Editor's Note:
The stock market's rally seemed to stall a bit on Monday but the small cap Russell 2000 managed to eke out a very small gain.

CGNX was triggered. TJX was closed. We want to exit our XHB trade tomorrow.


Current Portfolio:


BULLISH Play Updates

Cognex Corp. - CGNX - close: 45.81 change: +0.57

Stop Loss: 43.95
Target(s): 49.50
Current Gain/Loss: + 0.7%

Entry on May 20 at $45.50
Listed on May 18, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 269 thousand
New Positions: see below

Comments:
05/20/13: The rally continues in CGNX with traders buying the dip this morning. CGNX broke out past last week's highs and hit our trigger to launch small positions at $45.50. This is a new multi-year high for the stock. FYI: The Point & Figure chart for CGNX is bullish with a $57.00 target.

*Small Positions*

current Position: Long CGNX stock @ $45.50



Delphi Automotive - DLPH - close: 48.79 change: +0.27

Stop Loss: 46.75
Target(s): 49.75
Current Gain/Loss: + 4.4%

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:
05/20/13: Momentum in DLPH stalled just a bit today with a more sideways session but shares did post another gain. Tonight we are raising our stop loss to breakeven at $46.75.

current Position: Long DLPH stock @ $46.75

05/20/13 new stop loss @ 46.75
05/18/13 new stop loss @ 45.95



The Hartford Financial Serv. Group - HIG - close: 31.10 change: -0.06

Stop Loss: 29.95
Target(s): 32.00
Current Gain/Loss: +6.4%

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:
05/20/13: HIG gapped open lower this morning. I couldn't find any specific news to account for the weakness. Shares did recover to close virtually unchanged on the session. I don't see any changes from my weekend comments. More conservative traders may want to exit early right now to lock in gains.

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

05/18/13 new stop loss @ 29.95, adjust exit to $32.00
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: 46.71 change: +0.27

Stop Loss: 45.95
Target(s): 49.75
Current Gain/Loss: +2.6%

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:
05/20/13: Strength in the energy sector may have given shares of L a boost today. The stock delivered a +0.58% gain and another new relative high. We are raising the stop loss to $45.95.

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

05/20/13 new stop loss @ 45.95
05/15/13 new stop loss @ 44.90



Lions Gate Entertainment - LGF - close: 27.79 change: +0.27

Stop Loss: 26.60
Target(s): 29.75
Current Gain/Loss: + 0.7%

Entry on May 20 at $27.59
Listed on May 18, 2013
Time Frame: Exit PRIOR to earnings on May 30th
Average Daily Volume = 1.2 million
New Positions: see below

Comments:
05/20/13: It looks like we were not the only ones ready to buy the rebound in LGF. Shares gapped open higher this morning at $27.59. The lackluster market today could have held shares back from further gains. The stock closed just below last week's highs near $28.00.

Earlier Comments:
Any further gains could spark more short covering. The most recent data listed short interest at 12% of the 78 million-share float. More conservative traders may want to wait for a rally past $28.00 as an alternative entry point. Our short-term target is $29.75 but we will plan on exiting positions prior to LGF's earnings report due out on May 30th.

*Small Positions*

current Position: Long LGF stock @ $27.59



Altria Group - MO - close: 37.34 change: -0.10

Stop Loss: 36.75
Target(s): 40.00
Current Gain/Loss: + 2.3%

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:
05/20/13: It was a quiet day for shares of MO. I don't see any changes from my weekend comments. 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

05/18/13 new stop loss @ 36.75
05/07/13 new stop loss @ 35.95



Netnet, Inc. - NNI - close: 37.51 change: +0.38

Stop Loss: 35.65
Target(s): 39.50
Current Gain/Loss: +4.9%

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:
05/20/13: The market's Monday malaise did not stop the rally in NNI. Shares posted a +1.0% gain and another new high.

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

05/18/13 new stop loss @ 35.65



Prologis, Inc. - PLD - close: 44.18 change: +0.31

Stop Loss: 43.30
Target(s): 47.50
Current Gain/Loss: + 1.4%

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:
05/20/13: I have been cautious on PLD but the stock continues to push higher. Shares outperformed the broader indices today and the close over $44.00 is short-term bullish.

*small positions*

current Position: Long PLD stock @ $43.55

05/18/13 new stop loss @ 43.30
05/16/13 new stop loss @ 42.75



Semiconductor ETF - SMH - close: 38.65 change: -0.12

Stop Loss: 38.15
Target(s): 40.00
Current Gain/Loss: + 2.4%

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:
05/20/13: The rally inside the semiconductor sector also took the day off today. Shares of SMH drifted lower. This ETF looks like it could test short-term technical support at its 10-dma (near 38.46) tomorrow.

I am not suggesting new positions at this time.

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

05/18/13 new stop loss @ 38.15
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: 32.30 change: +0.42

Stop Loss: 30.95
Target(s): 34.50
Current Gain/Loss: + 2.9%

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:
05/20/13: There was no slow down in shares of STI tonight. The stock posted a +1.3% gain and is now up six days in a row.

I want to remind you that the 2011 highs near $33.00-33.15 could prove to be resistance. More conservative traders may want to exit near $33.00. Tonight we are raising our stop loss to $30.95.

current Position: Long STI stock @ $31.40

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

Long Jul $32 call (STI1320G32) entry $0.78

05/20/13 new stop loss @ 30.95



SPDR S&P Homebuilders ETF - XHB - close: 32.13 change: -0.29

Stop Loss: 31.65
Target(s): 34.50
Current Gain/Loss: + 2.5%

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:
05/20/13: The rally in the XHB might be in trouble. As you know last week the XHB produced a bearish reversal pattern. So far there has been no follow through. Yet we are concerned the momentum is fading. Tonight we are suggesting an exit tomorrow at the opening bell. We can re-visit the XHB on a correction back toward the up trend of higher lows.

*Small Positions*

current Position: Long the XHB @ $31.34

05/20/13 prepare to exit tomorrow at the opening bell
05/18/13 new stop loss @ 31.65
05/16/13 new stop loss @ 30.70



BEARISH Play Updates

Goldcorp Inc. - GG - close: 27.28 change: +1.46

Stop Loss: 28.75
Target(s): 22.00
Current Gain/Loss: -3.3%

Entry on May 17 at $26.40
Listed on May 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 7.3 million
New Positions: see below

Comments:
05/20/13: Ouch! Today is a good example of why we wanted to keep our position size small to limit our risk. A pullback in the U.S. dollar helped spark a big bounce in both gold and silver. Shares of GG actually gapped open lower and then reversed higher to a +5.6% gain. Technically this is a bullish engulfing reversal pattern but it needs to see confirmation. More conservative traders may want to lower their stop losses. I am not suggesting new positions.

Earlier Comments:
Gold and gold stocks can be volatile. I am suggesting we keep our position size small to limit our risk.

*Small Positions*

Current Position: short GG stock @ $26.40



CLOSED BULLISH PLAYS

The TJX Companies - TJX - close: 51.35 change: +0.02

Stop Loss: 49.90
Target(s): 52.00
Current Gain/Loss: + 7.4%

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:
05/20/13: Shares of TJX churned sideways today as investors wait for the earnings report out tomorrow. Our plan was to exit positions at the opening bell today. TJX opened at $51.28.

closed Position: Long TJX stock @ $47.75 exit $51.28 (+7.4%)

05/20/13 closed at the open today
05/18/13 prepare to exit at the open on Monday morning
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.

chart: