Editor's Note:

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

(bullish ideas)
HSIC, WCC, VAR, LVS, HON, BDX, ACE, COV, BWA, PXD, UNP, PII



NEW DIRECTIONAL CALL PLAYS

Chicago Bridge & Iron - CBI - close: 84.19 change: +1.56

Stop Loss: 80.90
Target(s): 89.50
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
CBI is in the industrial goods sector. The company is a large construction contractor and does a lot of projects in the energy industry. CBI reported earnings on February 25th and blew away the estimates. Revenues rose +95% to $3.0 billion, which was actually a small miss on estimates. Yet net profits came in at $1.91 a share versus estimates of only $1.17. CBI said their backlog surged +155% to $27.8 billion.

The stock shot higher on this news and traders were quick to buy the dip the next day. CBI ended the week and the month at a new closing high. I am suggesting a trigger to buy calls at $84.50 (more conservative traders may want to wait for a rally past $85.00 instead). If we are triggered at $84.50 our target is $89.50. More aggressive investors could aim higher since the Point & Figure chart for CBI is bullish with a $111 target.

Trigger @ $84.50

- Suggested Positions -

Buy the Apr $85 call (CBI1419D85) current ask $2.80

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 1.16 million
Listed on March 01, 2014


Rock-Tenn Co. - RKT - close: 111.62 change: +2.09

Stop Loss: 108.75
Target(s): 119.50
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Company Description

Why We Like It:
RKT is in the consumer goods sector. The company makes corrugated and consumer packaging products. Shares of RKT appear to be breaking out from a significant consolidation over the last few months. Shares tested technical support at the 300-dma in December and again in late January. After the second test of this moving average RKT rallied on what appeared to be a disappointing earnings report. Since then RKT has followed the market higher. Now after consolidating sideways near resistance at the $110 level for over a week we see the stock breaking out.

Friday's intraday high was $111.81. I am suggesting a trigger to buy calls at $112.00. If triggered our target is $119.50. FYI: The Point & Figure chart for RKT is bullish with a $129 target.

Trigger @ $112.00

- Suggested Positions -

Buy the APR $115 call (RKT1419D115) current ask $2.70

Annotated Chart:

Entry on March -- at $---.--
Average Daily Volume = 809 thousand
Listed on March 01, 2014