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NUE None None
PSA    

New Calls

Nucor - NUE - close: 74.63 change: +0.24 stop: 68.99

Company Description:
Nucor and affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and Canada. (source: company press release or website)

Why We Like It:
NUE has been coiling sideways the last couple of days and looks ready to launch into a new leg higher. We're suggesting readers buy calls here or on a dip in the $73 region. We are going to start the play with a wide, aggressive stop loss at $68.99. More conservative traders may want to try a stop near $72 instead. Our initial target is the $79.50-80.00 range. Our second, more aggressive target is the $84.00-85.00 zone. The Point & Figure chart is bullish with a $93 target.

Suggested Options:
We are suggesting the May and July calls.

BUY CALL MAY 70.00 NUE-EN open interest=2936 current ask $6.40
BUY CALL MAY 75.00 NUE-EO open interest=4397 current ask $3.30
BUY CALL MAY 80.00 NUE-EP open interest=2188 current ask $1.45

BUY CALL JUL 75.00 NUE-GO open interest=2565 current ask $6.40
BUY CALL JUL 80.00 NUE-GP open interest=3228 current ask $4.40

Picked on April 22 at $ 74.63
Change since picked: + 0.00
Earnings Date 04/17/08 (confirmed)
Average Daily Volume = 5.6 million

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Public Storage - PSA - cls: 94.10 change: +0.60 stop: 91.95

Company Description:
Public Storage, a member of the S&P 500 and the Forbes Global 2000, is a fully integrated, self-administered and self-managed real estate investment trust that primarily acquires, develops, owns and operates self-storage facilities. (source: company press release or website)

Why We Like It:
PSA is just two or three months into its bullish trend after a multi-month consolidation and base building in 2007. Shares look rested and ready to run higher after the more recent sideways consolidation in April. We're suggesting readers buy this dip in the $93-94 zone. Our target is the $99.50-100.00 range. We'll try and limit our risk with a stop loss at $91.95. We do not want to hold over the early May (unconfirmed) earnings report.

Suggested Options:
We are suggesting the June calls.

BUY CALL JUN 90.00 PSA-FR open interest=449 current ask $7.90
BUY CALL JUN 95.00 PSA-FS open interest=769 current ask $5.00
BUY CALL JUN 100.0 PSA-FT open interest=175 current ask $2.85

Picked on April 22 at $ 94.10
Change since picked: + 0.00
Earnings Date 05/01/08 (unconfirmed)
Average Daily Volume = 1.6 million
 

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