Editor's Note:
The financial sector was a bright spot for the market today. Banking stocks continue to show some relative strength.

Our new WFC trade was triggered.


Current Portfolio:


BULLISH Play Updates

Barnes Group - B - close: 30.31 change: +0.17

Stop Loss: 29.90
Target(s): 34.75
Current Gain/Loss: unopened

Entry on May -- at $--.--
Listed on May 28, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 310 thousand
New Positions: Yes, see below

Comments:
05/30/13: Thursday proved to be a quiet session for shares of B. The stock consolidating sideways. I will point out that the MACD technical indicator on B's daily chart is about to produce a bearish sell signal. It's also showing a bearish divergence on top of that. That should keep investors cautious.

We definitely want to keep our position size small to limit our risk. The larger trend is still higher but a close under $30.00 would look short-term bearish.

Currently I am suggesting with launch small bullish positions if B can hit our entry trigger at $31.10. If triggered our target is $34.75.

Trigger @ 31.10 *Small Positions*

Suggested Position: buy B stock @ (trigger)



Electronic Arts - EA - close: 23.35 change: +0.20

Stop Loss: 21.90
Target(s): 25.75
Current Gain/Loss: + 1.1%

Entry on May 28 at $23.10
Listed on May 23, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 6.0 million
New Positions: see below

Comments:
05/30/13: Shares of EA have found support near $23.00 for the last two and a half days. The stock managed to show a little relative strength today with a +0.8% gain. More conservative traders could wait for a rally past today's high (23.54) as an alternative entry point.

Earlier Comments:
If triggered our target is $25.75. However, that is a slightly aggressive target. The $25.00 level has been resistance in the past and could be resistance again.

current Position: Long EA stock @ $23.10

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

Long Jul $25 call (EA1320G25) Entry $0.62



Groupon, Inc. - GRPN - close: 7.47 change: +0.06

Stop Loss: 6.89
Target(s): 9.00
Current Gain/Loss: + 0.8%

Entry on May 28 at $ 7.41
Listed on May 25, 2013
Time Frame: 10 to 12 weeks
Average Daily Volume = 20.5 million
New Positions: see below

Comments:
05/30/13: GRPN spent today's session consolidating sideways below resistance at the $7.50 mark. If you look hard enough at the intraday chart GRPN does seem to be building a bullish trend of higher lows, which would suggest a breakout higher soon. Today's high was $7.52. Yesterday's high was $7.53. Investors might want to wait for a rally past $7.55 as an alternative entry point to launch positions.

Earlier Comments:
Due to the stock's volatility in the last couple of months I am suggesting we keep our position size small to limit risk.
FYI: The Point & Figure chart for GRPN is bullish with a $10.50 target.

current Position: Long GRPN stock @ $7.41



Molina Healthcare - MOH - close: 38.66 change: +0.49

Stop Loss: 37.40
Target(s): 42.00
Current Gain/Loss: + 0.2%

Entry on May 29 at $38.60
Listed on May 22, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 660 thousand
New Positions: see below

Comments:
05/30/13: Traders bought the dip in MOH twice near the $38.00 mark today. Shares managed to rebound and the stock ended up outperforming the broader market with a +1.28% gain. I would still consider new positions now or you could wait for a rise past $38.75 as an alternative entry point.

Earlier Comments:
I want to repeat that we are suggesting small positions. If the broader market continues lower we could see MOH reverse.

*Small Positions*

current Position: Long MOH stock @ $38.60



Spirit Airlines - SAVE - close: 30.48 change: +0.17

Stop Loss: 28.75
Target(s): 34.00
Current Gain/Loss: + 0.8%

Entry on May 28 at $30.25
Listed on May 25, 2013
Time Frame: 8 to 9 weeks
Average Daily Volume = 686 thousand
New Positions: see below

Comments:
05/30/13: Both SAVE and the airline index spiked higher this morning. Both pared their gains but SAVE outperformed with a +0.5% gain. It is worth noting that the XAL airline index is starting to see what looks like a short-term trend of lower highs. SAVE on the other hand is still building a bullish trend of higher highs but if the airline industry starts to correct lower it's going to make things tougher for our trade.

current Position: Long SAVE stock @ $30.25

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

Long Jul $30 call (SAVE1320G30) entry $1.50



SunTrust Banks - STI - close: 32.60 change: +0.60

Stop Loss: 30.95
Target(s): 34.50
Current Gain/Loss: + 3.8%

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:
05/30/13: The financial sector was a bright spot in the market today. Shares of STI manage to outperform many of its peers with a +1.8% gain and a new 52-week closing high. I did hear STI garner some bullish comments on CNBC today.

More conservative traders may want to raise their stop loss again. I am not suggesting new positions at this time.

Earlier Comments:
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.

current Position: Long STI stock @ $31.40

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

Long Jul $32 call (STI1320G32) entry $0.78

05/28/13 call option traders might want to take profits early right now.
note: STI will begin trading ex-dividend tomorrow (10 cents)
05/20/13 new stop loss @ 30.95



Wells Fargo & Co - WFC - close: 41.25 change: +0.50

Stop Loss: 39.90
Target(s): 44.50
Current Gain/Loss: + 0.0%

Entry on May 30 at $41.25
Listed on May 29, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 20.5 million
New Positions: see below

Comments:
05/30/13: Our new trade on WFC has been triggered. Strength in the financial stocks helped fuel a +1.2% gain for WFC and a new high. The breakout past resistance near $41.00 is bullish.

*Small Positions*

current Position: Long WFC stock @ $41.25



BEARISH Play Updates

Rackspace Holdings - RAX - close: 38.39 change: +0.44

Stop Loss: 40.10
Target(s): 31.00
Current Gain/Loss: -1.0%

Entry on May 22 at $38.02
Listed on May 21, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 3.0 million
New Positions: see below

Comments:
05/30/13: RAX uploaded another rebound today with a +1.1% gain. I don't see any changes from my prior comments and would still consider new bearish positions at current levels.

Earlier Comments:
If you're concerned about shorting RAX then buy the put option to limit your risk to the cost of your option.

current Position: short RAX stock @ $38.02

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

Long Jun $37.50 PUT (RAX1322r37.5) entry $1.60

05/25/13 new stop loss at $40.10, more conservative traders may want to exit early now.
05/24/13 RAX confirms the bullish reversal pattern.
05/23/13 RAX produced a bullish reversal candlestick.