Editor's Note:
The market continued to push higher ahead of the FOMC decision tomorrow. Overall Tuesday's session produced a widespread rally.

We are removing PANL as a trade.
RAX and TRMB were stopped out.
We want to exit our SAVE calls tomorrow morning.


Current Portfolio:


BULLISH Play Updates

ACADIA Pharmaceuticals - ACAD - close: 18.43 change: -0.49

Stop Loss: 18.20
Target(s): 24.50
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 15, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 4.1 million
New Positions: Yes, see below

Comments:
06/18/13: This morning ACAD announced news regarding its Phase III trial results for Pimavanserin, a treatment for Parkinson's disease psychosis (PDP). The news failed to have much of an impact on the stock price. Shares continued to retreat from its failed rally at resistance near $20.00. ACAD is now down two days in a row. There might be short-term support at its rising 10-dma near $18.00. However, we are currently on the sidelines waiting for a breakout past $20.00.

I don't see any changes from my weekend comments.

Earlier Comments:
A rally past resistance at $20 could fuel another bout of short covering. The most recent data listed short interest at 14% of the small 49.3 million share float.

I do consider this an aggressive, higher-risk trade because ACAD can be a volatile stock. Therefore we do want to keep our position size small. The June 10th high was $20.09. I am suggesting a trigger at $20.20 to buy the stock. If triggered our target is $24.50.

Trigger @ 20.20 *Small Positions*

Suggested Position: buy ACAD stock @ (trigger)



Acadia Healthcare - ACHC - close: 35.43 change: +1.22

Stop Loss: 33.60
Target(s): 38.50
Current Gain/Loss: + 0.8%

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:
06/18/13: Shares of ACHC decided to kick things back into gear with a +3.5% rally. I could not find any news to explain this sudden display of relative strength but this is a new multi-year high for the stock.

The simple 30-dma has risen to $33.68. I am raising our stop loss to $33.60.

current Position: Long ACHC stock @ $35.15

06/18/13 new stop loss @ 33.60
06/13/13 new stop loss @ 33.35



Addus HomeCare - ADUS - close: 20.35 change: +0.72

Stop Loss: 18.35
Target(s): 24.00
Current Gain/Loss: +1.0%

Entry on June 17 at $20.15
Listed on June 15, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 178 thousand
New Positions: see below

Comments:
06/18/13: Good news! There was no follow through on yesterday's afternoon sell-off in ADUS. Shares rebounded with a +3.6% gain to outperform the broader market today. The close above $20.00 is technically bullish and investors could use this move as a new bullish entry point.

More conservative traders may want to adjust their stop so it's closer to the simple 10-dma.

*small positions*

current Position: Long ADUS stock @ $20.15



Delphi Automotive - DLPH - close: 51.93 change: +0.72

Stop Loss: 49.25
Target(s): 54.50
Current Gain/Loss: + 3.3%

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:
06/18/13: DLPH is also showing relative strength with a +1.4% gain today. The stock looks poised to breakout past the $52.00 level soon. More conservative investors might want to tighten their stop closer to the simple 20-dma or the $50.00 level.

current Position: Long DLPH stock @ $50.25

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

Long Aug $50 call (DLPH1317H50) entry $2.40

06/17/13 new stop loss @ 49.25



Hewlett-Packard - HPQ - close: 25.44 change: +0.28

Stop Loss: 24.40
Target(s): 29.50
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 17, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 22 million
New Positions: Yes, see below

Comments:
06/18/13: HPQ drifted higher on Tuesday with a +1.1% gain. Yet shares did not hit our suggested entry trigger at $25.65. If the market rallies again tomorrow we will likely see HPQ hit our trigger.

Earlier Comments:
There appears to be short-term resistance at $25.50. I am suggesting a trigger to open bullish positions at $25.65. If triggered our target is $29.50.

Trigger @ 25.65

Suggested Position: buy HPQ stock @ (trigger)

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

Buy the Aug $25 call (HPQ1317H25) current ask $1.60



Ryanair Holdings - RYAAY - close: 49.96 change: +0.30

Stop Loss: 48.75
Target(s): 55.00
Current Gain/Loss: - 1.1%

Entry on June 14 at $50.50
Listed on June 08, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 319 thousand
New Positions: see below

Comments:
06/18/13: Tuesday was a very quiet day for RYAAY. The stock churned sideways in a 25-cent range just below the $50.00 mark. I am growing more cautious on this trade given RYAAY's inability to hit and hold new highs.

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

*Small Positions*

current Position: Long RYAAY stock @ $50.50



Spirit Airlines - SAVE - close: 32.99 change: +0.42

Stop Loss: 30.80
Target(s): 34.00
Current Gain/Loss: + 9.1%

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:
06/18/13: SAVE continues to show relative strength and just hit another new high with today's +1.28% gain.

I am encouraged by SAVE's strength but I am concerned that Fed Chairman Ben Bernanke might disappoint the market tomorrow. Our July $30 calls have almost doubled in value. Therefore I am suggesting we go ahead and exit our July $30 calls at the opening bell tomorrow morning to lock in gains. The option currently has a bid/ask spread of $2.95/3.40.

For the remaining stock position we will raise our stop loss to $30.80, which is just below the rising 20-dma.

current Position: Long SAVE stock @ $30.25

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

Long Jul $30 call (SAVE1320G30) entry $1.50

06/18/13 prepare to exit July $30 calls at the open tomorrow morning.
06/18/13 new stop loss @ 30.80
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

Freeport-McMoRan - FCX - close: 29.52 change: -0.14

Stop Loss: 30.35
Target(s): 25.50
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 15, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 20 million
New Positions: Yes, see below

Comments:
06/18/13: FCX continues to underperform the market but shares have not hit our entry trigger yet. The low today was $29.33.

I am suggesting a trigger to open bearish positions at $29.00. If triggered our target is $25.50 but I will point out that the April low near $27.25 could be short-term support and FCX might bounce on its initial test of this level.

FYI: FCX has a special $1.00 dividend payable on July 1st, 2013 to shareholders of record on June 14th.

Trigger @ 29.00

Suggested Position: short FCX stock @ (trigger)

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

Buy the Aug $27 PUT (FCX1317T27)



Rentech Nitrogen Partners - RNF - close: 27.85 change: -0.64

Stop Loss: 30.55
Target(s): 25.15
Current Gain/Loss: + 4.0%

Entry on June 17 at $29.00
Listed on June 13, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 159 thousand
New Positions: see below

Comments:
06/18/13: The sell-off in RNF continues with shares underperforming the market thanks to today's -2.2% decline. This is a new low for the year. I am lowering our stop loss down to $30.55.

Earlier Comments:
We want to keep our position size small because RNF is arguably already oversold. Of course it can remain oversold for months but we still want to limit our risk.

*small positions*

current Position: short RNF stock @ $29.00

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

Long Jul $27.50 PUT (RNF1320s27.5) entry $0.65

06/18/13 new stop loss @ 30.55



CLOSED BEARISH PLAYS

Universal Display Corp. - PANL - close: 28.87 change: +1.70

Stop Loss: 28.35
Target(s): 22.50
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 12, 2013
Time Frame: 3 to 6 weeks
Average Daily Volume = 727 thousand
New Positions: see below

Comments:
06/18/13: PANL is not cooperating. The stock shot higher with a +6.2% gain on no news this morning. Obviously something moved the stock this morning. I previously warned readers that PANL had a high short interest and could see spikes like this.

Our trade has not opened yet. Therefore I am removing PANL from the newsletter.

Trade did not open.

06/18/13 removed from the newsletter

chart:



Rackspace Holdings - RAX - close: 37.65 change: +2.05

Stop Loss: 37.25
Target(s): 31.00
Current Gain/Loss: +2.0%

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:
06/18/13: Ouch! RAX spiked higher this morning and soared to a +5.75% gain on the session. The move this morning looked like short covering. I couldn't find any news to explain the sudden show of strength. It is interesting that RAX has done nothing but go up since Cramer dumped on the stock. Our stop loss was hit at $37.25. The recent bounces near $34.00 is starting to look like a short-term bullish double bottom pattern.

closed Position: short RAX stock @ $38.02 exit $37.25 (+2.0%)

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

Jun $37.50 PUT (RAX1322r37.5) entry $1.60 exit $0.85 (-46.8%)

06/18/13 stopped out
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.

chart:



Trimble Navigation - TRMB - close: 27.00 change: +0.55

Stop Loss: 27.01
Target(s): 23.00
Current Gain/Loss: - 4.3%

Entry on June 13 at $25.90
Listed on June 11, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 1.7 million
New Positions: see below

Comments:
06/18/13: The oversold bounce in TRMB continued on Tuesday. The stock added +2.0%, outperforming the broader averages. Shares broke through potential technical resistance at the 10-dma and 300-dma. TRMB also traded above the $27.00 level to hit our stop loss.

closed Position: short TRMB stock @ $25.90 exit $27.01 (-4.3%)

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

AUG $25 PUT (TRMB1317T25) entry $1.10 exit $0.60 (-45.4%)

chart: