Editor's Note:

I found a number of bullish candidates tonight. Here's a group of stocks currently on my watch list: CF, GWW, CHRW, TWC, PM, KO, AGN, OXY, RL, FFIV. Plus the many of the REIT stocks look poised to move higher.

- James


NEW DIRECTIONAL CALL PLAYS

Estee Lauder Companies - EL - close: 102.00 change: +1.77

Stop Loss: 98.75
Target(s): 107.00, 109.95
Current Option Gain/Loss: + 0.0%
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Consumer goods stocks have been showing relative strength during the last few weeks. Shares of EL look ready to run again now that it's breaking out from its recent consolidation. I am suggesting bullish positions now with a stop loss at $98.75. Our targets are $107.00 and $109.95.

- Suggested Positions -

Buy the June $105 call (EL1118F105) current ask $2.00

Annotated Chart:

Entry on May 19th at $ xx.xx
Earnings Date 08/11/11 (unconfirmed)
Average Daily Volume = 1.1 million
Listed on May 18th, 2011


Freeport McMoran - FCX - close: 48.62 change: +1.79

Stop Loss: 45.99
Target(s): 53.50
Current Option Gain/Loss: + 0.0%
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
FCX has been trending lower due to weakness in commodities (fueled in part by strength in the dollar). We appear to be witnessing a bullish reversal from support near its March lows and the $46.00 level. There is still plenty of overhead resistance but if the commodities are bouncing then FCX could be an outperformer over the next few days.

I consider this a very aggressive and higher-risk trade. We want to keep our position size very small. Buy calls now on this bounce. We'll aim for the $53.50 level. If FCX does not produce any follow through on this bounce we'll consider an early exit in the next day or two.

- Very Small Positions -

buy the June $50 call (FCX1118F50) current ask $1.61

Annotated Chart:

Entry on May 19th at $ xx.xx
Earnings Date 07/21/11 (unconfirmed)
Average Daily Volume = 21.8 million
Listed on May 18th, 2011


Tiffany & Co. - TIF - close: 70.13 change: +1.68

Stop Loss: 67.70
Target(s): 74.50
Current Option Gain/Loss: + 0.0%
Time Frame: about five days
New Positions: Yes, see below

Company Description

Why We Like It:
TIF is another consumer goods company that has been out performing the market. Shares just spent the last couple of weeks consolidation sideways near its highs. Now the stock is breaking out. I am suggesting bullish positions now. Keep in mind this is a short-term trade. We want to exit ahead of the May 26th earnings report. I'm suggesting a target at $74.50.

- Suggested Positions -

Buy the June $72.50 call (TIF1118F72.5) current ask $1.51

Annotated Chart:

Entry on May 19th at $ xx.xx
Earnings Date 05/26/11 (unconfirmed)
Average Daily Volume = 1.49 million
Listed on May 18th, 2011