Editor's Note:
Many of the market's stronger performers continued to see profit taking today. Meanwhile many of our bearish candidates produced an oversold bounce.

AVGO, STX, UBNT and WX were stopped out.


Current Portfolio:


BULLISH Play Updates

Krispy Kreme Doughnuts, Inc. - KKD - close: 22.95 change: -0.27

Stop Loss: 21.40
Target(s): (sold half @ 23.25) exit the 2nd half at $24.75
Current Gain/Loss: (+14.5%) 2nd half = +13.1%

Entry on October 03 at $20.30
Listed on October 02, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.25 million
New Positions: see below

Comments:
10/09/13: KKD turned lower for the first twenty minutes of trading today but traders bought the dip and KKD pared its losses. I am not suggesting new positions at this time. More conservative traders may want to use a higher stop loss.

Earlier Comments:
I am suggesting we sell half of our position at $23.25. We want to adjust our final exit target to $24.75.

NOTE: KKD is prone to some intraday spikes. I am suggesting small positions to limit our risk.

*small positions*

current Position: Long KKD stock @ $20.30

10/08/13 new stop loss @ 21.40
10/08/13 1st target hit at $23.25 (sell half) +14.5%
10/05/13 Strategy Update: new stop loss @ 20.45
Plus, we want to sell half of our position at $23.25 and then exit the rest of our position at $24.75.



PRD Energy - PREGF - close: 1.04 change: -0.06

Stop Loss: 0.93
Target(s): TBD
Current Gain/Loss: - 0.5%

Entry on September 27 at $1.05
Listed on September 26, 2013
Time Frame: 6 to 9 weeks
Average Daily Volume = 130 thousand
New Positions: see below

Comments:
10/09/13: Profit taking in PREGF continued and shares closed a penny below their 10-dma (currently at $1.05). A bounce from here or from the $1.00 level could be used as a new bullish entry point.

*Higher Risk, Speculative Trade*

current Position: Long PREGF stock @ $1.05

10/05/13 new stop loss @ 0.93



BEARISH Play Updates

BJ's Restaurant - BJRI - close: 28.97 change: +0.17

Stop Loss: 29.55
Target(s): 25.00
Current Gain/Loss: - 4.4%

Entry on October 07 at $27.75
Listed on October 05, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 315 thousand
New Positions: see below

Comments:
10/09/13: BJRI is still not cooperating. Shares displayed relative strength with a +0.59% gain but the rally did stall under last week's highs. More conservative investors may want to abandon ship. I am not suggesting new positions.

Earlier Comments:
I am suggesting small positions because BJRI does have above average short interest. The most recent data listed short interest at 17% of the small 23.2 million share float. I am not listing the options but you could buy put options to limit your risk in a bearish trade on BJRI.

current Position: short BJRI stock @ $27.75



Raymond James Financial - RJF - close: 40.70 change: +0.66

Stop Loss: 41.15
Target(s): 36.25
Current Gain/Loss: unopened

Entry on October -- at $--.--
Listed on October 08, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 931 thousand
New Positions: Yes, see below

Comments:
10/09/13: RJF also displayed some relative strength. Today's +1.6% bounce appears to have been fueled by an analyst upgrade this morning (to a "neutral"). We are on the sidelines waiting for a breakdown.

Earlier Comments:
I am suggesting a trigger to launch small bearish positions at $39.75. If triggered our target is $36.25. We do not want to hold over RJF's earnings expected in late October (no confirmed date yet). More conservative traders may want to wait for RJF to trade below its May 3rd intraday low of $39.31 before initiating new bearish positions.

Trigger @ 39.75 *small positions*

Suggested Position: short RJF stock @ (trigger)

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

Buy the NOV $40 PUT (RJF1316w40)



Urban Outfitters - URBN - close: 35.70 change: +0.64

Stop Loss: 36.75
Target(s): 34.50
Current Gain/Loss: + 4.2%

Entry on September 24 at $37.25
Listed on September 19, 2013
Time Frame: 3 to 4 weeks
Average Daily Volume = 2.8 million
New Positions: see below

Comments:
10/09/13: URBN produced an oversold bounce today (+1.8%). Today's 64 cent gain completely erased yesterday's losses. It looks like shares struggled with the $36.00 level this afternoon. More conservative traders might want to tighten their stop loss. I am not suggesting new positions at this time.

It was our plan to exit our October $38 puts at the opening bell this morning.

Earlier Comments:
Our target is the November 2012 lows near $34.50. FYI: The Point & Figure chart has produced a sell signal and is forecasting at $31.00 target.

current Position: short URBN stock @ $37.25

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

Long Oct $38 PUT (URBN1319v38) entry $1.45 exit $2.85* (+96.5%)

10/09/13 planned exit to close our Oct. 38 puts at the open.
*option exit price is an estimate since the option did not trade at the time our play was closed.
10/08/13 new stop loss @ 36.75
prepare to exit the October $38 puts at the open.
10/07/13 new stop loss @ 37.25
10/05/13 new stop loss @ 37.75
09/28/13 new stop loss @ 38.25



ValueClick, Inc. - VCLK - close: 19.31 change: +0.31

Stop Loss: 20.51
Target(s): 18.05
Current Gain/Loss: + 2.7%

Entry on October 08 at $19.85
Listed on October 07, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.2 million
New Positions: see below

Comments:
10/09/13: VCLK also produced an oversold bounce following yesterday's sell-off. Shares gained +1.6% today. More conservative traders might want to tighten their stops closer to $20.00.

Trigger @ 19.85

Suggested Position: short VCLK stock @ (trigger)

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

Long NOV $20 PUT (VCLK1316w20) entry $1.45

10/08/13 new stop loss @ 20.51



CLOSED BULLISH PLAYS

Avago Technologies - AVGO - close: 42.20 change: -0.40

Stop Loss: 41.90
Target(s): 44.50
Current Gain/Loss: + 4.1%

Entry on September 17 at $40.25
Listed on September 10, 2013
Time Frame: 9 to 12 weeks
Average Daily Volume = 2.1 million
New Positions: see below

Comments:
10/09/13: AVGO lost 40 cents for a second day in a row. Unfortunately, the intraday dip to its 20-dma was low enough to hit our stop loss at $41.90.

Our play is closed but I would keep AVGO on your watch list. A dip toward $40.00, which should be strong support, could be a new bullish entry point.

closed Position: long AVGO stock @ $40.25 exit $41.90 (+4.1%)

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

2014 Jan $40 call (AVGO1418a40) entry $2.80 exit 3.65*(+30.3%)

10/09/13 stopped out
*option exit price is an estimate since the option did not trade at the time our play was closed.
10/05/13 new stop loss @ 41.90
10/01/13 new stop loss @ 41.30
09/28/13 new stop loss @ 40.85
09/24/13 new stop loss @ 39.85
09/21/13 new stop loss @ 39.40

chart:



Seagate Technology - STX - close: 44.88 change: +0.09

Stop Loss: 44.25
Target(s): 47.00
Current Gain/Loss: +4.7%

Entry on September 25 at $42.25
Listed on September 24, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 3.5 million
New Positions: see below

Comments:
10/09/13: STX followed the market lower this morning and hit our new stop loss at $44.25 before bouncing back into the green. We had already decided last night to exit our 2014 calls at the opening bell this morning.

closed Position: Long STX stock @ $42.25 exit $44.25 (+4.7%)

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

(exit Wednesday morning, Oct. 9th, at the open)
2014 Jan $45 call (STX1418a45) entry $1.71 exit $3.05 (+78.3%)

10/09/13 stopped out
*option exit price is an estimate since the option did not trade at the time our play was closed.
10/08/13 new stop loss @ 44.25, and exit the 2014 calls at the opening bell tomorrow.
10/02/13 new stop loss @ 43.75
10/01/13 new stop loss @ 41.95
09/30/13 new stop loss @ 41.40
09/26/13 new stop loss @ 40.90

chart:



Ubiquiti Networks - UBNT - close: 35.92 change: +1.43

Stop Loss: 33.90
Target(s): 39.75
Current Gain/Loss: - 5.2%

Entry on October 04 at $35.75
Listed on October 01, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 853 thousand
New Positions: see below

Comments:
10/09/13: UBNT managed an impressive bounce with a +4.1% gain by the closing bell today. Unfortunately the market weakness this morning pushed UBNT to $33.67, near its 30-dma, before rebounding. Our stop loss was hit at $33.90 along the way.

Earlier Comments:
Keep in mind that this is a more aggressive, higher-risk trade and I am suggesting investors keep their position size small.

*small positions*

closed Position: long UBNT stock @ $35.75 exit $33.90 (-5.2%)

10/09/13 stopped out
10/08/13 new stop loss @ 33.90

chart:



WuXi Pharma Tech - WX - close: 26.52 change: -1.49

Stop Loss: 26.95
Target(s): 31.50
Current Gain/Loss: - 4.8%

Entry on October 04 at $28.30
Listed on October 03, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 289 thousand
New Positions: see below

Comments:
10/09/13: Ouch! It's been a painful week for shares of WX. The profit taking that began yesterday picked up speed. Today's -5.3% decline puts WX's loss for the week at -8.1%. Our stop loss was hit at $26.95 after it broke down below short-term support near $27.00.

NOTE: We wanted to keep our position size small to limit our risk.

*small positions*

closed Position: Long WX stock @ $28.30 exit $26.95 (-4.8%)

chart: