Editor's Note:

In addition to tonight's new candidate, consider these stocks as possible trading ideas and watch list candidates. Many of these need to see a break past key support or resistance:

(bullish ideas) TM, SLG, LO, RE, RRC, ESRX, CBRL, HSIC, CHTR

(bearish ideas) CXO, AYI, WBC, FFIV


NEW DIRECTIONAL CALL PLAYS

McKesson Corp. - MCK - close: 93.27 change: +0.96

Stop Loss: 91.45
Target(s): 99.00
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
According to their website, " As a pharmaceutical distributor and health care information technology company, McKesson provides systems for medical supply management, clinical workflow, practice management, pharmacy automation and care management." The stock's bullish trend of higher lows has pushed MCK back toward the ten-year highs set a week ago. A breakout here could herald a run toward the $100 area.

I am suggesting a trigger to buy calls at $93.55. We'll use a stop loss at $91.45, just under today's low. Our exit target is $99.00.

Trigger @ 93.55

- Suggested Positions -

buy the Jul $92.50 call (MCK1221G92.5) current ask $1.90

- or -

buy the Aug $95 call (MCK1218H95) current ask $1.80

Annotated Chart:

Entry on June xx at $ xx.xx
Earnings Date 07/30/12 (unconfirmed)
Average Daily Volume = 1.6 million
Listed on June 28, 2012