Editor's Note:
After a multi-day decline for the major indices we saw stocks rebound on Tuesday.

CTRP was stopped out. EA was triggered. We want to exit SAIA tomorrow.


Current Portfolio:


BULLISH Play Updates

AudioCodes Ltd. - AUDC - close: 5.99 change: +0.15

Stop Loss: 5.45
Target(s): 6.35
Current Gain/Loss: + 5.6%

Entry on August 16 at $ 5.67
Listed on August 15, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 229 thousand
New Positions: see below

Comments:
08/20/13: The relative strength in AUDC continued on Tuesday with a +2.5% gain. Shares are testing round-number resistance at $6.00 and hit an intraday high of $6.10. Tonight we're adjusting our exit target from $6.25 to $6.35. More aggressive traders may just want to let the stock run and see how far it will go while adjusting your stop losses higher. Speaking of stops I am moving our stop to $5.45.
FYI: The Point & Figure chart for AUDC is bullish with a $10 target.

current Position: Long AUDC stock @ $5.67

08/20/13 new stop loss @ 5.45, adjust target to $6.35
08/19/13 new stop loss @ 5.35
08/16/13 trade opened on gap higher at $5.67. Trigger was $5.65



Electronic Arts - EA - close: 26.75 change: +0.18

Stop Loss: 26.25
Target(s): 29.75
Current Gain/Loss: - 1.3%

Entry on August 20 at $27.10
Listed on August 17, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 4.2 million
New Positions: see below

Comments:
08/20/13: Warning! Shares of EA hit new multi-year highs today. Unfortunately today's session actually looks bearish with EA giving back nearly all of its gains. The breakout past significant resistance at $27.00 saw EA rally toward $28.00. Then midday the rally reversed and EA closed back below resistance at $27.00 again. The move looks like a bull trap pattern. Our suggested entry point to launch positions was hit at $27.10. I am not suggesting new trades with EA below $27.00.

current Position: long EA stock @ $27.10

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

Long Sep $28 call (EA1321i28) $0.55



Halliburton Company - HAL - close: 47.35 change: +0.70

Stop Loss: 45.80
Target(s): 49.85
Current Gain/Loss: + 0.5%

Entry on August 19 at $47.10
Listed on August 17, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 9.0 million
New Positions: Yes, see below

Comments:
08/20/13: Good news! HAL displayed relative strength today (+1.5%) and closed above short-term resistance near the $47.00 level. If you were looking for another entry point then this is it.

Earlier Comments:
Our target is $49.85. If you have a longer time frame you could aim higher.

current Position: long HAL stock @ $47.10

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

Long Oct $50 call (HAL1319j50) entry $0.69



Ocwen Financial Corp - OCN - close: 50.96 change: +0.77

Stop Loss: 49.75
Target(s): 55.00
Current Gain/Loss: + 0.4%

Entry on August 08 at $50.76
Listed on August 07, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 1.8 million
New Positions: see below

Comments:
08/20/13: OCN outperformed the market with a +1.5% gain today. Yet I wouldn't get too excited. Today's performance created an "inside day" with OCN trading inside yesterday's range. This could indicate indecision on the part of traders. Shares remain inside the $50-52 trading range as well.

Earlier Comments:
Our multi-week target is $55.00. More aggressive traders could aim higher. The Point & Figure chart for OCN is bullish with a $63 target.

current Position: Long OCN stock @ $50.76

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

Long Sep $50 call (OCN1321i50) entry $2.70

08/19/13 new stop loss @ 49.75
08/08/13 traded on gap higher at $50.76. Trigger was $50.70



BEARISH Play Updates

CVR Energy, Inc. - CVI - close: 42.07 change: +0.98

Stop Loss: 42.25
Target(s): 35.25
Current Gain/Loss: unopened

Entry on August -- at $--.--
Listed on August 19, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 579 thousand
New Positions: Yes, see below

Comments:
08/20/13: If there was a theme for Tuesday's trading it was "oversold bounce". A lot of stocks in clear down trends bounce today. CVI was one of them with the stock actually tagging a new low near $40.50 before rebounding. I don't see any changes from my earlier comments.

Earlier Comments:
If the $40.00 level breaks then we could see CVI fall toward the $35.00 area. I do consider this an aggressive, higher-risk trade given the high amount of short interest. Therefore we're suggesting small positions or you may want to limit your trade to put options so your risk is only the price of the option.

We are suggesting a trigger to open bearish positions at $39.75. If triggered our target is $35.25.

Trigger @ 39.75 *small positions*

Suggested Position: short CVI stock @ (trigger)

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

buy the Sep $40.50 PUT (CVI1321u40.5)

Note: the option has an odd strike price, mostly likely due to CVI's special dividend earlier this year.



Saia, Inc. - SAIA - close: 29.75 change: +1.37

Stop Loss: 30.25
Target(s): 25.25
Current Gain/Loss: - 5.3%

Entry on August 14 at $28.25
Listed on August 10, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 192 thousand
New Positions: see below

Comments:
08/20/13: SAIA is not cooperating. I couldn't find any headlines to explain today's display of relative strength (+4.8%). Today's move also produced a bullish move past potential resistance at $29.00 and its 10-dma and 100-dma. There is still potential resistance at the $30.00 mark but we are suggesting traders go ahead and abandon ship immediately at the opening bell tomorrow.

current Position: short SAIA stock @ $28.25

08/20/13 prepare to exit immediately at the opening bell tomorrow.



CLOSED BULLISH PLAYS

Ctrip.com Intl. Ltd. - CTRP - close: 46.25 change: +0.28

Stop Loss: 44.75
Target(s): 49.75
Current Gain/Loss: - 3.9%

Entry on August 19 at $46.55
Listed on August 17, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 3.0 million
New Positions: see below

Comments:
08/20/13: CTRP posted another gain today and actually set a new 52-week closing high. Unfortunately the stock spiked lower this morning. The weakness this morning may have been a reaction to weakness in the Chinese markets on Tuesday. Our stop loss was hit at $44.75 before the stock rebounded. The newsletter's play has been closed but I would seriously consider re-opening the trade given the bounce.

closed Position: long CTRP stock @ $46.55 exit $44.75 (-3.9%)

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

Sep $50 call (CTRP1321i50) entry $0.90 exit $0.40 (-55.5%)

08/20/13 stopped out

chart: