Editor's Note:
Shares of First Solar Inc. (FSLR) hit our bullish exit target today.

Elsewhere our CRM trade was triggered. WLT was closed this morning.

We want to exit our SGMS calls tomorrow morning and exit our VCLK trade completely at the open tomorrow.


Current Portfolio:


BULLISH Play Updates

Avago Technologies - AVGO - close: 47.05 change: +0.99

Stop Loss: 44.75
Target(s): 48.00
Current Gain/Loss: + 5.7%

Entry on October 16 at $44.50
Listed on October 14, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 2.75 million
New Positions: see below

Comments:
10/21/13: AVGO continues to race higher. The stock outperformed the market again with a +2.1% gain on Monday. The stock is starting to look overbought here. Readers may want to lock in gains. I am raising our stop loss to $44.75.

Remember our plan was to keep our position size small to limit our risk.

*small positions*

Current Position: long AVGO stock @ $44.50

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

Long 2014 Jan $45 call (AVGO1418a45) entry $2.40

10/21/13 new stop loss @ 44.75
10/19/13 new stop loss @ 43.25
10/17/13 new stop loss @ 42.90



Salesforce.com, Inc. - CRM - close: 55.10 change: +1.00

Stop Loss: 52.25
Target(s): 59.75
Current Gain/Loss: - 1.9%

Entry on October 21 at $56.15
Listed on October 19, 2013
Time Frame: 3 to 5 weeks
Average Daily Volume = 4.0 million
New Positions: see below

Comments:
10/21/13: Shares of CRM were upgraded to a strong buy this morning. That sparked a gap higher at $56.15, which was way above our suggested entry point at $54.50. Our trade has been opened. CRM pared its gains to +1.8% by the closing bell. I would not be surprised to see a dip into the $54.50-54.00 zone and nimble traders could use such a dip as a new entry point.

We will plan to exit prior to CRM's earnings report in late November. FYI: The Point & Figure chart for CRM is bullish with a long-term $77 target.

current Position: long CRM stock @ $56.15

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

Long 2014 Jan $60 call (CRM1418a60) entry $2.10

10/21/13 trade opened on gap higher at $56.15, trigger was 54.50
(gap higher due to an upgrade to strong buy)



HB Fuller Co. - FUL - close: 47.48 change: +0.38

Stop Loss: 44.95
Target(s): 49.75
Current Gain/Loss: + 2.8%

Entry on October 15 at $46.20
Listed on October 12, 2013
Time Frame: 4 to 8 weeks
Average Daily Volume = 405 thousand
New Positions: see below

Comments:
10/21/13: Good news! There was no follow through on FUL's sharp intraday pullback yesterday. The stock managed to outpace the major indices on Monday with a +0.8% gain. I am not suggesting new positions.

Earlier comments:
Our target is $49.75. More aggressive traders may want to aim higher. FUL's point & figure chart has created a spread triple-top breakout buy signal with a $62 target.

current Position: long FUL stock @ $46.20

10/17/13 new stop loss @ 44.95
10/15/13 be careful. FUL hit our trigger on a very brief intraday spike
10/14/13 adjust entry trigger to $46.20 from $46.15



Foster Wheeler - FWLT - close: 27.99 change: +0.16

Stop Loss: 26.95
Target(s): 31.00
Current Gain/Loss: unopened

Entry on October -- at $--.--
Listed on October 19, 2013
Time Frame: exit PRIOR to earnings on Nov. 7th
Average Daily Volume = 891 thousand
New Positions: Yes, see below

Comments:
10/21/13: FWLT briefly traded above short-term resistance at $28.00 today but shares did not hit our suggested entry point at $28.15. I don't see any changes from my weekend comments.

Earlier Comments:
I am suggesting a trigger to open bullish positions at $28.15. If triggered our target is $31.00 but we will plan to exit prior to FWLT's earnings report on November 7th.
FYI: The Point & Figure chart for FWLT is bullish with a $33.00 target.

Trigger @ 28.15

Suggested Position: buy FWLT stock @ (trigger)



iShares China Large Cap ETF - FXI - close: 38.18 change: +0.03

Stop Loss: 37.49
Target(s): 41.75
Current Gain/Loss: - 0.2%

Entry on October 11 at $38.25
Listed on October 10, 2013
Time Frame: 6 to 9 weeks
Average Daily Volume = 17.6 million
New Positions: see below

Comments:
10/21/13: The FXI has spent the last couple of days consolidating sideways. I remain cautiously bullish but my warning about the U.S. dollar and how its decline may negatively impact China remains. We will try and reduce our risk by raising the stop loss to $37.60 so it's just below the 40-dma.

Earlier comments:
This ETF might see some short-term resistance in the $39.25 area (September high) and the $40.00 level but our multi-week target is $41.75.

current Position: long the FXI (ETF) @ $38.25

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

Long 2014 Jan $40 call (FXI1418a40) entry $0.97

10/21/13 new stop loss @ 37.60
10/19/13 new stop loss @ 37.49



HEALTHSOUTH Corp. - HLS - close: 36.47 change: +0.14

Stop Loss: 35.25
Target(s): 39.75
Current Gain/Loss: + 0.5%

Entry on October 15 at $36.30
Listed on October 10, 2013
Time Frame: exit PRIOR to earnings on Oct. 28th
Average Daily Volume = 459 thousand
New Positions: see below

Comments:
10/21/13: HLS finally rallied past its mid-September high near $36.50. Unfortunately the stock failed to close above this level. Today is a new multi-year closing high but it's not a convincing breakout yet.

Earlier Comments:
Our target is $39.75 but we do not want to hold over the earnings report scheduled for October 28th.

current Position: Long HLS stock @ $36.30

10/19/13 new stop loss @ 35.25
10/15/13 triggered at $36.30
10/14/13 adjust entry trigger to $36.30 from $36.25
adjust the stop loss from $34.75 to $34.95



Krispy Kreme Doughnuts, Inc. - KKD - close: 23.65 change: +0.13

Stop Loss: 22.40
Target(s): (sold half @ 23.25) exit the 2nd half at $24.75
Current Gain/Loss: (+14.5%) 2nd half = +16.5%

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:
10/21/13: Hmm... two days in a row KKD has tried to rally in the morning and both days traders have sold into strength. Readers may want to raise their stops again.

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

10/19/13 new stop loss @ 22.40
10/14/13 new stop loss @ 21.85
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.



Scientific Games - SGMS - close: 18.94 change: +0.52

Stop Loss: 17.40
Target(s): 19.50
Current Gain/Loss: + 7.6%

Entry on October 14 at $17.60
Listed on October 12, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 690 thousand
New Positions: see below

Comments:
10/21/13: SGMS continues to grow more overbought with yet another gain. Today shares outperformed the market with a +2.8% rally. I am adjusting our exit target down to $19.50. I am raising the stop loss to $17.40.

Please note that I am suggesting we exit our November $17.50 calls immediately at the opening bell to lock in gains. The current bid/ask is $1.80/1.90.

Earlier comments:
The next major resistance level looks like the $19.50-20.00 zone. Keep in mind that we want to use small positions to limit our risk.

*small positions*

current Position: long SGMS stock @ $17.60

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

Long NOV $17.50 call (SGMS1316k17.5) entry $1.15*

10/21/13 new stop loss @ 17.40, adjust exit target to $19.50
prepare to exit our Nov. $17.50 call at the open tomorrow.
10/19/13 new stop loss @ 16.90
*option entry price is an estimate since the option did not trade at the time our play was opened.



Scotts Miracle-Gro Co. - SMG - close: 57.39 change: +0.19

Stop Loss: 54.75
Target(s): 59.85
Current Gain/Loss: + 2.2%

Entry on October 15 at $56.15
Listed on October 14, 2013
Time Frame: 3 to 5 weeks
Average Daily Volume = 310 thousand
New Positions: see below

Comments:
10/21/13: It looks like SMG may have found new short-term support near $57.00. Traders bought the dip there for the second day in a row. I am raising our stop loss to $55.40.

current Position: long SMG stock @ $56.15

10/21/13 new stop loss @ 55.40
10/17/13 new stop loss @ 54.75



BEARISH Play Updates

ValueClick, Inc. - VCLK - close: 19.89 change: +0.00

Stop Loss: 20.11
Target(s): 18.05
Current Gain/Loss: - 0.2%

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:
10/21/13: VCLK continues to underperform the market. That's good news if you're bearish. Yet we're fighting against the market's rising tide. VCLK's long-term trend is still bearish but the stock seems to be coiling for a bullish breakout past resistance at $20.00.

I am suggesting we exit positions immediately tomorrow morning. More aggressive traders may want to let the play run but if you do I'd be tempted to readjust your stop so it's above $20.50, which is a more convincing level of resistance.

current Position: short VCLK stock @ $19.85

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

Long NOV $20 PUT (VCLK1316w20) entry $1.45

10/21/13 prepare to exit at the opening bell tomorrow.
10/19/13 new stop loss @ 20.11
10/12/13 new stop loss @ 20.26
10/08/13 new stop loss @ 20.51



CLOSED BULLISH PLAYS

First Solar, Inc. - FSLR - close: 53.88 change: +3.91

Stop Loss: 43.90
Target(s): 54.00
Current Gain/Loss: +17.3%

Entry on October 17 at $46.05
Listed on October 16, 2013
Time Frame: Exit PRIOR to earnings in very late October (or early Nov.)
Average Daily Volume = 4.5 million
New Positions: see below

Comments:
10/21/13: Target hit.

FSLR continues to shine. The stock added another +$3.91 on top of Friday's +$4.00 gain. Shares were up +12.0% intraday. Our target was hit at $54.00. There didn't seem to be any specific reason behind the rally but the two-day move in FSLR definitely looks like a short squeeze.

NOTE: FSLR can be a volatile stock. I am suggesting small positions to limit our risk.

*small positions*

closed Position: Long FSLR stock @ $46.05 exit $54.00 (+17.3%)

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

NOV $50 call (FSLR1316K50) entry $2.25 exit $6.70 (+197.7%)

chart:



Walter Energy Inc. - WLT - close: 14.97 change: -0.24

Stop Loss: 14.95
Target(s): 19.50
Current Gain/Loss: - 6.4%

Entry on October 17 at $16.25
Listed on October 15, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 6.7 million
New Positions: see below

Comments:
10/21/13: WLT was not cooperating so in the weekend newsletter we decided to close positions at the opening bell this morning. Shares opened unchanged at $15.21, saw a brief rally that failed, and then WLT underperformed the market with a -1.5% decline.

closed Position: Long WLT stock @ $16.25 exit $15.21 (-6.4%)

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

NOV $17 call (WLT1316k17) entry $0.93 exit $0.38 (-59.1%)

10/21/13 planned exit this morning
10/19/13 prepare to exit on Monday morning (Oct. 21st).

chart: