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Call Updates

Apache - APA - close: 76.66 change: +0.43 stop: 72.49

Oil stocks took a back seat to the rally in the rest of the market on Thursday but that didn't stop the rally in energy. We see no changes from our previous updates on APA. Our target is the $79-80 range.

Picked on September 18 at $ 73.42
Change since picked: + 3.24
Earnings Date 10/27/05 (unconfirmed)
Average Daily Volume = 2.6 million

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Apollo Group - APOL - close: 66.71 chg: +0.07 stop: 64.99

We would have exited APOL today but the afternoon rally has renewed hope that shares will rebound - at least for another day. If APOL does not produce any follow through on Friday following today's intraday bounce we will close the play this weekend. Our short-term target is the $69-70 range.

Picked on September 25 at $ 66.09
Change since picked: + 0.62
Earnings Date 10/04/05 (confirmed)
Average Daily Volume = 1.8 million

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Broadcom - BRCM - close: 45.76 chg: +0.49 stop: 42.85

Tech stocks came alive again today with a 1.22% gain in the NASDAQ lead by a 1.5% rally in the SOX semiconductor index. It is arguable that today's market gains are related to end of the quarter window dressing but we're not going to complain. The move over $46.00 could be used as a new bullish entry point just keep an eye on the SOX. Currently the SOX index has technical resistance at its 50-dma near 470. Our target for BRCM is the 49.00-50.00 range.

Picked on September 25 at $ 45.05
Change since picked: + 0.71
Earnings Date 10/21/05 (unconfirmed)
Average Daily Volume = 7.0 million

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Cardinal Health - CAH - close: 63.16 chg: +0.07 stop: 59.85

CAH's volume faded lower on Thursday and the stock struggled to build on yesterday's bullish session. We remain optimistic and continue to target the $66-67 range. The current challenge for the bulls is resistance at 63.50.

Picked on September 25 at $ 61.95
Change since picked: + 1.27
Earnings Date 11/04/05 (unconfirmed)
Average Daily Volume = 2.0 million

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Cameco Corp - CCJ - close: 53.78 chg: +1.03 stop: 49.49

CCJ turned in a strong session added almost two percent on Thursday. Unfortunately, there was not much volume to support the move. We remain bullish and readers may want to use today's minor breakout as a new bullish entry point. Our target is the $58-60 range.

Picked on September 18 at $ 53.30
Change since picked: + 0.48
Earnings Date 11/01/05 (unconfirmed)
Average Daily Volume = 862 thousand

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Cigna - CI - close: 117.44 change: +1.30 stop: 111.49

We did not have to wait very long for CI to hit our trigger. Our new addition to the play list saw its shares gap lower this morning and then rise consistently throughout the rest of the session. The move over $116.50 is a technical breakout through the top of its multi-week trading range. Our entry point is $116.51. Today's move also produced a new MACD buy signal. It is interesting that CI closed at $117.44, the August peak and all-time high. Our five-week target is the $124.00 level but we do expect the $120 level to act as short-term resistance that will eventually be broken. We will exit before the early November earnings report.

Picked on September 29 at $116.51
Change since picked: + 0.93
Earnings Date 11/02/05 (unconfirmed)
Average Daily Volume = 991 thousand

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Intuitive Surg. - ISRG - close: 75.42 chg: +0.97 stop: 71.99

A strong day in the markets proved to be fertile ground for shares of ISRG. The stock added 1.3% and closed over round-number and price resistance at the $75.00 mark. Today's gain also strengthened the new MACD buy signal. Our target is the $79.50-80.00 range.

Picked on September 28 at $ 75.11
Change since picked: + 0.31
Earnings Date 10/24/05 (unconfirmed)
Average Daily Volume = 962 thousand

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Altria Group - MO - close: 73.65 change: +0.18 stop: 69.90

Tobacco titan MO saw its rally stall today. The stock paused after news hit the wires that the Supreme Court of Canada upheld the right for Canadian provinces to sue tobacco companies for the health care costs of smoking. Some estimates put damages in the $70 billion range. Overall shares held up pretty well considering the news. We remain bullish and continue to target the $78-79 range.

Picked on September 18 at $ 73.14
Change since picked: + 0.51
Earnings Date 10/19/05 (unconfirmed)
Average Daily Volume = 6.7 million

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Noble Energy - NBL - close: 47.52 chg: +0.92 stop: 44.49

The rally for many energy stocks slowed on Thursday but not so for shares of NBL. The stock added almost two percent and is trading near its all-time high set several days ago. Our target is the $49-50 range.

Picked on September 11 at $ 44.90 *post-split price
Change since picked: + 2.62
Earnings Date 11/02/05 (unconfirmed)
Average Daily Volume = 796 thousand

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Total S.A. - TOT - close: 137.50 chg: +0.27 stop: 131.99

Traders were there to buy the dip near $136.50 today and TOT ended the session at a new all-time high. This remains a bullish entry point following Wednesday's breakout. Our six-week target is the $144-145 range.

Picked on September 28 at $137.23
Change since picked: + 0.27
Earnings Date 08/05/05 (confirmed)
Average Daily Volume = 872 thousand
 

Put Updates

Black & Decker - BDK - close: 81.79 chg: +0.47 stop: 85.05

Traders may want to turn a bit defensive here. Deutsche Securities started coverage on BDK with a "buy" rating today suggesting it will benefit from the hurricane-inspired rebuilding. We are actually a little surprised that BDK did not rally higher considering the broad market strength and the upgrade. Continue to watch the exponential 200-dma near 83.45 as overhead resistance. Our target is the $78-77 range.

Picked on September 14 at $ 83.31
Change since picked: - 1.52
Earnings Date 10/25/05 (unconfirmed)
Average Daily Volume = 636 thousand

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Hershey Co. - HSY - close: 56.47 change: +0.21 stop: 58.01

The bounce in HSY today appears to be market related. The overall trend remains bearish and the $57.00 and $57.50 levels should continue to act as resistance. Our target is the $54.00-53.50 range.

Picked on September 14 at $ 57.90
Change since picked: - 1.43
Earnings Date 10/20/05 (unconfirmed)
Average Daily Volume = 760 thousand
 

Dropped Calls

None
 

Dropped Puts

Adobe Sys. - ADBE - close: 29.76 chg: +0.74 stop: n/a

Target achieved. Don't be fooled by the heading. ADBE isn't a put play but a strangle play (see the September 13th play description). Yesterday we outlined two different targets that we would exit at. One was the stock price moving into the $29.85-30.00 range. ADBE almost hit that target today with its 2.5% gain to $29.76 (high for the day 29.80). The second target was the October 27.50 call. We suggested that readers exit if the call traded into the $2.35-2.50 range. The call did that today with a high at $2.40 and a current bid/ask of $2.35/2.45. Considering our entry price at $1.55 the $2.35 price represents a 50% move.

Picked on September 13 at $ 26.82
Change since picked: + 2.94
Earnings Date 09/15/05 (confirmed)
Average Daily Volume = 6.2 million

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MBIA Inc. - MBI - close: 59.62 chg: +1.60 stop: 58.75

Financial stocks helped lead the rally today. The BKX banking index added 1.2% and the BIX banking index soared 1.7%. This sector strength helped power MBI to a 2.75% gain and a breakout over resistance at the top of its descending channel and resistance at its 50-dma and 200-dma. We have been stopped out at $58.75.

Picked on September 13 at $ 57.75
Change since picked: + 1.87
Earnings Date 11/01/05 (unconfirmed)
Average Daily Volume = 1.2 million
 

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