Editor's Note:
Investors are feeling the holiday cheer with the U.S. market's major indices reaching new highs.

DWA hit our entry trigger. DLPH has been removed.


Current Portfolio:


BULLISH Play Updates

Autodesk, Inc. - ADSK - close: 49.19 change: +1.15

Stop Loss: 46.40
Target(s): 49.85
Current Gain/Loss: + 5.7%

Entry on December 05 at $46.55
Listed on December 04, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 3.0 million
New Positions: see below

Comments:
12/21/13: ADSK continues to be a strong performer. The stock is now up three weeks in a row. Shares are nearing what should be resistance at the $50.00 level. Our exit target is $49.85. I am not suggesting new positions at this time.

Please note that I am suggesting we go ahead and exit our 2014 January $47 call immediately on Monday morning to lock in gains. The current bid/ask is $2.71/2.79.

FYI: The Point & Figure chart for ADSK is bullish with a $56.00 target.

current Position: long ADSK stock @ $46.55

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

Long 2014 Jan $47 call (ADSK1418a47) entry $1.35

12/21/13 prepare to exit the 2014 Jan $47 call on Monday morning
12/18/13 new stop loss @ 46.40
12/14/13 adjust exit target to $49.85

chart:



Comerica Inc. - CMA - close: 46.73 change: +0.19

Stop Loss: 44.90
Target(s): 49.90
Current Gain/Loss: + 2.1%

Entry on November 25 at $45.76
Listed on November 21, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.5 million
New Positions: see below

Comments:
12/21/13: After consolidating sideways for about three weeks shares of CMA finally broke out higher this past week. The next level of significant resistance could be the $50.00 mark. We are aiming for $49.90. I am not suggesting new positions at this time.

current Position: Long CMA stock @ $45.76

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

Long 2014 Jan $45 call (CMA1418a45) entry $1.72*

12/18/13 new stop loss @ 44.90
11/25/13 trade opened on gap higher at $45.76. suggested trigger was $45.65
*option entry price is an estimate since the option did not trade at the time our play was opened.

chart:



DreamWorks Animation - DWA - close: 35.14 change: +0.46

Stop Loss: 33.45
Target(s): 39.50
Current Gain/Loss: - 0.6%

Entry on December 20 at $35.35
Listed on December 19, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 702 thousand
New Positions: see below

Comments:
12/21/13: DWA continued to show strength on Friday with a +1.3% gain. This is a new multi-year closing high for the stock. Our trigger to open bullish positions was hit at $35.35, near its high for the day. At the moment I would probably wait for a rally past Friday's high ($35.38) before initiating new positions.

current Position: long DWA stock @ $35.35

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

Long Mar $35 call (DWA1422c35) entry $2.65*

12/20/13 triggered @ 35.35
*option entry price is an estimate since the option did not trade at the time our play was opened.

chart:



Groupon, Inc. - GRPN - close: 11.68 change: +0.03

Stop Loss: 10.40
Target(s): 12.50
Current Gain/Loss: + 9.2%

Entry on December 17 at $10.70
Listed on December 12, 2013
Time Frame: to 8 weeks
Average Daily Volume = 18.4 million
New Positions: see below

Comments:
12/21/13: It was a big week for shares of GRPN. Not only did they reestablish the $10 level and its 50-dma as support but the stock broke out to new multi-week highs and posted a +14% gain for the week.

GRPN is arguably short-term overbought here and due for a dip. More conservative traders may want to take some money off the table. I am not suggesting new positions.

Earlier Comments:
Our target is $12.50. A rally past $11.00 will create a new buy signal on GRPN's point & figure chart.

current Position: Long GRPN stock @ $10.70

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

Long 2014 FEB $12 call (GRPN1422b12) entry $0.67

12/19/13 new stop loss @ 10.40
12/18/13 new stop loss @ 9.95
12/17/13 triggered at $10.70

chart:




21Vianet Group, Inc. - VNET - close: 22.40 change: +0.96

Stop Loss: 19.90
Target(s): 24.90
Current Gain/Loss: + 5.7%

Entry on December 18 at $21.20
Listed on December 17, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 614 thousand
New Positions: see below

Comments:
12/21/13: It was a good day for VNET bulls. The stock bounced where it was supposed near its prior highs. Shares rebounded to a +4.4% gain and a new closing high. Friday's close at $22.40 is above the IPO intraday high of $22.33, which is more good news for the bulls. I am raising our stop loss to $19.90.

Earlier Comments:
We want to keep our position size small for a reason. First, VNET has obviously been very volatile over the last couple of months. That could make it tough to trade. Second, the post-IPO high from back in 2011 is $22.33 and that could be significant overhead resistance. I am not listing the options on VNET because the spreads are a bit too wide to trade. However, using the options could limit your risk.

*small positions*

current Position: Long VNET stock @ $21.20

12/21/13 new stop loss @ 19.90
12/18/13 triggered @ 21.20

chart:



WageWorks, Inc. - WAGE - close: 59.89 change: +0.03

Stop Loss: 57.75
Target(s): 67.50
Current Gain/Loss: -1.1%

Entry on December 19 at $60.55
Listed on December 16, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 347 thousand
New Positions: see below

Comments:
12/21/13: WAGE's performance on Friday was disappointing. The S&P 500 rallied to a new record high but WAGE just churned sideways. Traders did buy the dip near its simple 10-dma. Investors may want to wait for a new relative high above $60.77 before initiating positions.

current Position: long WAGE stock @ $60.55

12/19/13 triggered at $60.55

chart:



BEARISH Play Updates

Cisco Systems - CSCO - close: 21.13 change: +0.06

Stop Loss: 21.55
Target(s): 17.00
Current Gain/Loss: - 1.9%

Entry on December 17 at $20.74
Listed on December 14, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 50 million
New Positions: see below

Comments:
12/21/13: As you know I am concerned about this bounce in CSCO. The stock's oversold bounce has hit four up days in a row. Shares are testing their trend of lower highs. More conservative investors may want to consider an early exit now or lower their stop loss. I am not suggesting new positions.

current Position: short CSCO stock @ $20.74

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

Long Feb $20 PUT (CSCO1422n20) entry $0.63

12/18/13 CSCO is not cooperating and traders may want to exit early or lower their stop loss.
12/17/13 trade opens. CSCO @ $20.74
12/16/13 New entry point strategy: launch bearish positions at the opening bell on Tuesday, Dec. 17th. Prior entry point was a trigger at $19.85

chart:



CLOSED BULLISH PLAYS

Delphi Automotive - DLPH - close: 58.35 change: -0.62

Stop Loss: 57.90
Target(s): 65.00
Current Gain/Loss: unopened

Entry on December -- at $--.--
Listed on December 18, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.4 million
New Positions: see below

Comments:
12/21/13: DLPH is not working for us. The market is pushing to new highs but this stock is not participating. Our trade has not opened yet so we're removing DLPH from the newsletter unopened.

Trade did not open.

12/21/13 removed from the newsletter. suggested trigger was $60.50

chart: