Editor's Note:
The stock market managed a relatively widespread advance on Monday.

MET, PPO, and SCHW trades were triggered on Monday.
FCX was stopped out.


Current Portfolio:


BULLISH Play Updates

American Realty Capital Prop. - ARCP - close: 14.80 change: -0.46

Stop Loss: 13.85
Target(s): 16.00
Current Gain/Loss: + 1.4%

Entry on June 24 at $14.60
Listed on June 22, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 4.8 million
New Positions: see below

Comments:
07/01/13: Ouch! ARCP underperformed the stock market with a -3.0% decline. Today's move looks like a reversal at its simple 100-dma. I am not suggesting new positions at this time. There could be some support near $14.50 but the 200-dma near $14.00 is probably stronger support.

*small positions*

current Position: Long ARCP stock @ $14.60



Community Health Systems - CYH - close: 47.03 change: +0.15

Stop Loss: 44.85
Target(s): 51.00
Current Gain/Loss: - 0.0%

Entry on June 26 at $47.05
Listed on June 25, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.2 million
New Positions: see below

Comments:
07/01/13: Monday's session was a quiet one for CYH. Shares eked out a small gain. If the market declines I would expect CYH to dip toward $46.00. If the $46 level fails then CYH will probably hits its 100-dma and stop us out in the process.

current Position: Long CYH stock @ $47.05



Engility Holdings - EGL - close: 28.93 change: +0.51

Stop Loss: 27.45
Target(s): 32.50
Current Gain/Loss: + 2.4%

Entry on June 25 at $28.25
Listed on June 24, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 96 thousand
New Positions: see below

Comments:
07/01/13: EGL displayed relative strength on Monday with a +1.79% gain. If you look at the intraday chart you'll notice shares spent much of the day hovering below the $29.00 level.

Earlier Comments:
A breakout could spark some short covering. The most recent data listed short interest a 10% of the small 12.7 million share float.

current Position: Long EGL stock @ $28.25

06/29/13 new stop loss @ 27.45



MetLife, Inc. - MET - close: 46.54 change: +0.78

Stop Loss: 44.70
Target(s): 50.00
Current Gain/Loss: + 0.6%

Entry on July 01 at $46.25
Listed on June 27, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 8.7 million
New Positions: see below

Comments:
07/01/13: The rally in MET continues and shares broke out to a new 18-month high. Our trigger to launch small bullish positions was hit at $46.25.

*small positions*

current Position: Long MET stock @ $46.25



Nexstar Broadcasting - NXST - close: 34.49 change: -0.97

Stop Loss: 33.49
Target(s): 39.50
Current Gain/Loss: - 2.9%

Entry on June 27 at $35.53
Listed on June 26, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 615 thousand
New Positions: see below

Comments:
07/01/13: Hmm... I could not find any headlines to explain the relative weakness in NXST today (-2.7%). Shares dipped to new support at prior resistance near $34.00 that just happened to coincide with technical support at its 10-dma. Currently our stop loss is at $33.49. More conservative traders may want to adjust their stop closer to today's low (33.95).

It is worth noting that the mid-afternoon high was $35.00. Readers could use a rally back above $35.00 as a new entry point for bullish positions.

*small positions*

current Position: Long NXST stock @ $35.53

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

Long Aug $40 call (NXST1317H40) entry $1.14

06/27/13 triggered on gap higher at $35.53 (trigger was 35.50)



Polypore Intl. Inc. - PPO - close: 41.38 change: +1.08

Stop Loss: 39.30
Target(s): 44.75
Current Gain/Loss: +1.5%

Entry on July 01 at $40.75
Listed on June 29, 2013
Time Frame: 3 to four weeks (unless you're trading the options)
Average Daily Volume = 3.3 million
New Positions: see below

Comments:
07/01/13: Thankfully we did not have to wait very long for PPO to hit our entry point at $44.75. The stock opened higher this morning and broke through the remainder of its key moving averages. Shares managed to outperform the broader market with a +2.6% gain.

Earlier Comments:
If shares build on Friday's rally PPO could see another short squeeze. The most recent data listed short interest at 39% of the small 42.7 million share float.

*small positions*

current Position: Long PPO stock @ $40.75

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

Long Jul $40 call (PPO1320G40) entry $1.75*

*07/01/13 option entry price is an estimate since the option did not trade at the time our play was opened.



The Charles Schwab Corp. - SCHW - close: 21.38 change: +0.15

Stop Loss: 20.65
Target(s): 24.50
Current Gain/Loss: - 0.8%

Entry on July 01 at $21.55
Listed on June 29, 2013
Time Frame: Exit prior to earnings in 2 to 3 weeks
Average Daily Volume = 12.2 million
New Positions: see below

Comments:
07/01/13: SCHW continued to rally and hit a new 52-week high on Monday. Our trigger to launch small bullish positions was hit at $21.55. Shares did pared their gains from the intraday high of $21.69. Nimble traders may want to consider trying to buy a dip near $21.00.

Earlier Comments:
I would like to aim for $24.50 on this stock but we may not have enough time. The company could report earnings in the next two or three weeks and we'll plan to exit prior to the announcement. I am suggesting investors keep their position size small to limit risk.

*small positions*

current Position: Long SCHW stock @ $21.55



BEARISH Play Updates

Cliffs Natural Res. - CLF - close: 16.42 change: +0.17

Stop Loss: 16.51
Target(s): 12.15
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 26, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 11.5 million
New Positions: Yes, see below

Comments:
07/01/13: CLF is still trying to produce an oversold bounce but it's not making it very far. The stock could find new short-term resistance at its 10-dma (16.85) or the 17.00-17.25 area. Currently there is no change from my earlier comments.

Earlier Comments:
If the $15.50 level breaks the next stop could be its 2009 lows near $12.00 (actually $11.84). I am suggesting small bearish positions if CLF hits $15.40 or lower. If triggered our target is $12.15. I am suggesting small positions because CLF is arguably oversold here. Instead of shorting CLF you may want to try and limit your risk by using put options (your risk being the cost of the option).

Trigger @ 15.40 *small positions*

Suggested Position: short CLF stock @ (trigger)

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

Buy the Aug $15 PUT (CLF1317T15)



Energy XXI Ltd. - EXXI - close: 22.60 change: +0.43

Stop Loss: 23.55
Target(s): 20.25
Current Gain/Loss: + 3.4%

Entry on June 27 at $23.40
Listed on June 25, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.0 million
New Positions: see below

Comments:
07/01/13: After a sharp, two-day sell-off EXXI managed a +1.9% oversold bounce. I am not suggesting new positions at this time.

Earlier Comments:
We are aiming for $20.25 as our exit target but the April 2013 lows could be support. More conservative traders may want to take profits early in the $22.00-21.50 area.

current Position: short EXXI stock @ $23.40

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

Long Jul $24 PUT (EXXI1320S24) entry $1.20

06/29/13 new stop loss @ 23.55



CLOSED BEARISH PLAYS

Freeport-McMoRan - FCX - close: 28.27 change: +0.66

Stop Loss: 28.75
Target(s): 25.50
Current Gain/Loss: - 0.7%

Entry on June 20 at $28.54
Listed on June 15, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 20 million
New Positions: see below

Comments:
07/01/13: Gold and copper continued to bounce on Monday. Combine that with a bullish open for the stock market and shares of FCX gapped open higher. Shares opened at $28.62 and hit an intraday high of $28.75 before paring its gains. It's probably no coincidence that our stop loss just happened to be $28.75.

The long-term trend for FCX is still down. Look for resistance near $30.00.

closed Position: short FCX stock @ $28.54 exit $28.75 (-0.7%)

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

Aug $27 PUT (FCX1317T27) entry $0.85 exit $0.88 (+3.5%)

07/01/13 stopped out
06/26/13 new stop loss @ 28.75
06/24/13 new stop loss @ 29.05
06/22/13 new stop loss @ 29.51
06/20/13 trade opened on gap down at $28.54. Trigger was $29.00

chart: