NEW DIRECTIONAL CALL PLAYS

Aon Plc. - AON - close: 80.05 change: +1.36

Stop Loss: 78.25
Target(s): 85.00
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
AON is in the financial sector. The company provides insurance and risk management services. The stock has been quietly pushing higher since its early October lows. Shares are now working on their fifth weekly gain in a row. The most recent pullback was mild and traders bought the dip at AON's rising 10-dma. Today's display of relative strength (+1.7%) leaves the stock poised to breakout past resistance near $80.00.

I am suggesting a trigger to buy calls at $80.50. If triggered our target is $85.00.

Trigger @ 80.50

- Suggested Positions -

buy the 2014 Jan $82.50 call (AON1418a82.5) current ask $1.50

Annotated Chart:

Entry on November -- at $---.--
Average Daily Volume = 2.3 million
Listed on November 06, 2013


Lockheed Martin - LMT - close: 136.87 change: +1.40

Stop Loss: 134.40
Target(s): 148.50
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
LMT is in the industrial goods sector. The company manufactures products for the aerospace and defense industries. The defense stocks have been strong performers this year. LMT is no exception and the stock is working on its fifth weekly gain in a row. The company seems to be firing on all cylinders. When LMT last reported earnings in late October they beat estimates by a wide margin and beat the revenue estimate as well. Management then raised their full year guidance. The stock has since rallied to new all-time highs.

I am suggesting a trigger to buy calls at $137.25. If triggered our target is $148.50.

Trigger @ 137.25

- Suggested Positions -

Buy the 2014 Jan $140 call (LMT1418a140) current ask $2.10

Annotated Chart:

Entry on November -- at $---.--
Average Daily Volume = 1.5 million
Listed on November 06, 2013