Editor's Note:
Traders were in the mood to buy the dips on Monday.

We also saw ABG and OCN stopped out. TEX was closed. We want to exit SNPS tomorrow.


Current Portfolio:


BULLISH Play Updates

Conns Inc. - CONN - close: 31.81 change: +0.71

Stop Loss: 29.45
Target(s): 33.50
Current Gain/Loss: + 7.6%

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: see below

Comments:
02/19/13: CONN displayed some relative strength with a +2.2% gain today. The stock is poised to breakout past resistance at the $32.00 level soon. I am raising our stop loss to $29.45. 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

02/19/13 new stop loss @ 29.45
02/12/13 new stop loss @ 28.85
02/09/13 new stop loss @ 28.45



Deckers Outdoor Corp. - DECK - close: 44.72 change: +1.89

Stop Loss: 41.40
Target(s): 49.75
Current Gain/Loss: + 0.7%

Entry on February 12 at $44.41
Listed on February 11, 2013
Time Frame: exit PRIOR to earnings on Feb. 28th
Average Daily Volume = 2.2 million
New Positions: see below

Comments:
02/19/13: Good news! It looks like the short-term pullback in DECK is over. The stock rebounded off its simple 200-dma and rallied to a +4.4% gain on Monday. Shares are now facing round-number resistance at the $45.00 mark.

Earlier Comments:
I do consider this an aggressive, higher-risk trade. DECK can be a volatile stock. Thus we want to keep our position size small. It is worth noting that if this strength continues DECK could see a short squeeze. The most recent data listed short interest at almost 44% of the small 30.9 million share float. We do not want to hold over the late February earnings report. At the moment it looks like that report might come out on Feb. 21st but the date has not been confirmed. More aggressive traders may want to buy the call options.

*Small Positions*

current Position: Long DECK stock @ $44.41



Gilead Sciences - GILD - close: 42.28 change: +0.68

Stop Loss: 39.85
Target(s): 44.85
Current Gain/Loss: +2.7%

Entry on February 14 at $41.18
Listed on February 13, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 8.0 million
New Positions: see below

Comments:
02/19/13: GILD popped higher today. The move was fueled by positive analyst comments and news that GILD's experimental hepatitis C treatment "sofosbuvir" delivered positive results in their latest Phase 3 trials.

GILD opened higher at $42.25, spiked toward $43.00 and then pared its gains to close with a +1.6% gain on the session. I am not suggesting new positions at this time.

Earlier Comments:
We do want to keep our position size small. Biotech stocks can be volatile.
FYI: The Point & Figure chart for GILD is bullish with a $47.50 target.

*Small Positions*

current Position: Long GILD stock @ $41.18



Morgan Stanley - MS - close: 24.32 change: +0.45

Stop Loss: 22.45
Target(s): 26.00
Current Gain/Loss: + 5.1%

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:
02/19/13: MS displayed some relative strength as well with a +1.8% gain and a close above the $24.00 level. I am not suggesting new positions.

Small Positions*

current Position: Long MS stock @ $23.15

02/16/13 new stop loss @ 22.45



North American Palladium - PAL - close: 1.66 change: -0.10

Stop Loss: 1.55
Target(s): 2.45
Current Gain/Loss: + 0.6%

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:
02/19/13: Ouch! PAL is now down four days in a row and the sell-off seems to be gaining momentum. The stock lost -5.6% today. More conservative traders may want to abandon ship. We still have a stop loss at $1.55. I am not suggesting new positions at this time.

PAL is scheduled to report earnings on Feb. 21st. We do not want to hold over the report. Therefore, if we are not stopped out first, then we'll plan on closing positions on Feb. 20th at the closing bell.

current Position: long PAL stock @ $1.65

02/16/13 prepare to exit on Feb. 20th ahead of the earnings report
02/06/13 adjusted time frame for earnings on Feb. 21st
01/30/13 new stop loss @ 1.55



Progressive Corp. - PGR - close: 24.49 change: +0.30

Stop Loss: 22.95
Target(s): 26.00
Current Gain/Loss: + 4.1%

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:
02/19/13: PGR is still showing strength and shares outperformed the market with a +1.2% gain. Readers may want to start inching up their stop loss. I am not suggesting new positions at this time.

current Position: Long PGR stock @ $23.52

02/13/13 new stop loss @ 22.95



National Instruments - NATI - close: 30.12 change: +0.09

Stop Loss: 29.60
Target(s): 32.75
Current Gain/Loss: unopened

Entry on February -- at $--.--
Listed on February 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 340 thousand
New Positions: Yes, see below

Comments:
02/19/13: NATI slowly drifted higher today. Yet shares did not hit our entry trigger. There is no change from my weekend comments.

I am suggesting a trigger to open bullish positions at $30.35. That would be a new 52-week high. If triggered our multi-week target is $32.75.
FYI: The Point & Figure chart for NATI is bullish with a $40.00 target.

Trigger @ 30.35

Suggested Position: buy NATI stock @ (trigger)



Synopsys Inc. - SNPS - close: 34.62 change: +0.08

Stop Loss: 33.85
Target(s): 37.50
Current Gain/Loss: + 1.1%

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:
02/19/13: Traders bought the dip at SNPS' simple 10-dma. Tomorrow is our last day. SNPS is due to report earnings on Feb. 20th after the closing bell. We will plan on closing positions on the 20th at the closing bell.

current Position: Long SNPS stock @ $34.25

02/19/13 ready to exit tomorrow at the close
02/16/13 new stop loss at $33.85, prepare to exit on Feb. 20th at the close



Splunk, Inc. - SPLK - close: 34.68 change: -0.30

Stop Loss: 33.75
Target(s): 39.50
Current Gain/Loss: - 2.1%

Entry on February 15 at $35.44
Listed on February 14, 2013
Time Frame: exit PRIOR to earnings on Feb. 28th
Average Daily Volume = 1.5 million
New Positions: see below

Comments:
02/19/13: SPLK hit some profit taking today with a -0.8% decline. Traders sold the midday rally. Shares look poised to retest recent support at the $34.00 level soon.

Earlier Comments:
A breakout here could spark a short squeeze. The most recent data listed short interest a 16% of the 55.6 million share float.

current Position: Long SPLK stock @ $35.44

02/15/13 trade opened on gap higher at $35.44, trigger was $35.30



Symantec Corp - SYMC - close: 22.60 change: +0.07

Stop Loss: 21.95
Target(s): 24.90
Current Gain/Loss: + 1.3%

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:
02/19/13: SYMC managed to eke out a small gain as traders bought the dip at its simple 10-dma. I remain cautious on SYMC. I am not suggesting new positions at this time.

*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

02/16/13 new stop loss @ 21.95



BEARISH Play Updates

Caesars Entertainment - CZR - close: 11.22 change: +0.48

Stop Loss: 13.25
Target(s): 10.10
Current Gain/Loss: +10.5%

Entry on February 13 at $12.53
Listed on February 12, 2013
Time Frame: Exit prior to earnings on Feb. 25th
Average Daily Volume = 1.3 million
New Positions: see below

Comments:
02/19/13: After a sharp pullback last week CZR produced an oversold bounce today. Shares dipped to $10.40 intraday before bouncing to a +4.4% decline. More conservative traders may want to exit early now to lock in a gain. I am not suggesting new positions.

FYI: Today one of the main stories in the gambling industry was news that the Fitch crediting rating agency said the reintroduction of online gambling would raise the creditworthiness for some of the casino companies.

current Position: short CZR stock @ $12.53

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

Long Mar $10 PUT (CZR1316o10) entry $0.45



DuPont Fabros Tech. - DFT - close: 23.06 change: -0.03

Stop Loss: 24.05
Target(s): 20.25
Current Gain/Loss: unopened

Entry on February -- at $--.--
Listed on February 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.25 million
New Positions: Yes, see below

Comments:
02/19/13: DFT flirted with a breakdown below the $23.00 level but did not hit our entry point at $22.85. I don't see any changes from my weekend comments.

Earlier Comments:
I am suggesting a trigger to open bearish positions at $22.85. If triggered our target is $20.25. Please note that we do want to keep our position size small. That's because there is already a lot of short interest. The most recent data listed short interest at 22% of the 62.2 million share float. That raises the risk of a short squeeze. Readers may want to buy the put options to limit their risk to their size of their position.
FYI: The Point & Figure chart for DFT is bearish with a $10.00 target.

Trigger @ 22.85 *Small Positions*

Suggested Position: short DFT stock @ (trigger)

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

buy the Mar $25 PUT (DFT1316o25)



CLOSED BULLISH PLAYS

Asbury Automotive Group - ABG - close: 35.81 change: -0.27

Stop Loss: 35.49
Target(s): 38.50
Current Gain/Loss: + 0.7%

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:
02/19/13: ABG delivered a bullish earnings report with earnings per share seven cents above estimates at 72 cents. Revenues also beat estimates at $1.22 billion. The stock popped higher and traded toward its Friday highs and traders immediately sold into strength. ABG dipped to a new relative low and hit our stop loss at $35.49.

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

*Small positions*

closed Position: Long ABG stock @ $35.25 exit $35.49 (+0.7%)

02/19/13 stopped out
02/16/13 new stop loss @ 35.49
02/12/13 new stop loss @ 34.85
02/05/13 new stop loss @ 34.40

chart:



Ocwen Financial - OCN - close: 40.22 change: -0.34

Stop Loss: 39.65
Target(s): 44.75
Current Gain/Loss: - 4.2%

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:
02/19/13: OCN displayed some weakness midday with a drop below the $40.00 level. Our stop loss was hit at $39.65.

*Small Positions*

closed Position: Long OCN stock @ $41.37 exit $39.65 (-4.2%)

02/19/13 stopped out

chart:



Terex Corp. - TEX - close: 34.91 change: -0.01

Stop Loss: 33.95
Target(s): 38.00
Current Gain/Loss: + 3.6%

Entry on February 11 at $33.71
Listed on February 9, 2013
Time Frame: exit prior to earnings on Feb. 19th
Average Daily Volume = 2.5 million
New Positions: see below

Comments:
02/19/13: Our plan was to close positions today at the closing bell to avoid holding over the earnings report this evening. TEX closed virtually unchanged on the session.

closed Position: Long TEX stock @ $33.71 exit $34.91 (+3.6%)

02/19/13 scheduled close
02/16/13 new stop loss @ 33.95, prepare to exit on the 19th at the closing bell
02/13/13 new stop loss @ 32.45
02/11/13 trade opened on gap higher at $33.71

chart: