NEW DIRECTIONAL CALL PLAYS

Crane Co. - CR - close: 54.97 change: +0.76

Stop Loss: 53.40
Target(s): 58.50
Current Option Gain/Loss: Unopened
Time Frame: 6 to 9 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
CR is in the industrial goods sector. The stock delivered a strong, consistent rally from its November lows until it stalled in mid February. Since then shares have been digesting gains and consolidating sideways. Now three weeks later, CR is breaking out to new highs. These are all-time, historic highs. I want to see a little more follow through since it's possible the $55.00 level could be round-number resistance.

We are suggesting small bullish positions if CR can trade at $55.25. If triggered our multi-week target is $58.50. More aggressive traders could certainly aim higher but CR doesn't move super fast.

Trigger @ 55.25

- Suggested Positions -

buy the Apr $55 call (CR1322F55) current ask $2.40

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 314 thousand
Listed on March 09, 2012


Genesee & Wyoming - GWR - close: 92.22 change: +1.25

Stop Loss: 89.65
Target(s): 98.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
GWR is in the railroad industry. The transportation sector has been showing lots of strength. The railroad component has helped push the transports to all-time highs. GWR is also trading at all-time highs.

We want to jump on board this momentum. I am suggesting a trigger to buy calls at $92.35. If triggered our target is $98.50. I would keep your position size small to limit our risk.

Trigger @ 92.35 *Small Positions*

- Suggested Positions -

buy the Apr $95 call (GWR1320D95) current ask $1.40

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 407 thousand
Listed on March 09, 2012


NEW DIRECTIONAL PUT PLAYS

ASML Holdings - ASML - close: 69.73 change: -1.11

Stop Loss: 70.65
Target(s): 65.25
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
ASML is in the semiconductor industry and shares are definitely underperforming the SOX semiconductor index, which just hit new multi-month highs. It is worth noting that ASML surged to historic highs by the end of January, just a few weeks ago. Yet shares have been down every week since (five weeks in a row). ASML just broke down below what should have been support at $70.00 and its simple 50-dma. Friday's low was $69.42. I am suggesting a trigger to buy puts at $69.35. If triggered our target is $65.25.

Trigger @ 69.35

- Suggested Positions -

buy the Apr $67.50 PUT (ASML1320p67.5) current ask $1.95

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 1.4 million
Listed on March 09, 2012