Editor's Note:
The market rally looks fragile today with stocks in a widespread decline. There are multiple events this week that could move the market.

GPS and LTD were triggered. SFUN was stopped out with a gain.
New exit targets for FRGI and ISIS.


Current Portfolio:


BULLISH Play Updates

Best Buy Co. - BBY - close: 28.86 change: -0.79

Stop Loss: 29.25
Target(s): 33.50
Current Gain/Loss: unopened

Entry on July -- at $--.--
Listed on July 25, 2013
Time Frame: exit PRIOR to earnings in late August
Average Daily Volume = 4.9 million
New Positions: Yes, see below

Comments:
07/29/13: BBY is still retreating from last week's test of the $30.00 mark. Shares should find support at the simple 30-dma near $28.65 soon. There is no change from our Thursday night new-play comments.

Earlier Comments:
I am suggesting a trigger to open bullish positions at $30.40. If triggered we will target a move to $33.50 but we do not want to hold over the late August earnings report.

Trigger @ 30.40

Suggested Position: buy the stock @ (trigger)

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

buy the Sep $32 call (BBY1321i32)



The Gap, Inc. - GPS - close: 45.85 change: +0.37

Stop Loss: 44.40
Target(s): 49.50
Current Gain/Loss: + 0.2%

Entry on July 29 at $45.75
Listed on July 27, 2013
Time Frame: exit PRIOR to earnings in late August
Average Daily Volume = 2.5 million
New Positions: see below

Comments:
07/29/13: GPS displayed relative strength on Monday. Shares outperformed with a +0.8% gain and a new multi-year high. Our trigger to launch bullish positions was hit at $45.75.

We will plan to exit prior to GPS' earnings report in late August.

current Position: Long GPS stock @ $45.75

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

Long Sep $45 call (GPS1321i45) entry $2.27



L Brands, Inc. - LTD - close: 55.41 change: +1.73

Stop Loss: 52.45
Target(s): 58.50
Current Gain/Loss: + 2.9%

Entry on July 29 at $53.85
Listed on July 27, 2013
Time Frame: exit PRIOR to the earnings report on Aug. 21st
Average Daily Volume = 1.7 million
New Positions: see below

Comments:
07/29/13: LTD also displayed relative strength on Monday with a +3.2% surge to new highs. Our trigger to open small bullish positions was hit at $53.85. Tonight we will raise the stop loss to $52.90.

FYI: The Point & Figure chart for LTD is bullish with a $68.00 target.

*small positions*

current Position: Long LTD stock @ $53.85

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

Long Sep $55 call (LTD1321i55) entry $1.45



Rackspace Hosting - RAX - close: 46.72 change: +0.28

Stop Loss: 43.35
Target(s): 49.00
Current Gain/Loss: +3.0%

Entry on July 25 at $45.35
Listed on July 24, 2013
Time Frame: exit PRIOR to earnings on Aug. 8th
Average Daily Volume = 1.9 million
New Positions: see below

Comments:
07/29/13: RAX spent most of the day churning sideways under the $47.00 level. Shares did manage to post a +0.6% gain, which is enough to outperform the broader markets. Traders may want to wait for a dip before considering new positions. Keep in mind our time frame and plan to exit prior to earnings on August 8th.

*small positions*

current Position: Long RAX stock @ $45.35

07/27/13 new stop loss @ 43.85



BEARISH Play Updates

Fiesta Restaurant Group - FRGI - close: 30.87 change: -1.59

Stop Loss: 31.55
Target(s): 27.25
Current Gain/Loss: + 6.2%

Entry on July 23 at $32.90
Listed on July 20, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 213 thousand
New Positions: see below

Comments:
07/29/13: FRGI's sell-off is accelerating and shares lost -4.89% today. Previously we have been targeting a drop to $30.15. Today's low was $30.54. It is possible that the 100-dma and the $30.00 level will be support for this stock. However, if the market's major indices turn lower it could push FRGI past support. We are adjusting our plan to use a more aggressive exit strategy. If the $30 level fails the next support level should be $27.00. Tonight we will move our exit target so $27.50 but we're also adjusting our stop loss down to $31.55 just in case the stock does bounce.

I am not suggesting new positions at this time.

current Position: short FRGI stock @ $32.90

07/29/13 adjust the exit strategy: target a drop to $27.25
new stop loss @ 31.55
07/27/13 do not be surprised to see a bounce toward the 10-dma



Isis Pharmaceuticals - ISIS - close: 27.79 change: -1.18

Stop Loss: 29.51
Target(s): 26.00
Current Gain/Loss: + 2.7%

Entry on July 24 at $28.57
Listed on July 23, 2013
Time Frame: exit PRIOR to earnings in early August
Average Daily Volume = 1.7 million
New Positions: see below

Comments:
07/29/13: Good news! There has been no follow through on the bounce in ISIS. Shares lost -4.0% today and closed below their 30-dma and the $28 level. Please note that I am adjusting our target to $26.00 to account for the rising 50-dma.

Earlier Comments:
I am suggesting we keep our position size small. The latest data did list short interest at 16% of the 102.8 million share float.

*small positions*

current Position: short ISIS stock @ $28.57

07/29/13 adjust exit target to $26.00
07/27/13 new stop loss @ 29.51
07/25/13 warning! Today's move looks like a one-day bullish reversal pattern
07/24/13 triggered on gap down at $28.57. Trigger was $28.70



CLOSED BULLISH PLAYS

SouFun Holdings - SFUN - close: 34.18 change: -2.11

Stop Loss: 33.90
Target(s): 37.50
Current Gain/Loss: + 4.5%

Entry on July 26 at $32.45
Listed on July 25, 2013
Time Frame: exit PRIOR to earnings in mid August
Average Daily Volume = 354 thousand
New Positions: see below

Comments:
07/29/13: The rally in SFUN didn't last very long. After Friday's +12.8% gain the stock gave back half of Friday's move. Yet the closing numbers today do not tell the whole story. SFUN retraced almost the entire move on Friday, opening at $35.25, plunging to $32.27, and then bouncing almost two dollars. Our new stop loss was hit at $33.90.

*small positions*

closed Position: long SFUN stock @ $32.45 exit $33.90 (+4.5%)

07/29/13 stopped out
07/26/13 new stop loss @ 33.90
07/26/13 trade opened on gap higher at $32.45. Trigger was $32.35

chart: