NEW DIRECTIONAL CALL PLAYS

Chart Industries - GTLS - close: 70.03 change: +1.64

Stop Loss: 66.40
Target(s): 74.75
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
GTLS manufacturers a variety of equipment but investors are betting that the company is poised to reap the benefits of the booming natural gas industry. GTLS recently reported earnings and missed estimates but the stock rallied anyway. Now GTLS is testing the $70.00 level.

I am suggesting small bullish positions now at current levels but only if both GTLS and the S&P 500 index open higher. If these conditions are not met then we'll use a trigger at $70.55 to buy calls instead. We'll start this trade with a stop loss at $66.40. Our initial target is $74.75. FYI: The Point & Figure chart for GTLS is bullish with an $82 target.

Do not enter position unless GTLS and the S&P 500 are both positive at the open - OR - buy calls if GTLS trades at $70.55

- Suggested Positions -

Buy the Apr $75 call (GTLS1221D75) current ask $2.60

Annotated Chart:

Entry on March xx at $ xx.xx
Earnings Date 05/03/12 (unconfirmed)
Average Daily Volume = 665 thousand
Listed on March 01, 2012


Herbalife Ltd. - HLF - close: 67.70 change: +1.49

Stop Loss: 64.90
Target(s): 72.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
This network marketing supplements company is seeing its stock rally to record highs. The stock exploded higher a couple of weeks ago on a better than expected earnings report. Shares have spent the last six days digesting gains and consolidating sideways. Today's rally is a new high.

I am suggesting we open small bullish positions at the opening bell tomorrow but only if both HLF and the S&P 500 index open positive. If these conditions are not met we'll use a trigger to buy calls at $68.25 instead. I'm suggesting a stop at $64.90. Our target is $72.50. FYI: The Point & Figure chart for HLF is bullish with a long-term $100 target.

NOTE: HLF is due to trade ex-dividend on March 5th. We should expect shares to gap down at the open by 40 cents as a result.

Do not enter position unless HLF and the S&P 500 are both positive at the open - OR - buy calls if HLF trades at $68.25

- Suggested Positions -

buy the Mar $70 call (HLF1217C70) current ask $0.70

- or -

buy the Apr $70 call (HLF1221D70) current ask $2.00

Annotated Chart:

Entry on March xx at $ xx.xx
Earnings Date 05/02/12 (unconfirmed)
Average Daily Volume = 1.5 million
Listed on March 01, 2012


Whole Foods Market - WFM - close: 82.17 change: +1.43

Stop Loss: 79.95
Target(s): 87.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
WFM is a high-end grocery chain. Shares have been consolidating sideways near record highs for the last three weeks. Today's move puts it on the verge of a new breakout. I am suggesting a trigger to buy calls at $82.55 with a stop loss at $79.95. Our target is $87.50. FYI: The Point & Figure chart for WFM is bullish with a $103 target.

Trigger @ 82.55

- Suggested Positions -

buy the Apr $85 call (WFM1221D85) current ask $1.74

Annotated Chart:

Entry on March xx at $ xx.xx
Earnings Date 05/03/12 (unconfirmed)
Average Daily Volume = 1.9 million
Listed on March 01, 2012