Editor's Note:
The U.S. market rebounded off its morning lows and stocks produced relatively widespread gains.

Our candidates delivered mixed results. CYOU was triggered.


Current Portfolio:


BULLISH Play Updates

Advanced Micro Devices - AMD - close: 2.62 change: -0.01

Stop Loss: 2.49
Target(s): 3.25
Current Gain/Loss: - 1.1%

Entry on January 07 at $2.65
Listed on January 05, 2012
Time Frame: to be determined
Average Daily Volume = 21.2 million
New Positions: Yes, see below

Comments:
01/10/13: I am growing cautious on AMD. The stock's upward momentum seems to be stalling. The stock underperformed the SOX semiconductor index today. I am not suggesting new positions. We will raise our stop loss up to $2.49. That's four cents below the simple 10-dma.

Earlier Comments:
It looks like AMD has finally found a bottom and all the selling has been exhausted. The stock could see a short squeeze. The most recent data listed short interest at almost 20% of the float.

Please note that this is a higher-risk, more aggressive trade. The 100-dma and the $3.00 level could prove to be resistance for this stock. I am suggesting readers keep their position size small. Don't go overboard just because the share price is cheap.

Keep in mind that normally we do not hold over a company's earnings report. Right now AMD is scheduled to report on January 22nd. If we choose to exit it could definitely limit how much time we have for this trade to work.

*Small Positions*

current Position: long AMD stock @ $2.65

01/10/13 new stop loss @ 2.49, AMD's momentum might be stalling.



Alpha Natural Resources - ANR - close: 9.77 change: -0.13

Stop Loss: 9.39
Target(s): 12.50
Current Gain/Loss: - 5.6%

Entry on January 04 at $10.35
Listed on January 03, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 16.2 million
New Positions: see below

Comments:
01/10/13: All right, it might be time to start worrying about ANR. The KOL coal ETF was up today but ANR was not. Shares of ANR underperformed both its peers and the wider market with a -1.3% decline. This stock is now down three days in a row and below what should have been support at $10.00 and the 10-dma. ANR is now testing the 20-dma. The low today was $9.65 and our stop loss is at $9.39.

I am not suggesting new positions at this time.

Earlier Comments:
ANR could see a short squeeze. The most recent data listed short interest at 20% of the 218 million share float. This bullish breakout past resistance near $10.00 could inspire some short covering. Plus, the point & figure chart is bullish and suggesting a $16 target. Our target is $12.50. More aggressive traders could aim higher.

current Position: Long ANR stock @ $10.35

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

Long Mar $12 call (ANR1316c12) entry $0.53



Ball Corp. - BLL - close: 45.61 change: +0.00

Stop Loss: 44.40
Target(s): 48.40
Current Gain/Loss: + 4.0%

Entry on November 06 at $43.85
Listed on November 3, 2012
Time Frame: exit prior to earnings on Jan. 31st
Average Daily Volume = 687 thousand
New Positions: see below

Comments:
01/10/13: The stock market produced a relatively widespread rally today and yet BLL closes unchanged. That's not very inspiring.

There is no change from my prior comments. Readers might want to raise their stops closer to the $45.00 level. I am not suggesting new positions at this time.

Please note that we do want to exit prior to the earnings report on January 31st.

current Position: Long BLL stock @ $43.85

01/05/13 adjusting the exit target to $48.40
01/02/13 new stop loss @ 44.40, adjust target to $47.00
12/20/12 new stop loss @ 43.85
12/12/12 new stop loss @ 43.45
11/24/12 new stop loss @ 43.25
11/17/12 new stop loss @ 42.55
11/06/12 triggered @ 43.85



Ctrip.com Intl. - CTRP - close: 23.94 change: +0.37

Stop Loss: 22.75
Target(s): 27.00
Current Gain/Loss: - 0.0%

Entry on January 07 at $23.93
Listed on January 05, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.1 million
New Positions: see below

Comments:
01/10/13: Short-term technical support at the rising 10-dma is holding. CTRP reversed with a +1.5% gain. The stock is now challenging round-number resistance at the $24.00 level today. A rally past $24.05 could be used as a new bullish entry point.

Earlier Comments:
CTRP could see another short squeeze. The most recent data listed short interest at 16% of the float. We do want to keep our position size small to limit our risk.

*Small Positions*

current Position: Long CTRP stock @ $23.93

01/07/13 trade opened on gap higher at $23.93. trigger was 23.85



Changyou.com Ltd. - CYOU - close: 30.38 change: +0.57

Stop Loss: 27.75
Target(s): 34.75
Current Gain/Loss: + 0.4%

Entry on January 10 at $30.25
Listed on January 09, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 166 thousand
New Positions: see below

Comments:
01/10/13: Our new play on CYOU has been triggered. Shares broke out past significant resistance at the $30.00 level. The stock rallied to $31.23 before paring its gains. Our entry point was $30.25.

Earlier Comments:
I do consider this an aggressive, higher-risk trade. CYOU can be a volatile stock. Thus we want to limit our position size to reduce our exposure.

*Small Positions*

current Position: Long CYOU stock @ $30.25

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

Long Feb $30 call (CYOU1316B30) entry $1.90



Dunkin' Brand Group - DNKN - close: 34.78 change: -0.19

Stop Loss: 32.75
Target(s): 35.75
Current Gain/Loss: + 7.0%

Entry on December 24 at $32.50
Listed on December 22, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.1 million
New Positions: see below

Comments:
01/10/13: Ouch! DNKN was downgraded this morning. That is what sparked the gap down at the open. Fortunately traders bought the dip and DNKN pared its losses to just -0.5%. There is no change from my prior comments.

Earlier Comments:
More conservative traders may want to take profits now. I am not suggesting new positions at this time.

FYI: DNKN will be presenting at an analyst conference on Wednesday, January 16th.

current Position: Long DNKN stock @ $32.50

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

Long 2013 Mar $35 call (DNKN1316c35) entry $0.65

01/09/13 new stop loss @ 32.75
01/07/13 new stop loss @ 32.25
01/05/13 new stop loss @ 31.90
12/24/12 triggered @ $32.50



Coal ETF - KOL - close: 26.06 change: +0.22

Stop Loss: 24.40
Target(s): 29.85
Current Gain/Loss: - 0.2%

Entry on January 08 at $26.10
Listed on January 07, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 190 thousand
New Positions: see below

Comments:
01/10/13: It was another quiet day for KOL but this time shares ticked higher. Actually KOL gapped open higher and eventually closed with a +0.8% gain. I would still consider new positions now but readers may want to wait for a new bounce off $25.50 or a new rise past $26.50 as alternative entry points.

Our multi-week target is $29.85. More aggressive traders may want to aim higher. FYI: The Point & Figure chart for KOL is bullish with a $35.00 target.

Suggested Position: Long the KOL (etf) @ $26.10

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

Long APR $27 call (KOL1320D27) entry $1.03



Lennar Corp. - LEN - close: 41.02 change: -0.69

Stop Loss: 39.65
Target(s): 44.50
Current Gain/Loss: + 2.2%

Entry on January 03 at $40.15
Listed on January 02, 2012
Time Frame: exit before the Jan. 15th earnings report
Average Daily Volume = 4.0 million
New Positions: see below

Comments:
01/10/13: Homebuilders were one of the market's worst performing areas today. The DJUSHB index lost -1.1%. Shares of LEN failed at the $42 level this morning and slipped to a -1.6% decline. I didn't see any specific news behind the industry weakness. LEN should have support at the $40.00 level.

Readers need to be planning their exit. LEN is scheduled to report earnings on the morning of January 15th. We will plan to exit on Jan. 14th at the closing bell (Monday) to avoid holding over the announcement. More conservative traders may want to exit early.

I am raising our stop loss to $39.65.

*Small Positions*

current Position: Long LEN stock @ $40.15

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

Long Feb $40 call (LEN1316B40) entry $1.95

01/10/13 new stop loss @ 39.65, prepare to exit on the 14th.



Pandora Media - P - close: 10.86 change: +0.23

Stop Loss: 9.95
Target(s): 11.25
Current Gain/Loss: +13.1%

Entry on January 03 at $9.60
Listed on January 02, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 5.8 million
New Positions: see below

Comments:
01/10/13: Pandora continues to show strength. The stock added another +2.1% today and is now challenging the $11.00 level. Our exit target is $11.25. I am raising our stop loss to $9.95. More conservative traders may want to exit now or raise their stop even higher.

Earlier Comments:
Please note that I do consider this an aggressive, higher risk trade. Not only is P a somewhat volatile stock but in addition to resistance at $9.50 there is also potential resistance at the 200-dma (near 9.65), the exponential 200-dma (near $10.00) and the $10.00 level itself. If Pandora is able to breakout it could spark a short squeeze. The most recent data listed short interest at 60% of the 110.9 million-share float.

*Small Positions*

current Position: Long P stock @ $9.60

01/10/13 new stop loss @ 9.95
01/09/13 new stop loss @ 9.65
01/05/13 new stop loss @ 9.40, adjust exit target to $11.25



Tenneco Inc. - TEN - close: 35.78 change: +0.07

Stop Loss: 34.25
Target(s): 36.85
Current Gain/Loss: + 7.9%

Entry on December 12 at $33.15
Listed on December 04, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 517 thousand
New Positions: see below

Comments:
01/10/13: TEN seems to be struggling with the $36.00 level today. The trend is up but I would not launch new positions at this time.

Earlier Comments:
We need to be patient with TEN. The stock does not move very fast.

*Small positions*

current Position: Long TEN stock @ $33.15

01/09/13 new stop loss @ 34.25
01/02/13 new stop loss @ 33.75, adjust target to $36.85
12/27/12 new stop loss @ 32.90
12/22/12 new stop loss @ 32.45
12/15/12 new stop loss @ $31.85



Thor Industries - THO - close: 40.86 change: +0.47

Stop Loss: 38.40
Target(s): 44.50
Current Gain/Loss: + 1.8%

Entry on January 09 at $40.15
Listed on January 08, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 647 thousand
New Positions: see below

Comments:
01/10/13: Traders bought the dip in THO near round-number support at $40.00 this morning. Shares reversed to rally +1.1% on the day. Readers may want to start inching up their stop loss.

current Position: Long THO stock @ $40.15



BEARISH Play Updates


None. We do not have any active bearish trades.