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New Plays

New Option Plays

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Call Options Plays
Put Options Plays
Strangle Options Plays
BG None None
BHI    
JOYG    
UPL    

Play Editor's note: We found a lot of bullish candidates today. A few more stocks we would watch for potential plays are: BUCY, MTL, ECA, EOG, XOM, FCX, UNP, VMC, HAYN, ATK. Some you'll want to look for a breakout others for a dip.


New Calls

Bunge Ltd - BG - close: 104.92 chg: +3.67 stop: 99.90

Company Description:
Bunge Limited is a leading global agribusiness and food company founded in 1818 and headquartered in White Plains, New York. Bunge's over 22,000 employees in over 30 countries enhance lives by improving the global agribusiness and food production chain. (source: company press release or website)

Why We Like It:
Shares of BG are breaking out past numerous levels of resistance. Broken resistance at $100 has become support and shares look poised to rally through the top of its short-term trading range at $105. The stock has already cleared the 200-dma and is flirting with a breakout over its 50-dma. The Point & Figure chart is already bullish with a $129 target. We believe that if BG can rally past $105 it will run toward resistance near $115. We're suggesting a trigger to buy calls at $105.25. Our target will be $114.50-115.00. We do not want to hold over the April 24th (before the opening bell) earnings report.

Suggested Options:
We are suggesting the May calls but plan to exit ahead of the April 24th earnings report.

BUY CALL MAY 100 BG-ET open interest=1177 current ask $10.90
BUY CALL MAY 105 BG-EA open interest= 512 current ask $ 8.10
BUY CALL MAY 110 BG-EB open interest= 570 current ask $ 5.90

Picked on April xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 04/24/08 (confirmed)
Average Daily Volume = 2.8 million

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Baker Hughes - BHI - close: 72.76 chg: +0.83 stop: 69.45

Company Description:
Baker Hughes is a leading provider of drilling, formation evaluation, completion and production products and services to the worldwide oil and gas industry. (source: company press release or website)

Why We Like It:
We're adding BHI as a way to play the oil services sector. Shares have recently broken through the top of its trading range and its trendline of lower highs. The recent dip near $71 looks like a new bullish entry point to buy calls. The P&F chart is bullish as the stock has broken through resistance and points to an $89 target. We are suggesting call positions now with a target in the $78.50-80.00 range. We do not want to hold over the April 22nd earnings report.

Suggested Options:
We are suggesting the May calls but plan to exit ahead of the April 22nd earnings report.

BUY CALL MAY 70.00 BHI-EN open interest=2831 current ask $5.50
BUY CALL MAY 75.00 BHI-EO open interest=5516 current ask $2.90
BUY CALL MAY 80.00 BHI-EP open interest=1405 current ask $1.25

Picked on April 10 at $ 72.76
Change since picked: + 0.00
Earnings Date 04/22/08 (confirmed)
Average Daily Volume = 4.7 million

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Joy Global - JOYG - close: 71.00 chg: +1.42 stop: 68.45

Company Description:
Joy Global is a world-wide leader in manufacturing, distributing and servicing equipment for surface mining through P&H Mining Equipment and underground mining through Joy Mining Machinery. (source: company press release or website)

Why We Like It:
Metal and mining stocks are still doing well and JOYG is poised to breakout to new all-time highs. Shares have resistance in the $72.00-72.50 zone so we're suggesting readers buy calls at $72.55. If triggered our target is the $79.50-80.00 range. The P&F chart is already bullish with an $88 target.

Suggested Options:
We are suggesting the May calls.

BUY CALL MAY 70.00 JQY-EN open interest=1183 current ask $4.90
BUY CALL MAY 75.00 JQY-EO open interest=1321 current ask $2.60

Picked on April xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 05/29/08 (unconfirmed)
Average Daily Volume = 2.3 million

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Ultra Petrol. - UPL - close: 81.50 chg: +0.22 stop: 77.95

Company Description:
Ultra Petroleum Corp. is an independent exploration and production company focused on developing its long-life natural gas reserves in the Green River Basin of Wyoming -- the Pinedale and Jonah Fields. (source: company press release or website)

Why We Like It:
Another way to play the rally in oil and natural gas is UPL. The stock has broken through resistance in the $80-81 zone and traders just bought the dip near $80.00 this morning. The intraday bounce this afternoon looks like a new entry point to buy calls. Our target is the $89.50-90.00 zone. The P&F chart has broken through resistance and points to a $95 target.

Suggested Options:
We are suggesting the May calls.

BUY CALL MAY 80.00 UPL-EP open interest= 992 current ask $5.40
BUY CALL MAY 85.00 UPL-EQ open interest=2048 current ask $2.75

Picked on April 10 at $ 81.50
Change since picked: + 0.00
Earnings Date 05/01/08 (unconfirmed)
Average Daily Volume = 1.4 million
 

New Puts

None today.
 

New Strangles

None today.
 

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