Editor's Note:
The large-cap S&P 500 index snapped a four-day winning streak with today's pullback. Overall the market's dip was pretty mild.

We did see DLPH and STI hit our entry triggers.


Current Portfolio:


BULLISH Play Updates

Delphi Automotive - DLPH - close: 47.00 change: +0.47

Stop Loss: 44.85
Target(s): 49.75
Current Gain/Loss: + 0.5%

Entry on May 16 at $46.75
Listed on May 14, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 2.2 million
New Positions: see below

Comments:
05/16/13: Our new DLPH trade is off to a good start. Shares shot higher this morning and hit our trigger to launch positions at $46.75. I don't see any changes from my prior comments. FYI: The Point & Figure chart for DLPH is bullish with a $50.00 target.

current Position: Long DLPH stock @ $46.75



The Hartford Financial Serv. Group - HIG - close: 30.79 change: -0.04

Stop Loss: 29.75
Target(s): 32.50
Current Gain/Loss: +5.3%

Entry on May 07 at $29.23
Listed on May 06, 2013
Time Frame: 9 to 12 weeks
Average Daily Volume = 7.3 million
New Positions: see below

Comments:
05/16/13: After a multi-day advance shares of HIG finally saw some profit taking, if you can call a four-cent dip profit taking. The trend is up and HIG remains overextended and due for a bigger pullback. Readers may want to take profits now.

I am raising our stop loss to $29.75.

FYI: In the news today HIG announced a 10-cent quarterly dividend payable on July 1st, 2013 to shareholders of record on June 3rd.

Earlier Comments:
Keep in mind this is a multi-week trade so we'll need patience for the trend to play out for us. I would start this trade with small positions to limit our risk.

current Position: Long HIG stock @ $29.23

05/16/13 new stop loss @ 29.75
05/14/13 new stop loss @ 28.45
05/07/13 trade opened on gap open higher at $29.23



Loews Corp. - L - close: 46.04 change: -0.24

Stop Loss: 44.90
Target(s): 49.75
Current Gain/Loss: +1.1%

Entry on May 08 at $45.52
Listed on May 07, 2013
Time Frame: 9 to 12 weeks
Average Daily Volume = 1.3 million
New Positions: see below

Comments:
05/16/13: Loews gave back most of yesterday's gains. The stock might be headed for its 10-dma near $45.75 and readers could use a dip near this moving average as a new entry point.

Earlier Comments:
I am suggesting we keep our position size small. Our multi-week target is $49.50 and we may need to be patient. Shares of L don't usually move that fast. FYI: The Point & Figure chart for L is bullish with a $58 target.

*Small Positions*

current Position: Long L stock @ $45.52

05/15/13 new stop loss @ 44.90



Altria Group - MO - close: 37.18 change: -0.28

Stop Loss: 35.95
Target(s): 40.00
Current Gain/Loss: + 1.9%

Entry on April 29 at $36.50
Listed on April 27, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 8.6 million
New Positions: see below

Comments:
05/16/13: MO reaffirmed its 2013 earnings guidance. The news failed to inspire any new buyers today. Shares of MO gave back -0.7% thanks to the market's widespread dip. Look for potential short-term support near $37.00 and $36.50. I am not suggesting new positions at this time.

Earlier Comments:
Our target is $40.00 but keep in mind that MO does not move very fast. This could be a multi-week trade.

current Position: Long MO stock @ $36.50

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

Long Jun $35 call (MO1322F35) entry $1.80

05/07/13 new stop loss @ 35.95



Netnet, Inc. - NNI - close: 36.29 change: -0.61

Stop Loss: 34.75
Target(s): 39.50
Current Gain/Loss: +1.5%

Entry on May 14 at $35.75
Listed on May 13, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 68.7 thousand
New Positions: see below

Comments:
05/16/13: After a three-day run NNI hit some profit taking today with a -1.6% pullback. Broken resistance near $35.50 should be new support. Traders could use a dip there as a new entry point.

Earlier Comments:
I do want to urge traders to keep their position size small. NNI does not trade a lot of daily volume. If triggered our target is $39.50.

*small positions*

current Position: Long NNI stock @ $35.75



Prologis, Inc. - PLD - close: 43.87 change: +0.03

Stop Loss: 42.75
Target(s): 47.50
Current Gain/Loss: + 0.7%

Entry on May 15 at $43.55
Listed on May 11, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 4.4 million
New Positions: see below

Comments:
05/16/13: Yesterday's news about some PLD executives retiring late this year didn't seem to have any impact on the stock. Shares tried to rally but struggled with resistance near the $44.00 level. Look for a dip back toward the 10-dma. I am raising the stop loss to $42.75.

*small positions*

current Position: Long PLD stock @ $43.55

05/16/13 new stop loss @ 42.75



Semiconductor ETF - SMH - close: 38.34 change: -0.34

Stop Loss: 37.65
Target(s): 40.00
Current Gain/Loss: + 1.6%

Entry on May 03 at $37.75
Listed on May 02, 2013
Time Frame: 3 to 6 weeks
Average Daily Volume = 2.6 million
New Positions: see below

Comments:
05/16/13: The SMH appears to be consolidating sideways. The last few days have found this ETF stuck inside the $38-39 zone. I am still concerned that the SMH is overbought. We are raising the stop loss to $37.65. I am not suggesting new positions.

Earlier Comments:
Our short-term target is $40.00 although traders could aim for the 2007 high near $41.40 instead. FYI: The Point & Figure chart for SMH is bullish with a $44.00 target.

current Position: Long SMH @ $37.75

05/16/13 new stop loss @ 37.65
05/03/13 triggered on gap open at $37.75, trigger was $37.55



SunTrust Banks - STI - close: 31.27 change: +0.06

Stop Loss: 29.85
Target(s): 34.50
Current Gain/Loss: - 0.4%

Entry on May 16 at $31.40
Listed on May 15, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 4.4 million
New Positions: see below

Comments:
05/16/13: STI bucked the market's decline today and produced another new relative high. Shares also hit our trigger to launch bullish positions at $31.40.

current Position: Long STI stock @ $31.40

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

Long Jul $32 call (STI1320G32) entry $0.78



The TJX Companies - TJX - close: 51.62 change: +0.17

Stop Loss: 49.90
Target(s): 52.00
Current Gain/Loss: + 6.3%

Entry on April 09 at $47.75
Listed on April 08, 2013
Time Frame: exit PRIOR to earnings on May 21
Average Daily Volume = 4.7 million
New Positions: see below

Comments:
05/16/13: Retail stocks did not perform well today, thanks partly to a disappointing earnings report from Wal-mart (WMT). We only have a couple of trading days left on this trade in TJX. Readers may want to exit now to lock in gains. I am not suggesting new positions. We want to exit prior to earnings on May 21st, which means we'll plan on closing positions on Monday, May 20th at the closing bell.

current Position: Long TJX stock @ $47.75

05/14/13 new stop loss @ 49.90
05/09/13 new stop loss @ 48.45
05/06/13 new stop loss @ 47.90
05/02/13 new stop loss @ 47.40
04/18/13 today's decline is bad news. TJX looks ready to hit our stop at $46.45 soon.



SPDR S&P Homebuilders ETF - XHB - close: 31.90 change: -0.54

Stop Loss: 30.70
Target(s): 34.50
Current Gain/Loss: + 1.8%

Entry on May 09 at $31.34
Listed on May 08, 2013
Time Frame: 9 to 12 weeks
Average Daily Volume = 5.3 million
New Positions: see below

Comments:
05/16/13: Ouch! The XHB cut our unrealized gains in half with a -1.6% drop today. News that the monthly housing starts came in at their lowest levels since November hurt investor confidence for this industry. Technically today's session has created a bearish engulfing candlestick reversal pattern.

The simple 10-dma should offer some support near $31.70. We are raising our stop loss up to $30.70. I am not suggesting new positions at current levels.

*Small Positions*

current Position: Long the XHB @ $31.34

05/16/13 new stop loss @ 30.70



BEARISH Play Updates


None. We do not have any active bearish trades.