Editor's Note:
The stock market has lost some of its upward momentum. We're taking a moment to adjust some of our entry points (HST, JPM) and some of our exits (SIA, CJES).

Current Portfolio:


BULLISH Play Updates

Ball Corp. - BLL - close: 37.75 change: -0.04

Stop Loss: 39.00
Target(s): 37.25
Current Gain/Loss: + 3.2%
Time Frame: up to the earnings report (01/26)
New Positions: see below

Comments:
01/24 update: This is it. Tomorrow is our last day. We want to exit Wednesday, Jan. 25th to avoid holding over earnings on Thursday morning. I'm suggesting we exit at the closing bell tomorrow. We will raise our stop loss up to $37.25 in the meantime.

current Position: Long BLL stock @ 36.55

- or -

Long Feb $35 call (BLL1221A35) entry 2.30

01/24/12 prepare to exit at the close tomorrow
01/24/12 new stop loss @ 37.25
01/21/12 remember, we want to exit prior to earnings on 01/26
01/18/12 new stop loss @ 36.65
01/12/12 new stop loss @ 36.25
01/11/12 new stop loss @ 35.75
01/06/12 trade triggered at $36.55
01/05/12 adjusted stop loss to $35.35, plan to exit prior to earnings

Entry on January 06 at $36.55
Earnings Date 01/26/12 (confirmed)
Average Daily Volume = 985 thousand
Listed on January 03, 2011


Cisco Systems Inc. - CSCO - close: 19.82 change: -0.01

Stop Loss: 18.95
Target(s): 21.75
Current Gain/Loss: + 2.3%
Time Frame: up to CSCO's February earnings
New Positions: see below

Comments:
01/24 update: CSCO clawed its way back from its morning lows to close virtually unchanged on the session. The bullish earnings report from AAPL tonight could have a positive impact on all big tech names tomorrow. I am raising our exit target to $21.75. We'll adjust our stop loss to $18.95.

Earlier Comments:
We want to ride the stock up to its early February earnings report but exit prior to the announcement. FYI: The Point & Figure chart for CSCO is bullish with a long-term $27.00 target.

Long Position: Long CSCO stock @ 19.37

- or -

Long Feb $20 call (CSCO1218B20) Entry $0.43

01/24/12 new stop loss @ 18.95, target adjusted to $21.75
01/18/12 trade opened on gap higher at $19.37

Entry on January 18 at $19.37
Earnings Date 02/08/12 (confirmed)
Average Daily Volume = 39.0 million
Listed on January 12, 2011


Walt Disney Company - DIS - close: 39.25 change: -0.00

Stop Loss: 37.90
Target(s): 42.50
Current Gain/Loss: unopened
Time Frame: up to earnings on Feb. 7th
New Positions: Yes, see below

Comments:
01/24 update: The stock market's widespread losses this morning pushed DIS down, just past its 20-dma, before shares reversed. The stock managed to close unchanged on the session. We are still waiting for a breakout higher. The plan is to keep our position size small. We're waiting for DIS to hit our trigger at $39.60.

Our bullish target might be a little optimistic given our time frame. We do not want to hold over DIS' earnings report on Feb 7th. Speaking of targets, we are aiming for $42.50 but the Point & Figure chart for DIS is bullish with a long-term $53 target.

Trigger @ 39.60 (Small Positions)

Suggested Position: buy DIS stock @ 39.60

- or -

buy the Feb $40 call (DIS1218B40)

01/23/12 adjusted strategy. Use trigger @ 39.60
01/21/12 trade not open yet. try again.

Entry on January xx at $ xx.xx
Earnings Date 02/07/12 (confirmed)
Average Daily Volume = 7.7 million
Listed on January 19, 2011


Gulfport Energy - GPOR - close: 33.30 change: +0.10

Stop Loss: 31.40
Target(s): 37.00
Current Gain/Loss: unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Comments:
01/24 update: Our new play on GPOR is not open yet. Both the stock and the S&P 500 opened lower this morning. Shares recovered and managed to post another gain. We want to try again.

I am suggesting small bullish positions at the open but only if both GPOR and the S&P 500 open positive. We'll use a stop loss at $31.40. Our target is $37.00 but keep an eye on the $35.00 level, which could be resistance.

Do not enter position unless GPOR and the S&P500 are both positive at the open

Suggested Position: buy GPOR stock @ the open

- or -

buy the FEB $35 call (GPOR1218B35) current ask $0.90

01/24/12 trade did not open. try again.

Entry on January xx at $ xx.xx
Earnings Date 03/12/12 (unconfirmed)
Average Daily Volume = 522 thousand
Listed on January 23, 2011


Human Genome Sciences - HGSI - close: 8.91 change: -0.02

Stop Loss: 8.30
Target(s): 11.00
Current Gain/Loss: + 0.7%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/24 update: Traders bought the dip this morning and HGSI delivered a nice rebound by the closing bell. Shares managed to outperform the market with a +2.4% gain.

Readers could be tempted to buy this bounce and just ratchet up your stop loss closer to today's low ($8.70). Or you could wait for HGSI to breakout past resistance near $9.50 or its 100-dma as an alternative entry point.

Keep in mind this is an aggressive trade and HGSI can be a volatile stock.

Our target is $11.00 but readers should note that the $10.00 level and the simple 100-dma could act as overhead resistance. I am suggesting we keep our position size small to limit our risk.

(small positions)

current Position: Long HGSI stock @ $9.06

- or -

Long Feb $10 call (HGSI1218B10) Entry $0.59

01/19/12 HGSI gapped open higher at $9.06 on a new "buy" rating

Entry on January 19 at $9.06
Earnings Date 02/23/12 (unconfirmed)
Average Daily Volume = 7.1 million
Listed on January 18, 2011


Host Hotels & Resorts - HST - close: 16.46 change: +0.19

Stop Loss: 15.45
Target(s): 17.90
Current Gain/Loss: unopened
Time Frame: up to the Feb. 14th earnings report
New Positions: Yes, see below

Comments:
01/24 update: Unfortunately our HST is not open yet. Both the stock and the S&P 500 opened lower. Yet HST rallied quickly off its morning lows to post a +1.1% gain and a new relative high. Readers might want to chase it here. I am suggesting an alternative. Let's adjust our strategy to buy a dip at $16.00 instead. FYI: The Point & Figure chart for HST is bullish with a $24.00 target.

Buy-the-dip trigger @ 16.00
(Small Positions)

Suggested Position: buy HST stock @ $16.00

- or -

buy the Feb $16 call (HST1218B16)

01/24/12 trade not open yet. adjust strategy to buy the dip at $16.00.

Entry on January xx at $ xx.xx
Earnings Date 02/14/12 (confirmed)
Average Daily Volume = 7.5 million
Listed on January 21, 2011


J.P.Morgan Chase & Co - JPM - close: 37.66 change: +0.00

Stop Loss: 35.95
Target(s): 42.50
Current Gain/Loss: unopened
Time Frame: 6 to 8 weeks
New Positions: Yes, see below

Comments:
01/24 update: JPM rebounded from its morning lows to close unchanged on the session. I am suggesting we adjust our entry point strategy. We'll use a trigger to open bullish positions at $38.05 with a stop at $35.95. More nimble traders may want to try and buy a dip in the $36.50-36.00 zone instead. More conservative traders may want to wait for JPM to actually close over $38.00 before launching new positions.

If our trade is opened we'll use a stop loss at $35.95. Our multi-week target is $42.50. FYI: The Point & Figure chart for JPM is bullish with a long-term $56 target.

Trigger @ 38.05

Suggested Position: buy JPM stock @ $38.05

- or -

buy the Feb $38 call (JPM1218B38)

- or -

buy the Mar $38 call (JPM1217C38)

01/24/12 still not open. adjust strategy to use a trigger @ 38.05
01/23/12 trade not open yet, S&P 500 opened negative. Try again.

Entry on January xx at $ xx.xx
Earnings Date 01/13/12
Average Daily Volume = 35.2 million
Listed on January 21, 2011


SAIC, Inc. - SAI - close: 12.88 change: -0.12

Stop Loss: 12.74
Target(s): 14.50
Current Gain/Loss: - 1.6%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
01/24 update: Hmm... I am growing more concerned about SAI. Shares underperformed today. The intraday bounce failed at $13.00 this morning. I am suggesting we exit positions immediately at the open tomorrow.

(Small Positions)

Suggested Position: long SAI stock @ $13.10

- or -

Long Feb $12 call (SAI1218B12) Entry $1.30

01/24/12 Exit early. We want to exit at the open tomorrow.

Entry on January 17 at $13.10
Earnings Date 03/22/12 (unconfirmed)
Average Daily Volume = 1.7 million
Listed on January 14, 2011


Starbucks Corp. - SBUX - close: 47.65 change: +0.31

Stop Loss: 46.95
Target(s): 49.00
Current Gain/Loss: + 3.4%
Time Frame: up to the January earnings report.
New Positions: see below

Comments:
01/24 update: We've only got two days left on this trade. SBUX reports earnings after the closing bell on January 26th. Right now I am planning to exit this trade at the close on Thursday to avoid holding over earnings. More conservative traders may want to exit tomorrow at the close instead.

SBUX managed to bounce at the $47.00 level this morning. We will inch up our stop loss to $46.95.

current Position: long SBUX stock @ $46.08

- or -

Long FEB $47 call (SBUX1218B47) entry $1.56

01/24/12 prepare to exit at the close on Jan. 26th.
new stop loss @ 46.95
01/21/12 new stop loss @ 46.75
01/19/12 Readers may want to take profits now!
01/18/12 new stop loss $ 46.40, adjust exit to $49.00
01/17/12 new stop loss @ 45.95
01/14/12 new stop loss @ 45.75, plan to exit prior to earnings
01/12/12 new stop loss @ 44.90
01/11/12 new stop loss @ 44.60
01/07/12 new stop loss @ 43.95

Entry on December 29 at $46.08
Earnings Date 01/26/12 (confirmed)
Average Daily Volume = 5.1 million
Listed on December 28, 2011


Smith & Wesson Holding Corp. - SWHC - close: 4.88 change: +0.16

Stop Loss: 4.55
Target(s): 5.65 or 6.40
Current Gain/Loss: + 1.0%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
01/24 update: Traders bought the dip near $4.60 again. The stock rallied off this short-term support and closed up +3.3% on the session. I am raising our stop loss to $4.55.

Earlier Comments:
I do consider this a very aggressive trade and we want to keep our position size small. The $5.00 level could be resistance but we're going to aim higher. I am setting two different targets depending on your risk tolerance. I'd aim for $5.65 or $6.40. FYI: The Point & Figure chart for SWHC is bullish with a long-term $9.50 target.

(Small Positions)

Suggested Position: long SWHC stock @ $4.83

01/24/12 new stop loss @ 4.55

Entry on January 17 at $4.83
Earnings Date 03/12/12 (unconfirmed)
Average Daily Volume = 962 thousand
Listed on January 14, 2011


Teck Resources - TCK - close: 41.26 change: -0.34

Stop Loss: 40.75
Target(s): 49.00
Current Gain/Loss: unopened
Time Frame: up to Feb 9 earnings report.
New Positions: Yes, see below

Comments:
01/24 update: Profit taking pushed TCK to a -0.8% decline. I don't see any changes from my prior comments. We are waiting on a breakout past resistance.

I am suggesting small bullish positions if TCK can trade at $43.10 or higher. We'll use a stop loss at $40.75 to start. More aggressive traders might want to keep their stop under $40.00 instead. Our target is the $49.00 level. Our target is pretty optimistic given our time frame. We do not want to hold over the Feb. 9th earnings report. FYI: The Point & Figure chart for TCK is bullish with a long-term $61.00 target.

Trigger @ $43.10 (small positions)

Suggested Position: buy TCK stock @ 43.10

- or -

buy the Feb $43 call (TCK1218B43)

Entry on January xx at $ xx.xx
Earnings Date 02/09/12 (confirmed)
Average Daily Volume = 2.3 million
Listed on January 23, 2011


Textainer Group Holdings - TGH - close: 31.77 change: +0.22

Stop Loss: 29.40
Target(s): 34.00
Current Gain/Loss: + 3.8%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/24 update: TGH did not see much of a sell-off this morning, which is encouraging. If the market rallies tomorrow I would expect TGH to breakout past the $32.00 level. I am not suggesting new positions at this time.

Earlier Comments:
A breakout could spark some short covering. The most recent data listed short interest at 11% of the very small 12.8 million share float. That raises the risk of a short squeeze. Plus, TGH should appeal to the high-yield crowd since shares sport a 4.7% yield. NOTE: TGH does have options but the spreads are a little wide.

current Position: Long TGH stock @ 30.60

01/19/12 new stop loss @ 29.40
01/13/12 TGH hit our trigger at $30.60 and reversed in less than one second. I am suggesting caution here.

Entry on January 13 at $30.60
Earnings Date 02/09/12 (unconfirmed)
Average Daily Volume = 172 thousand
Listed on January 11, 2011


BEARISH Play Updates

C&J Energy Services, Inc. - CJES - close: 17.62 change: +0.10

Stop Loss: 19.75
Target(s): 15.00
Current Gain/Loss: - 2.6%
Time Frame: 4 to 6 weeks, exit prior to earnings
New Positions: see below

Comments:
01/24 update: CJES is not cooperating. The stock spiked down to a new relative low by one cent at $17.10 and then immediately rebounded higher. CJES now looks poised to breakout from its recent sideways consolidation. The larger pattern is still bearish but I don't want to endure a new bounce back toward resistance near $20 and its 50-dma. Therefore I am suggesting an early exit immediately at the open tomorrow. We can keep CJES on our watch list for a failed rally near $20.00 as a potential entry point for new bearish trades.

Earlier Comments:
Our target is $15.00. We do want to keep our position size small to limit our risk. The most recent data listed short interest at about 15% of the small 35.9 million-share float. That does raise the risk of a short squeeze. You may want to use put options to limit your risk instead of shorting the stock. FYI: The Point & Figure chart for CJES is bearish with a $12.00 target.

(small positions)

Current Position: short CJES stock @ 17.80

- or -

Long Feb $17.50 put (CJES1218N17.5) Entry $0.98

01/24/12 CJES is not cooperating. Prepare to exit at the open tomorrow morning

Entry on January 18 at $17.80
Earnings Date 02/15/12 (unconfirmed)
Average Daily Volume = 923 thousand
Listed on January 17, 2011