Editor's Note:
The U.S. market drifted sideways on Monday. We did see our TEX trade get triggered.

We want to exit ACOR tomorrow.


Current Portfolio:


BULLISH Play Updates

Asbury Automotive Group - ABG - close: 36.08 change: -0.28

Stop Loss: 34.40
Target(s): 38.50
Current Gain/Loss: + 2.4%

Entry on January 24 at $35.25
Listed on January 23, 2013
Time Frame: Exit PRIOR to earnings on Feb. 19th
Average Daily Volume = 275 thousand
New Positions: see below

Comments:
02/11/13: ABG spent Monday's session spinning its wheels near the $36.00 level. Look for short-term support at the rising 10-dma. I am not suggesting new positions at this time.

We are planning to exiting prior to the Feb. 19th earnings report.

Please note that we do want to keep our position size small to limit our risk.

*Small positions*

current Position: Long ABG stock @ $35.25

02/05/13 new stop loss @ 34.40



Acorda Therapeutics - ACOR - close: 29.25 change: -0.17

Stop Loss: 28.80
Target(s): 31.00
Current Gain/Loss: + 2.6%

Entry on January 22 at $28.50
Listed on January 19, 2013
Time Frame: 2 to 4 weeks
Average Daily Volume = 417 thousand
New Positions: see below

Comments:
02/11/13: ACOR tried to rally but failed at round-number resistance near the $30.00 level. Readers may want to abandon ship right here and now. I am suggesting everyone exit positions tomorrow at the closing bell to avoid holding over ACOR's earnings report due out on Feb. 13th. I am also raising our stop loss to $28.80.

current Position: long ACOR stock @ $28.50

02/11/13 new stop loss @ 28.80, ready to exit tomorrow at the closing bell
02/09/13 new stop loss @ 28.60, prepare to exit on Feb. 12th at the close
02/05/13 new stop loss @ 28.25
01/30/13 new stop loss @ 27.95



Conns Inc. - CONN - close: 30.68 change: +0.34

Stop Loss: 28.45
Target(s): 33.50
Current Gain/Loss: + 3.8%

Entry on February 05 at $29.55
Listed on February 4, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 416 thousand
New Positions: Yes, see below

Comments:
02/11/13: CONN rebounded off its morning lows and rallied to a +1.1% gain. The relative strength is encouraging but the stock does still have resistance at the $31.00 mark. I am not suggesting new positions at this time.

Our target is $33.50. More aggressive traders could aim higher. FYI: The Point & Figure chart for CONN is bullish with a long-term $48.00 target.

current Position: Long CONN stock @ $29.55

02/09/13 new stop loss @ 28.45



Morgan Stanley - MS - close: 23.28 change: -0.04

Stop Loss: 21.95
Target(s): 26.00
Current Gain/Loss: + 0.6%

Entry on February 01 at $23.15
Listed on January 30, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 27 million
New Positions: see below

Comments:
02/11/13: The midday rally attempt in shares of MS faded. The stock settled virtually unchanged on the session. I would hesitate to launch new positions at this time. More conservative traders may want to tighten their stop loss.

Small Positions*

current Position: Long MS stock @ $23.15



Ocwen Financial - OCN - close: 40.96 change: -0.01

Stop Loss: 39.65
Target(s): 44.75
Current Gain/Loss: - 1.0%

Entry on February 07 at $41.37
Listed on February 6, 2013
Time Frame: Exit prior to the Feb. 28th earnings
Average Daily Volume = 1.7 million
New Positions: see below

Comments:
02/11/13: Monday was a very quiet session for shares of OCN. the stock hugged the $41.00 level most of the day and closed virtually unchanged. Nimble traders could buy another dip or a bounce off the $40.00 mark. We want to exit prior to the earnings report on Feb. 28th.

*Small Positions*

current Position: Long OCN stock @ $41.37



North American Palladium - PAL - close: 1.79 change: -0.13

Stop Loss: 1.55
Target(s): 2.45
Current Gain/Loss: + 8.5%

Entry on January 14 at $ 1.65
Listed on January 12, 2013
Time Frame: Exit prior to earnings on Feb. 21
Average Daily Volume = 2.8 million
New Positions: see below

Comments:
02/11/13: Ouch! PAL underperformed the market today with a -6.7% pullback. The stock is now back below its simple 200-dma and back below the $1.80 level. I didn't see anything specific in the news to explain the relative weakness. More conservative traders may want to raise their stop loss.

current Position: long PAL stock @ $1.65

02/06/13 adjusted time frame for earnings on Feb. 21st
01/30/13 new stop loss @ 1.55



Progressive Corp. - PGR - close: 23.56 change: +0.12

Stop Loss: 22.45
Target(s): 26.00
Current Gain/Loss: + 0.2%

Entry on February 11 at $23.52
Listed on February 9, 2013
Time Frame: 9 to 12 weeks
Average Daily Volume = 4.8 million
New Positions: see below

Comments:
02/11/13: The rally continues in PGR with another new multi-year high today. Shares outperformed the market with a +0.5% gain on Monday. I don't see any changes from my weekend comments.

current Position: Long PGR stock @ $23.52



Synopsys Inc. - SNPS - close: 34.15 change: -0.25

Stop Loss: 33.45
Target(s): 37.50
Current Gain/Loss: - 0.3%

Entry on February 06 at $34.25
Listed on February 2, 2013
Time Frame: exit prior to the February 20th earnings
Average Daily Volume = 1.1 million
New Positions: see below

Comments:
02/11/13: SNPS hit some profit taking today with a -0.7% decline. Today's pullback has also created a bearish engulfing candlestick reversal pattern but this needs to see confirmation. We can look for short-term support near $34.00 and its rising 10-dma (currently 33.90).

current Position: Long SNPS stock @ $34.25



Sonic Corp. - SONC - close: 11.27 change: -0.08

Stop Loss: 10.95
Target(s): 12.75
Current Gain/Loss: + 1.1%

Entry on January 14 at $11.15
Listed on January 12, 2013
Time Frame: 8 to 9 weeks
Average Daily Volume = 658 thousand
New Positions: see below

Comments:
02/11/13: The early morning rally attempt in SONC failed and shares reversed to close down -0.7%. If the stock breaks below $11.20 I would expect a drop toward the $11.00 level.

Earlier Comments:
Our multi-week target is $12.75. We may have to be patient to give SONC time to get that far. FYI: The Point & Figure chart for SONC is bullish with a $15.50 target.

current Position: Long SONC stock @ $11.15

02/09/13 new stop loss @ 10.95
01/26/13 new stop loss @ $10.80



Symantec Corp - SYMC - close: 22.64 change: +0.05

Stop Loss: 21.45
Target(s): 24.90
Current Gain/Loss: + 1.5%

Entry on February 06 at $22.30
Listed on February 5, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 10 million
New Positions: see below

Comments:
02/11/13: SYMC barely eked out another gain but it was a gain. Nimble traders may want to try and buy a dip in the $22.30-22.25 area.

*Small positions*

current Position: long SYMC stock @ $22.30

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

Long Mar $23 call (SYMC1316c23) entry $0.38



Synaptics - SYNA - close: 34.75 change: -0.45

Stop Loss: 33.95
Target(s): 39.50
Current Gain/Loss: - 1.9%

Entry on February 08 at $35.43
Listed on February 7, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 895 thousand
New Positions: see below

Comments:
02/11/13: SYNA underperformed with a -1.2% decline on Monday. Shares look headed for short-term support near $34.00. Wait for a bounce before considering new positions.

Earlier Comments:
The plan was to keep our position size small to limit our risk. More conservative traders may want to use a trigger at $36.05 instead as their entry point.

*Small Positions*

current Position: long SYNA stock @ $35.43



Terex Corp. - TEX - close: 33.28 change: -0.23

Stop Loss: 31.95
Target(s): 38.00
Current Gain/Loss: - 1.3%

Entry on February 11 at $33.71
Listed on February 9, 2013
Time Frame: exit prior to earnings in late February
Average Daily Volume = 2.5 million
New Positions: see below

Comments:
02/11/13: Our new trade on TEX has opened. The plan was to wait and open bullish positions when shares hit $33.70. The stock gapped open higher this morning at $33.71 and then immediately turned lower. At the moment shares have found very short-term support at $33.00. I would wait for a new rally past $33.70 before initiating new positions.

Earlier Comments:
We will plan to exit prior to the late February earnings report. Thus, odds of TEX actually hitting our target at $38 before we exit are probably slim but there is the possibility of a short squeeze.

current Position: Long TEX stock @ $33.71

02/11/13 trade opened on gap higher at $33.71



BEARISH Play Updates

Peabody Energy - BTU - close: 23.53 change: -0.20

Stop Loss: 24.75
Target(s): 20.25
Current Gain/Loss: + 0.7%

Entry on February 07 at $23.70
Listed on February 5, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 7.2 million
New Positions: see below

Comments:
02/11/13: BTU continues to trend lower and underperformed the market with a -0.8% decline. I would still consider new positions at current levels.

current Position: short BTU stock @ $23.70

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

Long Mar $23 PUT (BTU1316o23) entry $0.80