Editor's Note:
The market didn't make much progress either way on Tuesday but we did see two of our trades get triggered.

CHKR and SGY are now open.

Current Portfolio:


BULLISH Play Updates

Affymax - AFFY - close: 24.48 change: +0.16

Stop Loss: 22.65
Target(s): 27.50
Current Gain/Loss: + 1.6%

Entry on November 26 at $24.10
Listed on November 21, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 678 thousand
New Positions: , see below

Comments:
12/04/12: AFFY is slowly making progress. Shares look ready to challenge the $25.00 mark again. I am not suggesting new positions at current levels.

*Small Positions*

current Position: long AFFY stock @ $24.10



Bank of America - BAC - close: 9.91 change: +0.11

Stop Loss: 9.65
Target(s): 11.50
Current Gain/Loss: unopened

Entry on December xx at $ xx.xx
Listed on December 01, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 150 million
New Positions: Yes, see below

Comments:
12/04/12: After consolidating sideways all day BAC started to show some strength late this afternoon. We are waiting for a breakout past resistance near $10.00.

I am suggesting a trigger to open bullish positions at $10.10. If triggered our target is $11.50. More aggressive traders could aim for $12.00. This is a multi-week trade.

Trigger @ 10.10

Suggested Position: buy BAC stock @ (trigger)

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

buy the 2013 Jan $10 call (BAC1319a10)



Banner Corp. - BANR - close: 30.47 change: +0.14

Stop Loss: 28.90
Target(s): 34.00
Current Gain/Loss: - 0.1%

Entry on November 21 at $30.49
Listed on November 20, 2012
Time Frame: 8 to 10 weeks
Average Daily Volume = 157 thousand
New Positions: see below

Comments:
12/04/12: BANR is still slowly drifting higher. Shares are now testing the $30.50 level. The trend is definitely up but I am not suggesting new positions at this time.

NOTE: BANR doesn't move very fast. This trade could take a couple of months.

*Small Positions*

current Position: Long BANR stock @ $30.49

11/21/12 out trade opened on the gap higher.



Ball Corp. - BLL - close: 43.70 change: -0.24

Stop Loss: 43.25
Target(s): 48.00
Current Gain/Loss: - 0.3%

Entry on November 06 at $43.85
Listed on November 3, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 687 thousand
New Positions: see below

Comments:
12/04/12: The unexpected and unexplained sell-off in BLL yesterday was bad enough. Now shares confirm the drop with another decline. If this selling continues we could see BLL hit our stop loss at $43.25 soon. More conservative traders may want to abandon ship right now.

current Position: Long BLL stock @ $43.85

11/24/12 new stop loss @ 43.25
11/17/12 new stop loss @ 42.55
11/06/12 triggered @ 43.85



EZchip Semiconductor - EZCH - close: 37.43 change: +0.04

Stop Loss: 36.40
Target(s): 44.00
Current Gain/Loss: - 2.4%

Entry on November 27 at $38.35
Listed on November 26, 2012
Time Frame: 6 to 12 weeks
Average Daily Volume = 414 thousand
New Positions: see below

Comments:
12/04/12: It looks like traders bought the dip near EZCH's 200-dma again. I am cautious here. If the market turns lower tomorrow we could see EZCH hit our stop loss at $36.40. I am not suggesting new positions at this time.

Our multi-week target is $44.00. I would expect a pullback on the first test of potential resistance at $40.00.

current Position: Long EZCH stock @ $38.35



PerkinElmer Inc. - PKI - close: 31.26 change: -0.15

Stop Loss: 29.70
Target(s): 35.75
Current Gain/Loss: unopened

Entry on December xx at $ xx.xx
Listed on December 01, 2012
Time Frame: 6 to 9 weeks
Average Daily Volume = 661 thousand
New Positions: Yes, see below

Comments:
12/04/12: Tuesday was a relatively quiet session for PKI. Technically today's drop would confirm yesterday's bearish engulfing candlestick reversal pattern. At the moment we're still on the sidelines.

I am suggesting a trigger to open bullish positions at $32.00. Our multi-week target is $35.75 as the $36.00 level looks like resistance. We will need to be patient as PKI doesn't move very fast.

Trigger @ 32.00

Suggested Position: buy PKI stock @ (trigger)



ValueClick, Inc. - VCLK - close: 18.78 change: -0.10

Stop Loss: 17.85
Target(s): 20.75
Current Gain/Loss: + 3.2%

Entry on November 20 at $18.20
Listed on November 19, 2012
Time Frame: 4 to 6 weeks
Average Daily Volume = 666 thousand
New Positions: see below

Comments:
12/04/12: VCLK dipped to $18.50 and bounced. I am not convinced the pullback is over. We might see VCLK retest support near $18.00 again.

Earlier Comments:
I will point out that VCLK could see potential resistance at $19.50 and the $20.00 mark. I would keep our position size small. VCLK has been volatile in the past.

current Position: Long VCLK stock @ $18.20

11/28/12 new stop loss @ 17.85



BEARISH Play Updates

Chesapeake Granite Wash Trust - CHKR - close: 18.23 change: -0.03

Stop Loss: 18.75
Target(s): 16.40
Current Gain/Loss: - 1.8%

Entry on December 04 at $17.90
Listed on November 26, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 226 thousand
New Positions: see below

Comments:
12/04/12: Our CHKR trade has been triggered. The stock displayed relative weakness most of the day and broke down under $18.00. Our trigger was $17.90. Unfortunately a late day rebound lifted CHKR back above the $18 level. That's not a great start for our bearish trade. I am not suggesting new positions with CHKR above $18.00.

Earlier Comments:
Our initial target is $16.40 but we might reconsider and aim lower.

*Small Positions*

current Position: short CHKR stock @ $17.90



CIT Group - CIT - close: 36.60 change: -0.07

Stop Loss: 37.05
Target(s): 33.25
Current Gain/Loss: unopened

Entry on November xx at $ xx.xx
Listed on November 21, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 1.5 million
New Positions: Yes, see below

Comments:
12/04/12: CIT is little changed. The stock remains inside the $36.00-37.25 trading range.

We are waiting for a breakdown under $36 as our entry point. I am suggesting we use a trigger at $35.90 to launch small bearish positions. Our target is $33.25.

Trigger @ 35.90

Suggested Position: short CIT stock @ (trigger)

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

buy the 2013 Jan $35 PUT (CIT1319m35)



Cliffs Natural Resources - CLF - close: 29.40 change: +1.00

Stop Loss: 30.55
Target(s): 25.25
Current Gain/Loss: + 0.7%

Entry on November 28 at $29.62
Listed on November 27, 2012
Time Frame: 4 to 6 weeks
Average Daily Volume = 7.7 million
New Positions: see below

Comments:
12/04/12: Warning! CLF is not cooperating. I could not find any news to explain the sudden shot of strength in CLF this morning. The stock actually gapped open lower and trade near $28.00 only to suddenly spike higher and surge toward round-number resistance at $30.00. CLF spent the rest of the day consolidating sideways just under $30.00. Technically today's bounce has created a bullish engulfing candlestick reversal pattern on the daily chart.

Currently our stop loss is at $30.55. More conservative traders may want to lower their stop so it's closer to the $30.00 level.

Earlier Comments:
I would classify this as a higher-risk trade because so many investors are bearish on CLF. The most recent data listed short interest at almost 20% of the 141 million-share float. That does raise the risk of a short squeeze but the trend is clearly down. We want to keep our position size small to limit our risk. You may want to use the put option to limit your risk.

*small positions*

current Position: short CLF stock @ $29.62

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

Long DEC $30 PUT (CLF1222x30) entry $1.60

12/03/12 new stop loss @ $30.55
11/28/12 triggered on gap down at $29.62



MICROS Systems - MCRS - close: 42.14 change: -0.21

Stop Loss: 44.05
Target(s): 40.10
Current Gain/Loss: + 1.7%

Entry on December 03 at $42.85
Listed on November 28, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 542 thousand
New Positions: see below

Comments:
12/04/12: MCRS is still drifting lower. The stock lost another -0.5% and spent most of the day hugging the $42.00 level. I am not suggesting new positions at this time.

current Position: short MCRS stock @ $42.85

12/03/12 triggered at $42.85



Stone Energy Corp. - SGY - close: 19.62 change: -0.29

Stop Loss: 21.35
Target(s): 16.00
Current Gain/Loss: + 0.9%

Entry on December 04 at $19.80
Listed on December 03, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 719 thousand
New Positions: see below

Comments:
12/04/12: Our new trade on SGY has been triggered. The stock initially bounced but reversed soon thereafter and fell to new 2012 lows. Our trigger to open bearish positions was hit at $19.80.

The next major support is all the way down near $15.00. We will target a drop to $16.00. FYI: The Point & Figure chart is bearish and forecasting at long-term $12 target.

current Position: short SGY stock @ $19.80