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GRMN None None
MNST    

New Calls

Garmin Ltd. - GRMN - cls: 72.70 change: +3.03 stop: 67.75

Company Description:
Through its operating subsidiaries, Garmin Ltd. designs, manufactures, and markets navigation, communications and information devices, most of which are enabled by GPS technology. Garmin is a leader in the general aviation and consumer markets and its products serve aviation, marine, general recreation, automotive, wireless and OEM applications. Garmin Ltd. is incorporated in the Cayman Islands, and its principal subsidiaries are located in the United States, Taiwan and United Kingdom. (source: company press release or website)

Why We Like It:
Lately there have been some negative comments about GRMN facing tougher competition for its global positions and navigation systems. Yet that has not stopped the stock from breaking out to new all-time highs. What we could be seeing right now is a potential short squeeze. The latest data puts short interest at 17.4% of its 59.8 million-share float. On a technical basis we certainly like today's breakout and we're going to suggest that traders consider new call positions in the $70.00-73.00 range. Thus we'd prefer a pull back toward the $70.50-70.00 region as our entry point but GRMN's relative strength may not produce any dips in the near term. The P&F chart is bullish and points to an $85 target. We are going to target a rally into the $77.00-78.00 range.

Suggested Options:
We are suggesting the April calls.

BUY CALL APR 70 GQR-DN open interest=4963 current ask $4.50
BUY CALL APR 75 GQR-DO open interest=7112 current ask $1.90

Picked on March 02 at $ 72.70
Change since picked: + 0.00
Earnings Date 02/22/06 (confirmed)
Average Daily Volume = 1.2 million

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Monster Wrldwde - MNST - close: 50.14 chg: +0.26 stop: 47.75

Company Description:
Founded in 1967, Monster Worldwide, Inc. is the parent company of Monster, the leading global online careers and recruitment resource. The company also owns TMP Worldwide, one of the world's largest Recruitment Advertising agency networks. Headquartered in New York with approximately 4,600 employees in 25 countries, Monster Worldwide is a member of the S&P 500 Index and the NASDAQ-100 Index. (source: company press release or website)

Why We Like It:
MNST has spent the first half of February consolidating its earnings-inspired rally higher. The second half of February witnessed a slow climb higher and now shares are testing resistance in the $50.00-50.50 range. This is a momentum play. The stock looks very overbought from its lows in October but there's no telling where the momentum will stop. We believe that if MNST breaks out to a new high then odds are it will rally toward the $55.00 level. We're suggesting a trigger to buy calls at $50.65. If triggered we will target a rally into the $54.85-55.00 range.

Suggested Options:
We are suggesting the April calls.

BUY CALL APR 45 BSQ-DI open interest=795 current ask $6.20
BUY CALL APR 50 BSQ-DJ open interest=218 current ask $2.75
BUY CALL APR 55 BSQ-DK open interest= 56 current ask $0.90

Picked on March xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 05/03/06 (unconfirmed)
Average Daily Volume = 1.7 million
 

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