Editor's Note:
The S&P 500 index has produced a three-day decline. Is the up trend in trouble? The index settled on its 50-dma and the next level of support should be the 1600 mark.

Today our EA trade was stopped out. We have removed LGF.


Current Portfolio:


BULLISH Play Updates

Acadia Healthcare - ACHC - close: 34.76 change: +0.06

Stop Loss: 32.99
Target(s): 38.50
Current Gain/Loss: - 1.1%

Entry on June 11 at $35.15
Listed on June 10, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 273 thousand
New Positions: see below

Comments:
06/12/13: ACHC actually managed to tag a new 52-week high before paring its gains late in the day. Readers may want to consider new bullish positions if ACHC can trade above $35.40.

current Position: Long ACHC stock @ $35.15



Delphi Automotive - DLPH - close: 50.00 change: +0.10

Stop Loss: 47.85
Target(s): 54.50
Current Gain/Loss: - 0.5%

Entry on June 07 at $50.25
Listed on June 06, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.3 million
New Positions: see below

Comments:
06/12/13: DLPH did not participate in the market's weakness today. Shares continue to consolidate sideways near $50.00. Nimble traders may want to look for a dip or a bounce off the 20-dma as an alternative entry point for new positions.

current Position: Long DLPH stock @ $50.25

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

Long Aug $50 call (DLPH1317H50) entry $2.40



Ryanair Holdings - RYAAY - close: 49.66 change: -0.36

Stop Loss: 48.75
Target(s): 55.00
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 08, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 319 thousand
New Positions: Yes, see below

Comments:
06/12/13: RYAAY produced a -0.7% pullback today. The stock remains inside its recent trading range. I don't see any changes from my weekend comments.

I am suggesting small bullish positions if RYAAY can trade at $50.50. If triggered our target is $55.00.

Earlier Comments:
Please note I want to point out that RYAAY is a foreign company and its stock tends to gap open, up or down, each day as trading in the U.S. reacts to trading in Europe. Secondly I want to point out that there is a legal drama brewing between RYAAY and the U.K. government. There have been news articles discussing how the U.K. government "may force RYAAY to sell its 30% stake in Aer Lingus" (Reuters) because this ownership stake may allow RYAAY too much influence over its rival. The minority stake might prevent Aer Lingus from merging with another airline. Thus far this story does not seem to have any impact on RYAAY's stock price but investors should be aware of it.

Trigger @ $50.50 *Small Positions*

Suggested Position: buy RYAAY stock @ (trigger)



Spirit Airlines - SAVE - close: 31.45 change: -0.72

Stop Loss: 29.75
Target(s): 34.00
Current Gain/Loss: + 4.0%

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:
06/12/13: SAVE hit some profit taking and gave back -2.2% today. The stock should find potential short-term support at both the $31.00 and $30.00 levels. More conservative traders may want to consider taking profits now or raising your stop loss closer to $31.00.

current Position: Long SAVE stock @ $30.25

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

Long Jul $30 call (SAVE1320G30) entry $1.50

06/10/13 new stop loss @ 29.75
06/08/13 new stop loss @ 29.49
06/01/13 new stop loss @ 29.20



BEARISH Play Updates

Rackspace Holdings - RAX - close: 34.83 change: -1.16

Stop Loss: 37.25
Target(s): 31.00
Current Gain/Loss: +8.4%

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:
06/12/13: Good news! After a four-day oversold bounce shares of RAX reversed with a -3.2% decline. Today's move also looks like a bearish engulfing reversal pattern. More conservative traders might want to tighten their stop loss again. I also want to suggest that option traders might want to take profits soon. We have less than two weeks left on our June puts.

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

06/06/13 new stop loss @ 37.25
06/05/13 new stop loss @ 37.75
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.



Trimble Navigation - TRMB - close: 26.15 change: -0.29

Stop Loss: 27.01
Target(s): 23.00
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 11, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 1.7 million
New Positions: Yes, see below

Comments:
06/12/13: The weakness in TRMB continues with a -1.0% decline today. Yet shares remain above support at $26.00. I don't see any changes from my new play description last night.

Earlier Comments:
I am suggesting a trigger to launch bearish positions at $25.90. If triggered our target is $23.00.

Trigger @ 25.90

Suggested Position: short TRMB stock @ (trigger)

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

Buy the AUG $25 PUT (TRMB1317T25) current ask $1.00



CLOSED BULLISH PLAYS

Electronic Arts - EA - close: 21.54 change: -1.06

Stop Loss: 22.40
Target(s): 25.75
Current Gain/Loss: - 3.0%

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:
06/12/13: It looks like traders are using E3 as a reason to sell. I can't pinpoint any one headline as the reason for EA's relative weakness today. The stock did underperform with a -4.69% decline that erased a few weeks worth of gains. Our stop loss was hit at $22.40.

closed Position: Long EA stock @ $23.10 exit $22.40 (-3.0%)

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

Jul $25 call (EA1320G25) Entry $0.62 exit $0.25 (-59.6%)

06/12/13 stopped out
06/01/13 new stop loss @ 22.40

chart:



Lions Gate Entertainment - LGF - close: 26.81 change: -1.60

Stop Loss: 27.80
Target(s): 34.00
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 08, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.5 million
New Positions: see below

Comments:
06/12/13: We are removing LGF as a candidate. The stock has been underperforming and plunged -5.6% today. Volume was well above average on the sell-off. Somebody wanted out! The breakdown under $28.00 and its 20-dma and 30-dma are short-term bearish. If you're feeling overly optimistic you could argue that LGF settled on technical support at its 40-dma, which is where the stock bounced back in April.

Our trade has not opened yet and we are removing LGF from the newsletter.

Trade did not open.

06/12/13 removed from the newsletter

chart: