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Call Updates

The Andersons - ANDE - close: 39.76 chg: +0.14 stop: 37.49

Unfortunately, there is still no change in ANDE. The stock continues to churn sideways on either side of resistance at the $40.00 level. Volume continues come in below average. Consider waiting for another move over today's high (40.24) before initiating new call positions. A dip and bounce anywhere above $37.50 could be used as a more aggressive entry point to buy calls. Our target is the $44.50-45.00 range.

Picked on August 28 at $ 40.26
Change since picked: - 0.50
Earnings Date 10/27/06 (unconfirmed)
Average Daily Volume = 900 thousand

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AstraZeneca - AZN - close: 64.81 change: +0.50 stop: 59.95

The rally in AZN continues. The stock added another 0.77% and is now challenging potential round-number resistance at the $65 level. Normally we would expect a pull back here and traders can watch for a dip toward the rising 10-dma near 63.30 as another entry point. More conservative traders might want to take some profits as AZN nears $65. Our target is the $68.00-69.00 range but our time frame is mid-October.

Picked on August 20 at $ 62.99
Change since picked: + 1.82
Earnings Date 10/26/06 (unconfirmed)
Average Daily Volume = 1.1 million

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Cameco - CCJ - close: 39.63 change: +0.21 stop: 37.95

We are starting to see a little bit of improvement in CCJ but the stock is still struggling with round-number resistance at $40.00. More aggressive traders might want to use the afternoon bounce from the $39.00 level today as a new entry point to buy calls. We would wait for a move over $40.00 or $40.50 before initiating new positions. More conservative traders may want to consider tightening their stops toward the $38.80 level. Our target is the $44.50-45.00 range.

Picked on August 22 at $ 40.33
Change since picked: - 0.70
Earnings Date 07/28/06 (confirmed)
Average Daily Volume = 1.9 million

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Cognizant Tech. - CTSH - close: 70.70 chg: +0.15 stop: 68.45

Traders bought the dip near $69.75 on Wednesday and the afternoon bounce might be used as a new entry point for bullish positions. However, we are still suggesting that readers wait for another breakout over $71.50 before buying calls. Our target is the $76.50-77.50 range.

Picked on August 29 at $ 71.55
Change since picked: - 0.87
Earnings Date 11/01/06 (unconfirmed)
Average Daily Volume = 1.4 million

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Cymer Inc. - CYMI - close: 39.97 chg: +0.69 stop: 39.95

The rally in semiconductors continued on Wednesday and the SOX hit a new two-month high. Sector strength helped inspire a 3.7% rally in shares of CYMI. The stock broke out above short-term psychological resistance at $40.00 and is now challenging its 50-dma and the August highs. Aggressive traders might want to buy calls now. We're sticking to our plan with a trigger to open positions at $42.55. If triggered our target is the $47.00-48.00 range.

Picked on August xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 10/24/06 (unconfirmed)
Average Daily Volume = 1.0 million

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Freeport McMoran - FCX - close: 57.08 chg: +0.06 stop: 53.95

Gold and metal stocks saw a bounce today. Both the XAU and GOX indices produced a follow through gain on yesterday's rebound from their three-month trendlines of rising support. Meanwhile shares of FCX continue to consolidate under resistance at the top of its trading range near $58.00. More conservative readers may want to wait for a breakout over $58.00 before initiating plays. Our target is the $62.50-63.00 range. Traders should also note that we do expect some short-term resistance near $60.00 and a retest of the 100-dma, once broken as resistance, should act as support.

Picked on August 23 at $ 57.51
Change since picked: - 0.43
Earnings Date 10/17/06 (unconfirmed)
Average Daily Volume = 5.1 million

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MicroStrategy - MSTR - close: 91.81 chg: +0.27 stop: 87.40

MSTR is trying to breakout higher from what looks like a bullish flag pattern. Unfortunately, volume was very low today and the stock is still struggling with its 200-dma and 100-dma overhead. More conservative traders might want to tighten their stop loss. We're thinking about adjusting our stop near $89.40. Currently our target is the $98.75-99.00 range.

Picked on August 16 at $ 92.05
Change since picked: - 0.24
Earnings Date 10/27/06 (unconfirmed)
Average Daily Volume = 431 thousand

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Piper Jaffray - PJC - close: 57.52 change: +1.68 stop: 51.65

PJC continues to out perform the market and its peers in the broker-dealer/investment sector. The stock broke out over resistance at the top of its trading range near $56.00. This is a bullish move and could have been used as a new entry point. Our target is the $59.90-60.00 range.

Picked on August 20 at $ 55.70
Change since picked: + 1.82
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume = 300 thousand

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FreightCar Amer. - RAIL - cls: 57.38 chg: +0.52 stop: 54.95

The Dow Jones transports and the railroad index both traded flat to down today. That left RAIL to trade on its own strength and the stock posted a 0.9% gain but failed to breakout over technical resistance at its 100-dma or 200-dma immediately overhead. Aggressive traders might want to buy this bounce. We would wait for a move past the 200-dma and 100-dma near $58.00 before buying calls.

Picked on August 20 at $ 59.13
Change since picked: - 1.75
Earnings Date 10/26/06 (unconfirmed)
Average Daily Volume = 475 thousand

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Ryland Group - RYL - close: 42.31 change: -0.33 stop: 39.95

We do not see any changes from our previous updates on RYL. Shares continue to consolidate sideways and we're waiting for a bullish breakout above resistance at the $45.00 level. Currently our trigger to buy calls is at $45.15. If triggered then our target is the $49.90-50.00 range.

Picked on August xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume = 1.7 million

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United Ind. - UIC - close: 53.80 change: +0.15 stop: 49.45

UIC continues to march higher. Shares are nearing our primary target in the $54.75-55.00 range. We're not suggesting new plays because UIC looks a little short-term overbought and due for a dip. The 10-dma and 100-dma, both near 51.20, should act as short-term support. Our secondary target is $57.50. We would suggest selling half or more of your position at the first target and the rest at $57.50. The P&F chart points to a $64 target.

Picked on August 27 at $ 51.77
Change since picked: + 2.03
Earnings Date 08/01/06 (confirmed)
Average Daily Volume = 198 thousand

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VF Corp. - VFC - close: 69.59 change: -0.51 stop: 68.45

Danger! Shares of VFC gapped open higher at $70.35 this morning and then promptly spiked lower. The stock closed with a 0.7% loss and the move looks like a bull trap and false breakout. VFC has resistance near $70.00 and we have been suggesting a trigger to buy calls at $70.25. Today's gap higher (on no news we can find) opened the play but the sell-off looks like a short-term bearish reversal. Aggressive traders might want to adjust their stop wider so the stop is under the 50-dma. We are not suggesting new plays at this time and would wait for a move past today's high (70.35) before considering new positions. If there is any follow through lower tomorrow we could be easily stopped out at $68.45.

Picked on August xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume = 567 thousand
 

Put Updates

Boeing - BA - close: 75.02 change: +1.24 stop: 78.05

BA produced a 1.6% oversold bounce today. The stock continues to trade in a bearish pattern but we would not suggesting new positions right here. We continue to target the $70.50-70.00 range. More conservative traders might want to tighten their stops.

Picked on August 10 at $ 75.75
Change since picked: - 0.73
Earnings Date 10/25/06 (unconfirmed)
Average Daily Volume = 4.2 million

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Burlington Nor.SantaFe - BNI - cls: 65.01 chg: -0.32 stop: 70.25

We can expect another significant move in BNI relatively soon. The stock's consolidation is narrowing and soon we expect to see a breakdown under $64.00 or a breakout higher through resistance at the top of its bearish channel. Given this scenario we're not suggesting new plays at this time. More conservative traders may want to tighten their stops (maybe near $68 or $67). Our target remains the $62.50-60.00 range. The P&F chart currently points to a $49 target.

Picked on August 08 at $ 68.06
Change since picked: - 3.05
Earnings Date 10/24/06 (unconfirmed)
Average Daily Volume = 2.7 million

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Chipotle Mex Grill - CMG - close: 50.26 chg: +0.46 stop: 52.55

This sideways trading in CMG has not been so great for our option premiums. Hopefully today's failed rally just above $51 will herald the beginning of a new leg lower. We would wait for a move back under $50 or even under $49 before considering new put positions. We are targeting a decline into the $45.50-45.00 range.

Picked on August 09 at $ 50.28
Change since picked: - 0.02
Earnings Date 10/30/06 (unconfirmed)
Average Daily Volume = 414 thousand

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Intuitive Surgical - ISRG - cls: 92.41 chg: +0.08 stop: 97.75

We do not see any changes from our previous updates on ISRG. The stock is essentially trading sideways but we do note a bearish, short-term trend of lower highs. We're not suggesting new positions at this time. The Point & Figure chart is bearish and points to a $60 target. We are only aiming for a decline into the $87.75-87.50 range.

Picked on August 10 at $ 94.90
Change since picked: - 2.66
Earnings Date 10/25/06 (unconfirmed)
Average Daily Volume = 1.1 million

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Johnson Controls - JCI - close: 70.30 chg: -0.41 stop: 75.51

JCI is slipping back toward round-number support near the $70.00 level. We're not suggesting new plays at this time. Our target is the $68.50-67.50 range. The P&F chart, with its triple-bottom breakdown sell signal, points to a $61 target.

Picked on August 22 at $ 72.96
Change since picked: - 2.66
Earnings Date 10/19/06 (unconfirmed)
Average Daily Volume = 1.3 million

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Radian Group - RDN - close: 59.95 chg: -0.25 stop: 61.51

There is no change from our weekend new play description on RDN. We are still suggesting a trigger to buy puts at $58.99. If triggered our target is the $55.15-55.00 range. We do not want to hold over the mid October earnings report.

Picked on August xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 10/18/06 (unconfirmed)
Average Daily Volume = 722 thousand

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Transocean Inc. - RIG - cls: 65.77 chg: -0.75 stop: 70.25

Oil stocks continued to pull back on Wednesday. Shares of RIG dipped to $65.11 intraday making it the third time shares have hit our conservative target at $65.25. Our secondary, aggressive target is the $61 level. Currently the P&F chart points to a $49 target.

Picked on August 07 at $ 69.49
Change since picked: - 3.72
Earnings Date 08/03/06 (confirmed)
Average Daily Volume = 6.4 million
 

Strangle Updates

None
 

Dropped Calls

None
 

Dropped Puts

AutoZone - AZO - close: 90.17 change: +1.79 stop: 89.05

AZO is showing too much strength so we're dropping it as a bearish candidate. It was our plan to buy puts on a breakdown below support at the $86.00 level. That never occurred so the play is unopened. Today's rally in the stock (+2%) was fueled by an analyst firm upgrading the stock to a "buy". Chart readers will notice that the technicals on the weekly chart are growing more bullish.

Picked on August xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 09/21/06 (unconfirmed)
Average Daily Volume = 663 thousand
 

Dropped Strangles

None
 

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