In addition to tonight's new candidate, consider these stocks as possible trading ideas:
TPX - Tempur Pedic Intl. displayed relative strength today. A breakout past resistance near $60 or its 200-dma could be a bullish entry point.
ADS - Shares of Alliance Data Systems displayed relative strength on Wednesday and the stock is on the verge of hitting new all-time highs. A rally past $107.50 might be a new bullish entry point.
NEW DIRECTIONAL CALL PLAYS
Omnicom Group - OMC - close: 45.05 change: -0.25
Stop Loss: 44.25
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below
Why We Like It:
OMC is an advertising company. Shares have been trading under resistance near $45.00-45.50 for weeks. The stock has developed a bullish pattern of higher lows and now looks poised to breakout past this key resistance level.
I am suggesting a trigger to open bullish positions at $45.75 with a stop at $44.25. Our target is $49.00. We do not want to hold over the mid February earnings report.
FYI: The Point & Figure chart for OMC is bullish with a $64 target.
Trigger @ 45.75
- Suggested Positions -
buy the Feb $45 call (OMC1218B45) current ask $1.55
Entry on January xx at $ xx.xx
Earnings Date 02/14/12 (unconfirmed)
Average Daily Volume = 1.6 million
Listed on January 11, 2012