Editor's Note:
The stock market's rally attempt this morning quickly faded, much like yesterday's. Fortunately, traders bought the dip midday and stocks bounced back into positive territory.

FYI: I am suggesting we exit our PCL trade tomorrow at the closing bell.

Current Portfolio:


BULLISH Play Updates

Bank of America - BAC - close: 9.24 change: -0.07

Stop Loss: 9.25
Target(s): 10.45
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 18, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 141 million
New Positions: Yes, see below

Comments:
10/25/12: Hmm... shares of BAC underperformed both the major indices and its peers in the financial sector today. Today's decline does look like a breakdown from the recent sideways consolidation. If BAC does not rebound tomorrow I will probably drop it as a bullish candidate.

Earlier Comments:
I am suggesting a trigger to launch bullish positions at $9.65 with a stop loss at $9.25. Our multi-week target is $10.45.

Trigger @ 9.65

Suggested Position: buy BAC stock @ (trigger)

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

buy the 2013 Jan $10 call (BAC1319a10)



Ctrip.com Intl. - CTRP - close: 19.53 change: -0.26

Stop Loss: 19.25
Target(s): 24.75
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 22, 2012
Time Frame: Exit prior to the Nov. 5th earnings report
Average Daily Volume = 2.9 million
New Positions: Yes, see below

Comments:
10/25/12: CTRP failed at resistance again with shares reversing under its exponential 200-dma. When shares do finally breakout the move could be explosive. I don't see any changes from my prior comments.

A breakout past this resistance could lead to more short covering. I am suggesting a trigger to launch small bullish positions at $20.55 with an initial stop loss at $19.25. Our target is $24.75 but we will plan to exit ahead of the November 5th earnings report if CTRP doesn't hit our target by then.

Keep positions small to limit risk. CTRP can be a little volatile.

Trigger @ 20.55 *Small Positions*

Suggested Position: buy CTRP stock @ (trigger)

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

buy the NOV $21 call (CTRP1217k21)



DreamWorks Animation - DWA - close: 20.86 change: +0.35

Stop Loss: 19.95
Target(s): 22.00
Current Gain/Loss: + 1.3%

Entry on October 18 at $20.60
Listed on October 17, 2012
Time Frame: exit prior to the Oct. 30th earnings report
Average Daily Volume = 902 thousand
New Positions: see below

Comments:
10/25/12: DWA displayed some relative strength with a +1.6% gain. The stock looks poised to breakout past the $21.00 level soon.

Our exit target is $22.00 but more aggressive traders could aim higher.

Earlier Comments:
The stock could see a short squeeze. The most recent data listed short interest at 43% of the 63 million share float. We do not want to hold over the October 30th earnings report.

current Position: Long DWA stock @ $20.60

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

Long NOV $20 call (DWA1217k20) Entry $1.45

10/23/12 new stop loss @ 19.95
10/18/12 triggered @ 20.60



ICICI Bank - IBN - close: 40.29 change: +0.54

Stop Loss: 39.15
Target(s): 44.85
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 22, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 1.4 million
New Positions: Yes, see below

Comments:
10/25/12: IBN challenged the top of its trading range again with today's gap higher at the open. The stock looks like it's coiling for a breakout higher.

Use a trigger to open bullish positions at $40.85. If triggered our target is $44.85. Keep our position size small to limit risk.

Trigger @ 40.85 *Small Positions*

Suggested Position: buy IBN stock @ (trigger)



Plum Creek Timber - PCL - close: 44.01 change: -0.18

Stop Loss: 43.45
Target(s): 44.75
Current Gain/Loss: + 2.0%

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:
10/25/12: Hmm... the morning rally attempt in PCL failed at the $44.50 level. We are almost out of time for this trade. I am suggesting we exit positions at the closing bell tomorrow (Friday). I am also raising our stop loss to $43.45.

current Position: Long PCL stock @ $43.15

10/25/12 prepare to exit tomorrow at the closing bell
new stop loss @ 43.45
10/18/12 new stop loss @ 42.95, adjust target to $44.75
10/16/12 new stop loss @ 42.40
10/15/12 triggered at $43.15



Trex Co. - TREX - close: 34.50 change: -0.13

Stop Loss: 33.70
Target(s): 38.50
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 23, 2012
Time Frame: exit prior to the Nov. 1st earnings report
Average Daily Volume = 229 thousand
New Positions: Yes, see below

Comments:
10/25/12: TREX struggled with resistance near $35.00 again this morning. It's worth noting that short-term support near $34 held up again. There is no change from my earlier comments.

Earlier Comments:
I am suggesting a trigger to open bullish positions at $35.15. Our target is $38.50 but if shares don't move fast enough then we will plan on exiting prior to the November 1st earnings report.

Trigger @ 35.15

Suggested Position: buy TREX stock @ (trigger)



BEARISH Play Updates

Carrizo Oil & Gas - CRZO - close: 25.48 change: +0.62

Stop Loss: 25.85
Target(s): 20.50
Current Gain/Loss: unopened

Entry on October xx at $ xx.xx
Listed on October 24, 2012
Time Frame: exit prior to earnings on Nov. 6th,
Average Daily Volume = 624 thousand
New Positions: Yes, see below

Comments:
10/25/12: CRZO has a cloud of about six moving averages directly above it. Any one of these could have been resistance. Yet the spike higher this morning pierced all of them only to reverse lower once it was in the clear. I'm sure there were a few stops hit today. We are still waiting for a breakdown.

I am suggesting small bearish positions if CRZO can trade at $24.35 or lower. If triggered our target is $20.50. However, I will admit that is a bit optimistic. We do not want to hold over the early November earnings report and will plan on exiting prior to the announcement that is expected on Nov. 6th (still an unconfirmed date).

I mentioned that we want to limit our position size and that's because CRZO already has a sizeable short interest at 18% of its small 36 million share float.

Trigger @ 24.40

Suggested Position: short CRZO stock @ (trigger)



Navistar Intl. - NAV - close: 18.59 change: -0.49

Stop Loss: 20.05
Target(s): 16.00
Current Gain/Loss: + 5.9%

Entry on October 19 at $19.75
Listed on October 16, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 1.6 million
New Positions: see below

Comments:
10/25/12: NAV continues to underperform. Shares lost -2.5% to close at new multi-year lows. I am lowering our stop loss down to $20.05.

Earlier Comments:
The 2008 lows were near $15.50 so we're going to target a drop to $16.00. FYI: There is already a growing amount of bearish pressure on the stock with the most recent data listing short interest at 15% of the 47.4 million share float.

current Position: short NAV stock @ $19.75

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

Long NOV $20 PUT (NAV1217w20) entry $1.55

10/25/12 new stop loss @ 20.05
10/24/12 NAV announced plans for 10 million new shares of stock
10/20/12 new stop loss @ 20.55
10/19/12 triggered @ 19.75



Sohu.com - SOHU - close: 38.69 change: +0.14

Stop Loss: 40.05
Target(s): 36.00
Current Gain/Loss: + 2.2%

Entry on October 10 at $39.55
Listed on October 9, 2012
Time Frame: Exit prior to the Nov. 5th earnings report
Average Daily Volume = 472 thousand
New Positions: see below

Comments:
10/25/12: SOHU is trying to bounce but the last couple of days have seen the stock fail at the simple 10-dma. I am not suggesting new positions at this time.

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

10/23/12 new stop loss @ 40.05
10/20/12 new stop loss @ 40.55
10/18/12 new stop loss @ 41.01



Trimble Navigation - TRMB - close: 47.25 change: +0.83

Stop Loss: 48.05
Target(s): 42.50
Current Gain/Loss: - 1.6%

Entry on October 19 at $46.50
Listed on October 10, 2012
Time Frame: exit prior to earnings on Nov. 1st
Average Daily Volume = 697 thousand
New Positions: see below

Comments:
10/25/12: Ouch! TRMB outperformed the market today with a +1.7% bounce. The close above $47.00 and its 100-dma and exponential 200-dma is bad news for short-term bears. There is still likely resistance in the $48-49 zone but our stop loss is at $48.05.

I am not suggesting new positions.

(Small Positions)

current Position: short TRMB stock @ $46.50

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

Long Nov $45 PUT (TRMB1211w45) Entry $1.40

10/23/12 new stop loss @ 48.05, warning, today could be a bullish reversal in TRMB
10/19/12 triggered @ 46.50