NEW DIRECTIONAL CALL PLAYS

Cerner Corp. - CERN - close: 89.23 change: +1.77

Stop Loss: 87.25
Target(s): 87.50
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
CERN is in the healthcare information technology industry. The stock has spent most of February consolidating sideways below its all-time highs in the $89 area. Friday's session saw CERN display relative strength (+2.0%) and a new all-time high. More aggressive traders may want to buy calls now. I see potential resistance at the $90.00 mark. Thus I am suggesting a trigger to buy calls at $90.25. If triggered our multi-week target is $97.50. FYI: The Point & Figure chart for CERN is bullish with a long-term $141 target.

Trigger @ 90.25

- Suggested Positions -

buy the Apr $90 call (CERN1320d90) current ask $2.60

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 916 thousand
Listed on March 02, 2012


Marathon Petroleum - MPC - close: 85.01 change: +2.13

Stop Loss: 82.25
Target(s): 89.75
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
Many of the oil-refining stocks are showing relative strength. MPC is helping lead the bunch higher with a show of relative strength on Friday (+2.5%). Shares are also trading near all-time highs. MPC is currently trading near round-number resistance at $85.00. I'd like to see a little bit more confirmation. Therefore, I am suggesting a trigger to buy calls at $85.25. Our short-term target is $89.75. More aggressive traders could definitely aim higher. FYI: The Point & Figure chart for MPC is bullish with a $98 target.

Trigger @ 85.25

- Suggested Positions -

buy the Apr $87.50 call (MPC1320d87.5) current ask $2.65

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 3.5 million
Listed on March 02, 2012


Toyota Motors - TM - close: 102.69 change: +0.09

Stop Loss: 99.95
Target(s): 108.00
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
There is a recent article published last week that said a new study shows the average U.S. family cannot afford a new car. The recent payroll tax increase and a steady rise in gasoline prices might also influence a family's decision to buy a new car. Yet vehicles sales are on the rise. The American consumer is ignoring most of the noise out of Washington and the rising cost of fuel. One reason could be their current car is just too old. Currently the average car in the U.S. is more than 11 years old.

Analysts are estimating that February's vehicle sales will hit an annual pace of 15.2 million units. That would be a +7% increase from February a year ago. Toyota just said their U.S. sales rose +8.7% in February. February is normally a slow month for car dealers.

Shares of TM are also on a roll. The stock is in a bullish channel and just bounced off the bottom of the channel a few days ago. We want to jump on board. I am suggesting a trigger to buy calls at $103.25. If triggered our target is $108.00. More aggressive traders could aim higher.

I do want to warn you that shares of TM tend to gap open (up or down) each day as the U.S. shares adjust for trading that occurs back home in Japan.

Trigger @ 103.25

- Suggested Positions -

buy the Apr $105 call (TM1320d105) current ask $2.18

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 686 thousand
Listed on March 02, 2012