today was $38.75. Readers may want to wait for a new relative low before initiating new positions.

FYI: The Point & Figure chart for AOS is bearish with a $33 target. Traders should also note that the most recent data listed short interest at 5% of the relatively small 38.2 million share float. That does raise the risk for a possible short squeeze and explains the volatile rallies in this stock.

NOTE: AOS does have options but the spreads appear too wide for us to trade them.

Current Position: short AOS stock @ $39.92

Entry on June 6 at $39.92
Earnings Date 07/20/11 (unconfirmed)
Average Daily Volume: 312 thousand
Listed on June 4th, 2011


Cabot Microelectronics - CCMP - close: 46.38 change: -0.79

Stop Loss: 50.05
Target(s): 45.15 & 200-dma
Current Gain/Loss: unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see trigger

Comments:
06/15 update: Hmm... the oversold bounce has ended a lot faster than we expected. I'm not willing to chase CCMP here. We'll leave this stock on the play list for a couple of days and then re-evaluate. Currently I am suggesting we launch bearish positions at $47.90 with a stop loss at $50.05. If triggered our first target is $45.15, near the March low. Let's keep our position size small to limit our risk. Traders need to be aware that the most recent data listed short interest at 15% of CCMP's very small 22.5 million share float. This significantly raises the risk of a short squeeze. Readers may want to only play the put options instead to limit risk.

Trigger @ $47.90

Suggested Position: short CCMP stock @ 47.90

- or -

buy the July $45 PUT (CCMP1116S45)

Entry on June x at $xx.xx
Earnings Date 07/28/11 (unconfirmed)
Average Daily Volume: 141 thousand
Listed on June 14th, 2011


Ford Motor Co. - F - close: 13.15 change: -0.28

Stop Loss: 14.26
Target(s): final target @ 12.55
Current Gain/Loss: + 8.6%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: Good news! There was no follow through on Ford's bounce and bullish reversal pattern. Shares gave up -2.0% today.

I am not suggesting new positions at this time. We have a stop at $14.26. The plan was to keep our position size small to limit our risk.

Small Positions!

Current Position: Short F stock @ $14.40

- or -

Long July $15 PUT (F1116S15) Entry @ $0.90

06/13 New stop loss @ 14.26. Final target at $12.55
06/13 Take Profits Now! Ford @ 13.14 (+8.75%), Option @ $1.89 (+110%)
06/11 new targets at $12.75 and TBD.
06/11 new stop loss @ 14.55
06/08 new stop loss @ 15.01

Entry on May 25 at $14.40
Earnings Date 07/21/11 (unconfirmed)
Average Daily Volume: 57 million
Listed on May 24th, 2011


Honeywell Intl. - HON - close: 56.05 change: -1.14

Stop Loss: 60.15
Target(s): 54.00
Current Gain/Loss: + 2.7%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: HON gave back the majority of yesterday's gains. The move looks like a new entry point for bearish positions. Cautious traders may want to lower their stop loss near resistance at $58.00 and the 100-dma.

Earlier Comments:
We do want to keep our position size small to limit our risk.

- Small Positions -

Current Position: short HON stock @ 57.65

- or -

Long July $55 PUT (HON1116S55) Entry @ $0.75

Entry on June 2 at $57.65
Earnings Date 07/22/11 (unconfirmed)
Average Daily Volume: 4.1 million
Listed on June 1st, 2011


Kohl's Corp. - KSS - close: 49.77 change: -0.46

Stop Loss: 51.75
Target(s): 47.50, 45.25
Current Gain/Loss: + 0.6%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: Our KSS has turned positive with a drop back under the $50.00 level. The stock remains a little oversold here but we can use this decline as a new entry point. More conservative traders may want to use a stop just above the 10-dma instead.

The plan was to keep our position size small to limit our risk. FYI: The Point & Figure chart for KSS is bearish with a $43 target.

- Small Positions-

Current Position: short KSS stock @ $49.80

- or -

Long July $47.50 put (KSS1116S47.5) Entry @ $0.75

Entry on June 13 at $49.80
Earnings Date 08/11/11 (unconfirmed)
Average Daily Volume: 4.1 million
Listed on June 11th, 2011


Marriott Intl. Inc. - MAR - close: 33.48 change: -1.14

Stop Loss: 36.55
Target(s): 33.65, and 30.50
Current Gain/Loss: + 5.4%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
06/15 update: I was honestly expecting MAR's oversold bounce to last a few days. Shares immediately reversed lower and gave up -3.2% today. I am not suggesting new positions at this time.

Current Position: Short MAR stock @ $35.39

- or -

Long July $33 PUT (MAR1116S33) Entry @ $0.60

06/13 1st Target Hit @ $33.65 (+4.9%), Option @ 0.90 (+50%)
06/13 New stop loss @ 36.55
06/11 Adjusted exit targets to $33.65 and 30.50

Entry on June 8 at $35.39
Earnings Date 07/13/11 (unconfirmed)
Average Daily Volume: 3.7 million
Listed on June 7th, 2011


Charles Schwab - SCHW - close: 16.06 change: -0.25

Stop Loss: 17.55
Target(s): 15.25
Current Gain/Loss: unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see trigger

Comments:
06/15 update: More aggressive traders might want to consider new bearish positions now. I'm willing to wait. There is no change from my prior comments.

I am suggesting we use a trigger to launch bearish positions at $16.75. More conservative traders could wait for a failed rally under $17.00 instead before launching positions. If triggered we'll use a stop loss at $17.55 and aim for a drop to $15.25. This could take several weeks but we do not want to hold over the mid July earnings report.

Trigger @ 16.75

Suggested Position: short SCHW stock @ $16.75

- or -

Buy the July $17.00 PUT (SCHW1116S17)

Entry on June x at $xx.xx
Earnings Date 07/18/11 (unconfirmed)
Average Daily Volume: 10.2 million
Listed on June 13th, 2011


St. Jude Medical - STJ - close: 47.74 change: -1.39

Stop Loss: 51.05
Target(s): 47.00, 45.75
Current Gain/Loss: + 6.3%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
06/15 update: STJ seems to be breaking down again. The stock lost -2.8% and closed under the $48.00 level. Our first target to take profits is at $47.00. We will exit our June $50 puts tomorrow (Thursday) at the closing bell whether STJ hit our target at $47.00 or not. More conservative traders may want to exit these puts now since they have a bid at $2.15 (+115%).

Earlier Comments:
We wanted to keep our position size small (about half or less than a normal trade) to limit our risk.

(Small Positions)

Current Position: Short STJ stock @ 51.00

- or -

Long the June $50 PUT (SJT1118R50) Entry @ $1.00

06/15 prepare to exit our June $50 puts on Thursday at the close
06/04 New stop loss @ 51.05, added second target at $45.75
05/23 New stop loss @ 52.26

Entry on May 20 at $51.00
Earnings Date 07/21/11 (unconfirmed)
Average Daily Volume: 2.6 million
Listed on May 16th, 2011


Target Corp. - TGT - close: 46.71 change: -0.58

Stop Loss: 50.15
Target(s): 45.15
Current Gain/Loss: unopened
Time Frame: 6 to 8 weeks
New Positions: Yes, see trigger

Comments:
06/15 update: There is no change from my prior comments on TGT. The plan is to wait for an oversold bounce back toward what should be new resistance in the $48.50-49.00 area. I'm suggesting a trigger to open bearish positions at $48.50. If triggered we'll use a stop loss at $50.15. Our first target is $45.15. FYI: The Point & Figure chart for TGT is bearish with a $43 target.

Trigger @ 48.50

Suggested Position: short TGT stock @ 48.50

- or -

buy the July $47 PUT (TGT1116S47) current ask $1.24

Entry on June x at $xx.xx
Earnings Date 08/18/11 (unconfirmed)
Average Daily Volume: 7.1 million
Listed on June 4th, 2011


CLOSED BULLISH PLAYS

NVIDIA Corp. - NVDA - close: 16.77 change: -0.37

Stop Loss: 16.59
Target(s): 19.50
Current Gain/Loss: - 4.6%
Time Frame: 1 to 2 weeks
New Positions: see below

Comments:
06/15 update: Our aggressive long play on NVDA has been stopped out. Shares broke down under technical support at its 200-dma. Our stop was hit at $16.59. Our plan was to keep our position size small to limit our risk.

- Small Positions Only -

closed Position: Long NVDA stock @ $17.40, exit 16.59 (-4.6%)

- or -

Long July $18 call (NVDA1116G18) Entry @ $0.68, exit 0.35 (-48.5%)

06/15 stopped out @ 16.59 (-4.6%), Option @ -48.5%
06/13 adjust stop loss from 16.70 to 16.59

chart:

Entry on June 10 at $17.40
Earnings Date 08/11/11 (unconfirmed)
Average Daily Volume: 19.8 million
Listed on June 9th, 2011