Editor's Note:
Stocks continued to rally for the second day in a row.

I am suggesting an early exit on our SYNA trade. I've updated multiple stops tonight.

Current Portfolio:


BULLISH Play Updates

American Intl. Group - AIG - close: 36.35 change: +0.06

Stop Loss: 34.45
Target(s): 39.75
Current Gain/Loss: + 1.0%

Entry on October 9 at $36.00
Listed on October 8, 2012
Time Frame: exit prior to earnings on Nov. 1st
Average Daily Volume = 44 million
New Positions: see below

Comments:
10/16/12: AIG posted a gain but it was a close call with shares fading lower into the afternoon. I would not be surprised to see AIG retest the $36.00 level as new short-term support.

Our target is $39.75 but we'll plan on exiting prior to the early November earnings report. FYI: The Point & Figure chart for AIG is bullish with a $42.50 target.

Current Position: Long AIG stock @ $36.00

- (or for more adventurous traders, try this option) -

Long Nov $37 call (AIG1211k37) entry $0.76

10/15/12 new stop loss @ 34.45



AOL Inc. - AOL - close: 37.31 change: +0.09

Stop Loss: 35.49
Target(s): 39.90
Current Gain/Loss: +0.2%

Entry on October 16 at $37.23
Listed on October 15, 2012
Time Frame: exit prior to the Oct. 31st earnings report
Average Daily Volume = 1.6 million
New Positions: see below

Comments:
10/16/12: Tuesday proved to be a slow session for AOL. The stock opened at $37.23, immediately dipped to $36.80 and then fought its way back into positive territory. Overall I don't see any changes from my prior comments and would still consider new positions at current levels.

Suggested Position: buy AOL stock @ $37.23

- (or for more adventurous traders, try this option) -

Long NOV $38 call (AOL1217k38) entry $1.10



Bio-Reference Labs - BRLI - close: 32.09 change: +0.02

Stop Loss: 30.95
Target(s): 34.75
Current Gain/Loss: + 6.1%

Entry on October 03 at $30.25
Listed on October 2, 2012
Time Frame: 4 to 6 weeks
Average Daily Volume = 232 thousand
New Positions: see below

Comments:
10/16/12: BRLI's peformance was disappointing. The market produced a widespread gain and yet BRLI closes virtually flat. Traders bought the dip at its rising 10-dma. I am raising our stop to $30.95. I am not suggesting new positions at this time. More conservative traders may want to take profits now.

current Position: Long BRLI stock @ $30.25

10/16/12 new stop loss @ 30.95
10/11/12 new stop loss @ 30.75
10/04/12 new stop loss @ 29.90
10/03/12 new stop loss @ 29.25
10/03/12 triggered @ 30.25



Colfax Corp. - CFX - close: 37.11 change: +0.50

Stop Loss: 35.90
Target(s): 39.90
Current Gain/Loss: + 0.3%

Entry on October 01 at $37.00
Listed on September 29, 2012
Time Frame: exit prior to the late October earnings report
Average Daily Volume = 753 thousand
New Positions: see below

Comments:
10/16/12: We were expecting CFX to breakout higher soon and shares delivered that break today. The stock actually gapped open higher. I am raising our stop loss to $35.90. I am not suggesting new positions at this time.

The plan was to keep our position size small to limit our risk. FYI: The Point & Figure chart for CFX is bullish with a long-term $59 target.

*Small Positions*

Suggested Position: Long CFX stock @ $37.00

10/16/12 new stop loss @ 35.90
10/13/12 new stop loss @ 35.40
10/01/12 triggered @ 37.00



Medidata Solutions - MDSO - close: 40.11 change: +0.11

Stop Loss: 39.40
Target(s): 43.00
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 13, 2012
Time Frame: exit prior to the late October earnings report
Average Daily Volume = 161 thousand
New Positions: Yes, see below

Comments:
10/16/12: I am starting to worry about MDSO. The stock market is up two days in a row and yet shares of MDSO can't escape the gravitational pull of the $40.00 mark. That's not very inspiring.

The plan is to keep our position size small to limit our risk. I am also raising our stop loss to $39.40. I am suggesting a trigger to launch small bullish positions at $40.50 with a stop loss at $39.25.

Trigger @ 40.50

Suggested Position: buy MDSO stock @ (trigger)



Plum Creek Timber - PCL - close: 43.88 change: +0.34

Stop Loss: 42.40
Target(s): 44.95
Current Gain/Loss: + 1.7%

Entry on October 15 at $43.15
Listed on October 13, 2012
Time Frame: exit prior to earnings on Oct. 29th (not yet confirmed)
Average Daily Volume = 1.1 million
New Positions: see below

Comments:
10/16/12: PCL continues to bounce but it seems to be having trouble with resistance near the $44.00 level. I am raising our stop loss to $42.40.

current Position: Long PCL stock @ $43.15

10/16/12 new stop loss @ 42.40
10/15/12 triggered at $43.15



BEARISH Play Updates

Centene Corp. - CNC - close: 34.98 change: -0.56

Stop Loss: 36.65
Target(s): 31.50
Current Gain/Loss: + 4.8%

Entry on September 20 at $36.75
Listed on September 19, 2012
Time Frame: exit prior to earnings on Oct. 23rd.
Average Daily Volume = 693 thousand
New Positions: see below

Comments:
10/16/12: CNC continues to show relative weakness with a -1.5% decline. The stock is now testing potential round-number support at $35.00.

I am not suggesting new positions at this time.

NOTE: We only have three days left on our October $35 PUT. The current bid on our put is 50 cents.

current Position: short CNC stock @ $36.75

- (or for more adventurous traders, try this option) -

Long Oct $35 PUT (CNC1220v35) Entry $1.20

10/13/12 new stop loss @ 36.65
10/10/12 new stop loss @ 37.05
10/02/12 new stop loss @ 38.05



World Fuel Services - INT - close: 34.50 change: +0.50

Stop Loss: 35.01
Target(s): 30.15
Current Gain/Loss: - 1.8%

Entry on October 15 at $33.90
Listed on October 13, 2012
Time Frame: exit prior to the late October earnings
Average Daily Volume = 300 thousand
New Positions: see below

Comments:
10/16/12: After five days of declines INT finally bounced with a +1.4% gain. The stock should have resistance at the $35.00 level. I would wait for a clearly defined failed rally under $35.00 or a new drop under $35.00 before considering new positions.

The plan was to keep our position size small to limit our risk. We do not want to hold over the late October earnings report (not yet confirmed). FYI: The Point & Figure chart for INT is bearish with a $27.00 target.

(Small Positions)

current Position: short INT stock @ $33.90

10/15/12 triggered @ 33.90



Sohu.com - SOHU - close: 39.28 change: +0.01

Stop Loss: 41.40
Target(s): 36.00
Current Gain/Loss: + 0.7%

Entry on October 10 at $39.55
Listed on October 9, 2012
Time Frame: Exit prior to the late October earnings report
Average Daily Volume = 472 thousand
New Positions: Yes, see below

Comments:
10/16/12: The stock market sees a broad-based rally and SOHU only gains a penny? I'll take it. If the bounce continues SOHU should find new resistance near $40.00 and the 10-dma at $40.15.

Keep in mind that we want to exit prior to the late October earnings report.

Earlier Comments:
I have to warn you that SOHU can be a volatile stock so we need to limit our position size to reduce our risk or consider trading the options. Our target is $36.00. More aggressive traders could aim for the $34.00 area.

*Small Positions*

current Position: short SOHU stock @ $39.55

- (or for more adventurous traders, try this option) -

Long Nov $37.50 PUT (SOHU1211w37.5) entry $1.85



Synaptics Inc. - SYNA - close: 23.91 change: +0.56

Stop Loss: 24.05
Target(s): 22.15
Current Gain/Loss: + 3.5%

Entry on September 26 at $24.79
Listed on September 25, 2012
Time Frame: Exit prior to the Oct. 25th earnings report
Average Daily Volume = 439 thousand
New Positions: see below

Comments:
10/16/12: Warning! We have been expecting SYNA to see a breakout one way or the other. Shares broke higher with a +2.3% gain. There is still potential resistance at $24.00 but I wouldn't risk it. I am suggesting an early exit tomorrow morning at the opening bell.

Earlier Comments:
I do consider this a higher-risk, more aggressive trade because SYNA has already seen a big move down. We want to limit our risk and keep our position size small.

*Small Positions*

current Position: short SYNA stock @ $24.79

- (or for more adventurous traders, try this option) -

(exit on Oct 2nd, at the open)
Oct $25 PUT (SYNA1220v25) Entry $1.15 exit $1.65 (+43.4%)

10/16/12 Prepare to exit tomorrow morning at the open
10/15/12 new stop loss @ 24.05
10/13/12 new stop loss @ 24.40, readers may want to exit early now
10/06/12 new stop loss @ 24.51
10/02/12 planned exit to close our put option at the open
10/01/12 new stop loss @ 24.70, plan on exiting our October puts at the opening bell tomorrow
09/29/12 new stop loss @ 26.05, adjust exit target to $22.15



Titanium Metals - TIE - close: 12.34 change: +0.31

Stop Loss: 12.65
Target(s): 11.00
Current Gain/Loss: + 0.6%

Entry on October 4 at $12.41
Listed on October 3, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.5 million
New Positions: see below

Comments:
10/16/12: I cautioned readers yesterday that TIE looked like it would probably bounce today. Sure enough TIE rebounded. The stock added +2.5% and is testing technical resistance at the 01-dma. More conservative traders may want to lower their stops. I am not suggesting new positions at this time.

*Small Positions*

current Position: short TIE stock @ $12.41

10/13/12 new stop loss @ 12.65



Trimble Navigation - TRMB - close: 48.00 change: +0.86

Stop Loss: 48.55
Target(s): 42.50
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 10, 2012
Time Frame: exit prior to earnings on Nov. 1st
Average Daily Volume = 697 thousand
New Positions: Yes, see below

Comments:
10/16/12: TRMB delivered a +1.8% bounce but shares remain under several layers of resistance. If this bounce continues then we'll probably drop TRMB as a bearish candidate.

Earlier Comments:
I am suggesting small bearish positions if TRMB can trade at $46.50 or lower. If triggered our target is $42.50 but we want to exit prior to the next earnings report on November 1st.

Trigger @ 46.50 (Small Positions)

Suggested Position: short TRMB stock @ (trigger)

- (or for more adventurous traders, try this option) -

buy the Nov $45 PUT (TRMB1211w45)



Veeco Instruments - VECO - close: 30.06 change: +1.00

Stop Loss: 30.15
Target(s): 26.65
Current Gain/Loss: - 1.0%

Entry on October 08 at $29.75
Listed on October 6, 2012
Time Frame: exit prior to the Oct 22nd earnings report
Average Daily Volume = 740 thousand
New Positions: see below

Comments:
10/16/12: Ouch! Shorts are in panic mode here. VECO has extended its oversold bounce to four days in a row. The rally accelerated with a +3.4% gain. The stock closed right at resistance near $30.00 and the 300-dma. If there is any follow through tomorrow we'll get stopped out at $30.15. My worry is that VECO sees a spike higher only to reverse lower tomorrow afternoon. I am not suggesting new positions.

Earlier Comments:
A lot of investors are already bearish on this stock so there is a risk of a short squeeze should it unexpectedly move higher. The most recent data listed short interest at 29% of the 38.7 million share float. Thus you may want to use put options to limit your risk instead of shorting the stock.

current Position: short VECO stock @ $29.75

- (or for more adventurous traders, try this option) -

Long Nov $30 PUT (VECO1211w30) Entry $2.20

10/10/12 adjust exit target to $26.65
10/09/12 new stop loss @ 30.15
10/08/12 new stop loss @ 30.55