Editor's Note:
Shares of Halliburton (HAL) hit our bullish target today.


Current Portfolio:


BULLISH Play Updates

Alliance Healthcare Services - AIQ - close: 25.10 change: +0.04

Stop Loss: 23.45
Target(s): 29.50
Current Gain/Loss: -2.3%

Entry on September 04 at $25.70
Listed on September 03, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 120 thousand
New Positions: see below

Comments:
09/05/13: AIQ continues to churn sideways after yesterday's spike to a new high. If this stock dips we can watch for short-term support near the 10-dma currently at $24.50.

*small positions*

current Position: Long AIQ stock @ $25.70

09/04/13 adjust stop loss down to $23.45



Constellation Brands Inc. - STZ - close: 56.52 change: +0.51

Stop Loss: 55.25
Target(s): 60.00
Current Gain/Loss: +2.1%

Entry on August 23 at $55.35
Listed on August 22, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.3 million
New Positions: see below

Comments:
09/05/13: The rally in STZ continues and shares have closed above resistance near $56.00 to hit new all-time highs. We are adjusting our stop loss higher to $55.25.

Our short-term target is $60.00 but if you're patient you might want to aim higher.

current Position: Long STZ stock @ $55.35

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

Long Oct $60 call (STZ1319j60) entry $0.70

09/05/13 new stop loss @ 55.25
08/24/13 new stop loss @ 53.75



BEARISH Play Updates

Community Health Systems - CYH - close: 39.28 change: +0.41

Stop Loss: 40.65
Target(s): 35.25
Current Gain/Loss: -0.7%

Entry on September 05 at $39.00
Listed on September 04, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.3 million
New Positions: see below

Comments:
09/05/13: Thursday was a relatively quiet day for CYH. Shares opened at $39.00 and slowly faded higher. The overall trend remains down and we could still consider new bearish positions at current levels.

current Position: short CYH stock @ $39.00

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

Long Oct $37 PUT (CYH1319v37) entry $0.98



Darden Restaurants - DRI - close: 46.86 change: +0.09

Stop Loss: 47.75
Target(s): 44.25
Current Gain/Loss: +0.6%

Entry on August 26 at $47.16
Listed on August 24, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.2 million
New Positions: see below

Comments:
09/05/13: Hmm... DRI produced a follow through bounce on top of yesterday's rebound. Shares appear to be breaking out past their 10-dma but the early gains this morning faded somewhat. We are going to try and reduce our risk by adjusting the stop loss down to $47.75. You may want to tighten your stop even further. I am not suggesting new positions at this time.

current Position: short DRI stock @ $47.16

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

Long Oct $45 PUT (DRI1319v45) entry $0.90

09/05/13 new stop loss at $47.75



Mellanox Technologies - MLNX - close: 38.63 change: +0.07

Stop Loss: 40.15
Target(s): 35.25
Current Gain/Loss: + 2.2%

Entry on August 21 at $39.50
Listed on August 20, 2013
Time Frame: 3 to 6 weeks
Average Daily Volume = 713 thousand
New Positions: see below

Comments:
09/05/13: MLNX continues to drift sideways with short-term technical resistance at its 10-dma directly overhead.

I am not suggesting new positions.

Earlier Comments:
I would keep position small because MLNX does have above average short interest at 15% of the 37.5 million share float. FYI: The Point & Figure chart for MLNX is bearish with a $27.00 target.

current Position: short MLNX stock @ $39.50

09/04/13 new stop loss @ 40.15
08/22/13 warning! MLNX has produced a one-day bullish reversal pattern



Meritage Homes Corp. - MTH - close: 38.92 change: -0.44

Stop Loss: 40.25
Target(s): 35.25
Current Gain/Loss: unopened

Entry on August -- at $--.--
Listed on August 27, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 691 thousand
New Positions: Yes, see below

Comments:
09/05/13: Homebuilders underperformed on Thursday. MTH sank to a new nine-month low midday before trimming its losses. The intraday low was $38.42. Our suggested entry point to launch bearish positions is $38.40. MTH might hit that trigger tomorrow.

Earlier Comments:
We are suggesting a trigger to launch bearish positions at $38.40. If triggered our multi-week target is $35.25. FYI: The Point & Figure chart for MTH is bearish with a $31.00 target.

Trigger @ 38.40

Suggested Position: short MTH stock @ (trigger)

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

Buy the Oct $35 PUT (MTH1319v35)



Rentech Nitrogen Partners - RNF - close: 24.65 change: -0.10

Stop Loss: 25.75
Target(s): 21.00
Current Gain/Loss: - 0.2%

Entry on September 04 at $24.60
Listed on September 03, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 167 thousand
New Positions: see below

Comments:
09/05/13: RNF shares did not move much today but they did underperform the broader market.

I would still consider new bearish positions now at current levels or you could wait for a new relative low (below $24.36).

Our target is $21.00. Investors may want to aim lower since the Point & Figure chart for RNF is bearish with a $17.00 target.

current Position: short RNF stock @ $24.60

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

Long Oct $25 PUT (RNF1319v25) entry $1.60



CLOSED BULLISH PLAYS

Halliburton Company - HAL - close: 49.77 change: +0.69

Stop Loss: 46.99
Target(s): 49.85
Current Gain/Loss: + 5.8%

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: see below

Comments:
09/05/13: Target achieved. HAL managed to trade above round-number resistance at $50.00 before paring its gains. Our exit target was hit at $49.85.

closed Position: long HAL stock @ $47.10 exit $49.85 (+5.8%)

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

Oct $50 call (HAL1319j50) entry $0.69 exit $1.63 (+136.2%)

09/05/13 target hit
08/24/13 new stop loss @ 46.99
08/22/13 new stop loss @ 46.40

chart: