Editor's Note:
The stock market's bounce continued for a second day with widespread gains on Wednesday.

SRPT was triggered. WDC was stopped out.


Current Portfolio:


BULLISH Play Updates

Gilead Sciences - GILD - close: 42.89 change: +0.64

Stop Loss: 40.75
Target(s): 44.85
Current Gain/Loss: +4.2%

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:
02/27/13: GILD marched higher on Wednesday with a +1.5% gain. Readers may want to start adjusting their stop loss higher again. I am not suggesting new positions.

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

02/23/13 new stop loss @ 40.75



National Instruments - NATI - close: 30.20 change: +0.44

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:
02/27/13: NATI produced a nice rally today (+1.47%) and broke out past the $30.00 level. Yet the stock seemed to struggle with the $30.30 level. Shares came close but did not hit our entry point at $30.35. If there is any follow through higher tomorrow I would expect NATI to hit our entry trigger. More conservative traders may want to adjust their trigger and wait for NATI to hit $30.50 before initiating positions.

Trigger @ 30.35

Suggested Position: buy NATI stock @ (trigger)



NASDAQ OMX Group - NDAQ - close: 31.79 change: +0.34

Stop Loss: 30.75
Target(s): 34.85
Current Gain/Loss: + 0.8%

Entry on February 25 at $31.55
Listed on February 23, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.0 million
New Positions: see below

Comments:
02/27/13: NDAQ continued its rebound as well with a +1.0% gain. The stock is nearing what could be resistance near $32.00 and a breakout there would look pretty bullish for the stock.

*Small Positions*

current Position: long NDAQ stock @ $31.55

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

Long Apr $33 call (NDAQ1320d33) entry $0.95



Progressive Corp. - PGR - close: 24.54 change: +0.24

Stop Loss: 23.75
Target(s): 26.00
Current Gain/Loss: + 4.3%

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:
02/27/13: PGR added twenty four cents for the second day in a row. Shares have yet to fully recover from Monday's sell-off. Readers may want to tighten their stop loss further. I am not suggesting new positions at this time.

current Position: Long PGR stock @ $23.52

02/23/13 new stop loss @ 23.75
02/20/13 new stop loss @ 23.40
02/13/13 new stop loss @ 22.95



Sarepta Therapeutics - SRPT - close: 31.51 change: +2.48

Stop Loss: 28.85
Target(s): 34.75
Current Gain/Loss: + 4.5%

Entry on February 27 at $30.15
Listed on February 26, 2013
Time Frame: Exit PRIOR to earnings on Mar. 7th
Average Daily Volume = 1.0 million
New Positions: see below

Comments:
02/27/13: Our new higher-risk trade on SRPT is off to a good start. Shares surged +8.5% and broke through resistance at the $30.00 level. Our suggested entry point to buy the stock was hit at $30.15.

We are aiming for $34.75. More aggressive traders could aim higher. Remember, this is a higher-risk trade. We want to keep our position size small.

*Small Positions*

current Position: long SRPT stock @ $30.15



Symantec Corp - SYMC - close: 23.23 change: +0.77

Stop Loss: 22.15
Target(s): 24.90
Current Gain/Loss: + 4.2%

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:
02/27/13: SYMC managed to outperform the market's major indices with a +3.4% gain today. The stock has broken out past recent resistance near the $23.00 level. While today's rally is encouraging I would not launch new positions at current levels.

*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

02/25/13 new stop loss @ 22.15
02/16/13 new stop loss @ 21.95



Verizon Comm. - VZ - close: 46.35 change: +0.23

Stop Loss: 44.35
Target(s): 47.25
Current Gain/Loss: + 1.9%

Entry on February 25 at $45.50
Listed on February 23, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 12.9 million
New Positions: see below

Comments:
02/27/13: VZ continues to extend its gains. The stock is now up seven days in a row. I probably wouldn't chase it here. Wait for a dip before launching new positions.

Our plan was to keep our position size small to limit our risk. Our target is $47.25. More aggressive traders may want to aim for the $50.00 area but you may have to be patient.

*Small Positions*

current Position: Long VZ Stock @ $45.50



BEARISH Play Updates

Apollo Group Inc. - APOL - close: 17.12 change: -0.12

Stop Loss: 19.60
Target(s): 15.50
Current Gain/Loss: + 6.2%

Entry on February 25 at $18.25
Listed on February 21, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 3.1 million
New Positions: see below

Comments:
02/27/13: APOL tried to bounce this morning but gains reversed and shares posted another decline. I would not chase positions here at current levels.

current Position: short APOL stock @ $18.25

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

Long Mar $18 PUT (APOL1316o18) entry $0.60



DuPont Fabros Tech. - DFT - close: 22.80 change: +0.17

Stop Loss: 23.60
Target(s): 20.25
Current Gain/Loss: + 0.2%

Entry on February 20 at $22.85
Listed on February 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.25 million
New Positions: see below

Comments:
02/27/13: The market's two-day bounce has lifted DFT to short-term technical resistance at its descending 10-dma. If the trend continues we should see DFT roll over soon. I would still consider new positions at current levels.

Earlier Comments:
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.

*Small Positions*

current Position: short DFT stock @ $22.85

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

Long Mar $25 PUT (DFT1316o25) entry $2.35

02/23/13 new stop loss @ 23.60



EMC Corp. - EMC - close: 23.28 change: +0.34

Stop Loss: 23.71
Target(s): 20.15
Current Gain/Loss: unopened

Entry on February -- at $--.--
Listed on February 25, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 27.4 million
New Positions: Yes, see below

Comments:
02/27/13: We may have to give up on EMC as a bearish play. Shares are up again with a +1.4% gain today. We're still waiting on a breakdown. I see potential support at the June 2012 lows. Therefore I am suggesting a trigger to open bearish positions at $22.65. If triggered our target is $20.15.

Trigger @ 22.65

Suggested Position: short EMC stock @ (trigger)

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

buy the April $22 PUT (EMC1320p22)



Ford Motor Co. - F - close: 12.76 change: +0.42

Stop Loss: 13.05
Target(s): 11.50
Current Gain/Loss: - 2.0%

Entry on February 21 at $12.51
Listed on February 20, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 43.7 million
New Positions: see below

Comments:
02/27/13: The most recent data does not list a lot of short interest in Ford (less than 2% of the float). Yet today's rally almost looks like short covering. The stock outperformed the market with a +3.4% gain. I still see what should be resistance at $13.00 so we're leaving our stop loss at $13.05. If we get stopped out at $13.05 our loss will be 4.3%. More conservative traders may want to consider lowering their stop loss to today's high, which was $12.85 (consider a stop at $12.86 or 12.90). I am not suggesting new positions at this time.

Earlier Comments:
We do want to keep our position size small. Our initial target is $11.50 but we'll make adjustments along the way.

current Position: short F stock @ $12.51



CLOSED BULLISH PLAYS

Splunk, Inc. - SPLK - close: 36.36 change: +0.85

Stop Loss: 34.75
Target(s): 39.50
Current Gain/Loss: + 2.6%

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:
02/27/13: A widespread market rally and participation by SPLK in said rally helped close this trade with a gain. Shares rallied +2.39% today. Our plan was to exit today at the closing bell to avoid holding over the earnings report tomorrow.

closed Position: Long SPLK stock @ $35.44 exit $36.36 (+2.6%)

02/27/13 planned exit
02/26/13 new stop loss @ 34.75, exit tomorrow at the closing bell
02/25/13 new stop loss @ 34.20
02/23/13 remember - plan to exit prior to earnings on Feb. 28th
02/15/13 trade opened on gap higher at $35.44, trigger was $35.30

chart:



CLOSED BEARISH PLAYS

Western Digital Corp. - WDC - close: 47.01 change: +1.14

Stop Loss: 46.51
Target(s): 40.25
Current Gain/Loss: -4.5%

Entry on February 26 at $44.50
Listed on February 25, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 3.2 million
New Positions: see below

Comments:
02/27/13: The market's widespread rebound fueled another hefty bounce in shares of WDC. The stock rallied +2.48% and stalled right near its converging 10, 20 and 30-dma. Unfortunately our stop loss was hit at $46.51.

closed Position: short WDC stock @ $44.50 exit $46.51 (-4.5%)

02/27/13 stopped out

chart: