Editor's Note:

In addition to tonight's new candidates, consider these stocks as possible trading ideas and watch list ideas:

(bullish candidates) ORLY, AVB, GS, APA, NBL, GGG


NEW DIRECTIONAL CALL PLAYS

Eastman Chemical Co. - EMN - close: 54.61 change: +0.12

Stop Loss: 53.25
Target(s): 59.00
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Shares of EMN, a chemical company, are on the verge of a bullish breakout from its two-week trading range. The stock has resistance near $55.00. I am suggesting a trigger to open small bullish positions at $55.05 with a stop loss at $53.25. Our target is $59.00. More conservative traders may want to wait for EMN to trade past its all-time high of $55.36 (set in 2011) before initiating positions. FYI: The Point & Figure chart for EMN is bullish with a long-term $91 target.

Trigger @ $55.05

- Suggested Positions -

buy the Mar $55 call (EMN1217C55) current ask $1.45

Annotated Chart:

Entry on February xx at $ xx.xx
Earnings Date 04/30/12 (unconfirmed)
Average Daily Volume = 2.6 million
Listed on February 18, 2012


Rockwell Automation - ROK - close: 82.30 change: +1.05

Stop Loss: 79.90
Target(s): 89.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
ROK is an industrial goods company with a stock that continues to build on a bullish trend of higher lows. ROK is now testing resistance near the $82.00-82.50 zone. A breakout here could send the stock toward $90.00.

I am suggesting a trigger to buy calls at $82.75 with a stop loss at $79.90. Our exit target is $89.50. FYI: The Point & Figure chart for ROK is bullish with a $95 target.

Trigger @ 82.75

- Suggested Positions -

buy the Mar $85 call (ROK1217C85) current ask $1.30

Annotated Chart:

Entry on February xx at $ xx.xx
Earnings Date 04/26/12 (unconfirmed)
Average Daily Volume = 1.2 million
Listed on February 18, 2012