NEW DIRECTIONAL CALL PLAYS

F5 Networks - FFIV - close: 82.89 change: -0.83

Stop Loss: 79.95
Target(s): 89.50, 94.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Technology stocks have been outperforming the rest of the market on this current rebound. Traders were quick to buy the dip this morning. FFIV saw a rebound at $80.50 before paring its losses to just -1%. I am suggesting we take advantage of this dip and intraday bounce.

We want to buy calls on FFIV now but only if the stock and the S&P 500 index both open higher tomorrow morning. We do want to keep our position size small. The simple 50-dma might be technical resistance and FFIV will probably see some resistance in the $90-92 zone.

Our first target is $89.50. Our secondary, more aggressive target is $94.50. We will list our stop loss at $79.95.

*See Entry Details Above* (Small Positions)

- Suggested Positions -

buy the OCT $85 call (FFIV1122J85) current ask $4.35

- or -

buy the OCT $90 call (FFIV1122J90) current ask $2.45

Annotated Chart:

Entry on September xx at $ xx.xx
Earnings Date 10/25/11 (unconfirmed)
Average Daily Volume = 2.6 million
Listed on September 19, 2011


Tiffany & Co - TIF - close: 76.07 change: +1.07

Stop Loss: 72.75
Target(s): 79.90, 83.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Shares of TIF continue to show relative strength. Traders bought the dip near $73.00 this morning. That's above the 50 and 100-dma. Bulls pushed the stock back into positive territory making TIF one of the market's best performers today. I am suggesting we take advantage of this strength and buy calls now. However, we only want to buy calls if both TIF and the S&P 500 index both open positive tomorrow morning. We will list our stop loss at $72.75. Our targets are $79.90 and $83.50.

*See Entry Details Above* (Small Positions)

- Suggested Positions -

buy the OCT $80 call (TIF1122J80) current ask $2.21

Annotated Chart:

Entry on September xx at $ xx.xx
Earnings Date 11/29/11 (unconfirmed)
Average Daily Volume = 2.7 million
Listed on September 19, 2011