NEW DIRECTIONAL CALL PLAYS

Herbalife Ltd. - HLF - close: 69.90 change: +0.03

Stop Loss: 67.75
Target(s): 74.75
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Investors seem bullish on supplement company HLF. The stock is trading at record, all-time highs. Currently HLF is hovering under round-number resistance at $70.00. The intraday high last Friday was $70.35. I am suggesting a trigger to buy puts at $70.50 with a stop loss at $67.75. Our quick target is $74.75. More aggressive traders may want to aim higher. FYI: The Point & Figure chart for HLF is bullish with a long-term $103 target.

Trigger @ $70.50

- Suggested Positions -

buy the Apr $70 call (HLF1221D70) current ask $2.80

Annotated Chart:

Entry on March xx at $ xx.xx
Earnings Date 05/02/12 (unconfirmed)
Average Daily Volume = 1.6 million
Listed on March 14, 2012