Editor's Note:
The U.S. market managed to post gains again on Monday but most of that was on the opening spike higher.

STX And WFM were both triggered today.


Current Portfolio:


BULLISH Play Updates

Engility Holdings - EGL - close: 28.85 change: -0.11

Stop Loss: 27.85
Target(s): 32.50
Current Gain/Loss: + 2.1%

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:
07/08/13: Hmm... EGL tagged a new high (shares hit $29.47) and then reversed to close down on Monday. This could be a short-term top. At the very least I would expect EGL to dip toward its simple 10-dma near $28.55 and possibly dip to $28.00. I am not suggesting new positions.

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

07/06/13 new stop loss @ 27.85
06/29/13 new stop loss @ 27.45



iShares Japan Index - EWJ - close: 11.52 change: -0.08

Stop Loss: 10.98
Target(s): 12.40
Current Gain/Loss: - 0.3%

Entry on July 02 at $11.55
Listed on July 01, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 66 million
New Positions: see below

Comments:
07/08/13: The Japanese NIKKEI index lost -1.4% today. Yet the EWJ only fell -0.68%. Traders bought the opening gap down and the EWJ managed to close back above the $11.50 level. I would still consider new positions now at current levels.

current Position: Long EWJ stock @ $11.55

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

Long 2014 Jan $12 call (EWJ1418a12) entry $0.58



Fiesta Restaurant Group. - FRGI - close: 35.00 change: -0.00

Stop Loss: 33.80
Target(s): 39.50
Current Gain/Loss: -1.2%

Entry on July 05 at $35.42
Listed on July 02, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 245 thousand
New Positions: Yes, see below

Comments:
07/08/13: Someone appears to be sitting on shares of FRGI at the $35.00 level. When they finally run out of stock for sale we are expecting FRGI to rally. Shares closed unchanged on Monday's session. Today's high was $35.35. Readers may want to use a trigger at $35.50 to initiate new positions.

current Position: Long FRGI stock @ $35.42

07/05/13 trade opened on gap higher at $35.42. Trigger was $35.25.



MetLife, Inc. - MET - close: 48.05 change: +0.53

Stop Loss: 45.40
Target(s): 50.00
Current Gain/Loss: + 3.9%

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:
07/08/13: MET continues to show relative strength and outperformed the market with a +1.1% gain and anew 18-month high. I am not suggesting new positions at current levels.

*small positions*

current Position: Long MET stock @ $46.25

07/02/13 new stop loss @ 45.40



Nexstar Broadcasting - NXST - close: 38.31 change: +1.99

Stop Loss: 34.85
Target(s): 39.50
Current Gain/Loss: + 7.8%

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:
07/08/13: The rally in NXST accelerated today. Shares surged +7.9% intraday and hit $39.22 before paring its gains to settle with a +5.4% gain. Our exit target is $39.50 but readers may want to consider locking in gains now. I am adjusting our stop loss higher to $34.85.

*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

07/08/13 new stop loss @ 34.85
07/06/13 new stop loss @ 33.85
06/27/13 triggered on gap higher at $35.53 (trigger was 35.50)



Polypore Intl. Inc. - PPO - close: 41.07 change: -0.49

Stop Loss: 39.30
Target(s): 44.75
Current Gain/Loss: + 0.8%

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:
07/08/13: Monday's performance in PPO was disappointing. Not only did shares fail at the $42.00 level for the second time in four trading session but today's move also produced a bearish engulfing candlestick reversal pattern. I am not suggesting new positions at this time.

Earlier Comments:
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: 22.19 change: +0.18

Stop Loss: 20.65
Target(s): 24.50
Current Gain/Loss: + 3.0%

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:
07/08/13: SCHW rallied to another new 52-week high today. Yet most of today's gains were all on the gap open higher. I am not suggesting new positions at this time.

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



Seagate Tech. - STX - close: 45.45 change: -0.27

Stop Loss: 44.40
Target(s): 49.85
Current Gain/Loss: - 1.3%

Entry on July 08 at $46.05
Listed on July 06, 2013
Time Frame: exit PRIOR to earnings on July 24th
Average Daily Volume = 3.5 million
New Positions: see below

Comments:
07/08/13: STX tagged a new high above $46.00 and hit our trigger to launch positions at $46.05 early this morning. Unfortunately the stock reversed from its morning highs and closed negative on the session. On a very short-term basis today is actually a bearish reversal. Readers may want to wait for STX to dip to or bounce from the $45.00 mark before initiating new positions now.

current Position: Long stock @ $46.05

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

Long Aug $47 call (STX1317H47) entry $1.80



Whole Foods Market - WFM - close: 53.85 change: +0.62

Stop Loss: 52.25
Target(s): 58.50
Current Gain/Loss: + 0.2%

Entry on July 08 at $53.75
Listed on July 06, 2013
Time Frame: exit PRIOR to earnings on July 31st.
Average Daily Volume = 2.2 million
New Positions: see below

Comments:
07/08/13: Our new play on WFM has been triggered. Shares appear to be breaking out from its trading range. The stock hit our suggested entry point at $53.75 today.

Our target is $58.50. However, we will plan to exit prior to the earnings report on July 31st. FYI: The Point & Figure chart for WFM is bullish with a $78.00 target.

current Position: Long WFM stock @ $53.75

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

Long Aug $55 call (WFM1317H55) entry $1.60



BEARISH Play Updates

Cliffs Natural Res. - CLF - close: 15.96 change: +0.28

Stop Loss: 16.31
Target(s): 12.15
Current Gain/Loss: unopened

Entry on June -- at $--.--
Listed on June 26, 2013
Time Frame: exit PRIOR to earnings in late July
Average Daily Volume = 11.5 million
New Positions: Yes, see below

Comments:
07/08/13: CLF bounced again today (+1.7%) but the rally failed near short-term resistance at its simple 10-dma.

Currently we want to wait for shares to hit new lows. I am suggesting a trigger to open bearish positions at $15.30.

Earlier Comments:
The 2009 lows near $12.00 (actually $11.84) could be support if CLF continues to break down. I am suggesting small bearish positions if CLF hits our entry trigger. 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 @ 15.30 *small positions*

Suggested Position: short CLF stock @ (trigger)

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

Buy the Aug $15 PUT (CLF1317T15)

07/06/13 CLF came close ($15.41) but did not hit our suggested entry trigger at $15.40. Tonight we are adjusting the entry trigger down to $15.30 and the stop loss to $16.31.