Editor's Note:
After a three-day slide in the S&P 500 index the market bounced on Wednesday.

I am suggesting we prepare to exit our CRAY and PGR positions at the opening bell tomorrow.


Current Portfolio:


BULLISH Play Updates

Cray Inc. - CRAY - close: 22.18 change: +0.68

Stop Loss: 19.80
Target(s): 22.25
Current Gain/Loss: +10.1%

Entry on March 04 at $20.15
Listed on March 02, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 419 thousand
New Positions: see below

Comments:
03/20/13: CRAY continues to rally and outperformed the market with a +3.1% gain today. The intraday high was $22.21. That's awfully close to our exit target at $22.25. I am suggesting we go ahead and exit positions immediately at the opening bell tomorrow morning. More aggressive traders could aim higher but the newsletter will close this trade tomorrow morning.

Earlier Comments:
The plan was to keep our position size small to limit our risk.

*Small Positions*

Current Position: long CRAY stock @ $20.15

03/20/13 prepare to exit tomorrow morning at the open
03/16/13 new stop loss @ 19.80
03/13/13 new stop loss @ 19.65
03/04/13 triggered @ $20.15



iShares Japan Index - EWJ - close: 10.73 change: +0.08

Stop Loss: 10.18
Target(s): 11.40
Current Gain/Loss: + 2.8%

Entry on March 12 at $10.44
Listed on March 11, 2013
Time Frame: 9 to 12 weeks
Average Daily Volume = 30 million
New Positions: see below

Comments:
03/20/13: There was news out again today suggesting the incoming Bank of Japan governor would launch into another round of significant monetary easing. That helped the EWJ post another gain today.

We are raising the stop loss to $10.18.

Earlier Comments:
We have a longer-term time frame for this trade to work. If you're going to play it, be patient.

Current Position: Long the EWJ @ $10.44

03/20/13 new stop loss @ 10.18



Mattel, Inc. - MAT - close: 42.30 change: +0.49

Stop Loss: 40.75
Target(s): 44.85
Current Gain/Loss: + 2.3%

Entry on March 06 at $41.35
Listed on March 02, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.7 million
New Positions: see below

Comments:
03/20/13: MAT gapped open higher this morning and tagged new multi-year highs with a +1.1% gain. We are raising the stop loss up to $40.75. I am not suggesting new positions at this time.

Earlier Comments:
Our long-term target is $44.85. We may have to exercise some patience on this trade. It could take a while to get to the $45.00 level since MAT doesn't move very fast but the long-term trend is definitely higher.

current Position: Long MAT stock @ $41.35

03/20/13 new stop loss at $40.75



MeadWestvaco Corp. - MWV - close: 38.00 change: +0.14

Stop Loss: 36.65
Target(s): 39.25
Current Gain/Loss: + 3.7%

Entry on March 11 at $36.65
Listed on March 09, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.3 million
New Positions: see below

Comments:
03/20/13: MWV is still showing strength and tagged another new all-time high. I am adjusting our stop loss up to $36.65.
FYI: The Point & Figure chart for MWV is bullish with a $42 target.

current Position: long MWV stock @ $36.65

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

Long Apr $35 call (MWV1320D35) entry $2.20

03/20/13 new stop loss @ 36.65
03/16/13 adjust exit target to $39.25.
03/14/13 new stop loss @ 35.95 and adjust exit target to $39.50



Progressive Corp. - PGR - close: 24.93 change: -0.01

Stop Loss: 24.45
Target(s): 26.00
Current Gain/Loss: + 6.0%

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:
03/20/13: The upward momentum in PGR seems to be in trouble. The stock did not participate in the market's rebound rally today. I am suggesting we go ahead and exit positions immediately tomorrow morning at the opening bell.

current Position: Long PGR stock @ $23.52

03/20/13 prepare to exit at the opening bell tomorrow
03/13/13 new stop loss @ 24.45
03/02/13 new stop loss @ 23.90
02/23/13 new stop loss @ 23.75
02/20/13 new stop loss @ 23.40
02/13/13 new stop loss @ 22.95



Xerox Corp. - XRX - close: 8.76 change: +0.14

Stop Loss: 8.49
Target(s): 9.90
Current Gain/Loss: unopened

Entry on March -- at $--.--
Listed on March 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 9.8 million
New Positions: Yes, see below

Comments:
03/20/13: XRX displayed relative strength with a +1.6% gain on Wednesday. The stock looks poised to breakout from its sideways trading range.

I am suggesting a trigger to launch small bullish positions at $8.90. If triggered our target is $9.90.

NOTE: XRX will begin trading ex-dividend for its next dividend of 5.75 cents a share on March 26, 2013.

Trigger @ 8.90 *small positions*

Suggested Position: buy XRX stock @ (trigger)

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

buy the Jul $9.00 call (XRX13G9)



Yelp, Inc. - YELP - close: 24.12 change: -0.16

Stop Loss: 23.90
Target(s): 29.00
Current Gain/Loss: unopened

Entry on March -- at $--.--
Listed on March 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.2 million
New Positions: Yes, see below

Comments:
03/20/13: I am on the verge of dropping YELP as an active candidate. This morning saw the stock gap open higher but the rally immediately reversed. Shares underperformed the market with a -0.6% decline. If YELP doesn't show improve tomorrow we'll likely drop it as a candidate.

Currently, we are suggesting a trigger to launch small bullish positions at $25.60. If triggered our target is $29.00.

Earlier Comments:
If YELP can break out again the stock could see a short squeeze. The most recent data listed short interest at 66% of the small 22.1 million share float. That's definitely a lot of fuel for a short squeeze.

Trigger @ 25.60 *Small Positions*

Suggested Position: buy YELP stock @ (trigger)

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

buy the Apr $26 call (YELP1320D26)



BEARISH Play Updates

Brunswick Corp - BC - close: 34.81 change: +0.86

Stop Loss: 35.30
Target(s): 30.30
Current Gain/Loss: - 2.7%

Entry on March 18 at $33.78
Listed on March 12, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 786 thousand
New Positions: see below

Comments:
03/20/13: I cautioned readers yesterday that BC might bounce following what looked like a short-term double bottom near $33.40. Shares gapped open higher and surged past their 50-dma to close up +2.5%. This certainly looks bullish but the trend of lower highs is still in place for now. The intraday high today was $35.20 and our stop loss is at $35.30. I am not suggesting new positions at this time.

Suggested Position: short BC stock @ $33.78

03/18/13 triggered on gap down at $33.78. Trigger was $33.90



Garmin Ltd. - GRMN - close: 33.47 change: -0.14

Stop Loss: 35.05
Target(s): 30.25
Current Gain/Loss: +1.4%

Entry on March 20 at $33.93
Listed on March 19, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.5 million
New Positions: see below

Comments:
03/20/13: GRMN gapped open higher at $33.93, which provided us a better entry point for out bullish trade. The bounce failed at the $34.00 mark and shares underperformed the market with a -0.4% decline.

The gap higher this morning definitely took a chunk out of the put option and gave us a better price.

current Position: short GRMN stock @ $33.93

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

Long Apr $33 PUT (GRMN1320P33) entry $0.39



Teck Resources - TCK - close: 28.46 change: +0.77

Stop Loss: 29.25
Target(s): 26.25
Current Gain/Loss: +1.9%

Entry on March 19 at $29.00
Listed on March 18, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.0 million
New Positions: see below

Comments:
03/20/13: After yesterday's big drop in TCK the stock managed an oversold bounce today. Shares gapped open higher at $28.07 and made it to $28.83 before paring its gains. Technically today is just an "inside day" with TCK trading within yesterday's trading range.

current Position: short TCK stock @ $29.00

03/19/13 new stop loss @ 29.25