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Call Updates

Ashland - ASH - cls: 60.74 change: -1.19 stop: 59.95

We warned readers yesterday that ASH looked ready to dip into the $60.50-61.00 range. Today's session definitely put a crimp in the technical indicators but we would look for the $60.00 level to offer some support. Several of the charting and quote services are listing ASH's intraday high at $63.64. That looks like a bad tick early this morning. The stock actually spiked lower at the open. Wait for signs of a bounce before considering new positions. We are leery of the market in general and would hesitate to open new bullish plays.

Picked on June 10 at $ 61.49
Change since picked: - 0.75
Earnings Date 07/25/07 (unconfirmed)
Average Daily Volume = 657 thousand

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Avery Dennison - AVY - cls: 65.31 chg: -0.60 stop: 64.19

Warning! The trading in AVY looks like a bull trap. The stock gapped lower and traded sideways the first half of the day. Then for no explainable reason the stock spiked above resistance near $66.00 and just as quickly reversed lower. The move is a clear failed rally pattern and probably just sucked up a bunch of buy orders above resistance. AVY appears to have support in the $64.50-64.00 range but more conservative traders may want to exit early right here! We're not suggesting new positions at this time.

Picked on June 11 at $ 66.05
Change since picked: - 0.74
Earnings Date 07/24/07 (unconfirmed)
Average Daily Volume = 728 thousand

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Baker Hughes - BHI - cls: 82.81 change: -1.17 stop: 79.95

A pull back in crude oil contributed to the profit taking in energy stocks. The 1.39% drop in BHI definitely looks bearish. We would expect shares to challenge short-term support near $82.00 pretty soon. More conservative traders may want to bail out now or just raise their stop loss toward $82.00 or last Friday's low near $81.81. We're not suggesting new positions.

Picked on June 04 at $ 84.26
Change since picked: - 1.45
Earnings Date 07/25/07 (unconfirmed)
Average Daily Volume = 4.3 million

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FTSE/Xinhau China Index - FXI - cls: 116.95 chg: +1.25 stop: 111.90

The U.S. traded shares of FXI traded down 1.9% in spite of another rally in the Chinese markets today. The drop back under support/resistance at the $116 level is bearish. We would wait for a new rise past today's high (116.45) before considering new positions. Our target is the $124.00-125.00 range. We would expect some temporary resistance near $120. We would consider this a more aggressive, higher-risk play.

Picked on June 11 at $116.75
Change since picked: + 0.20
Earnings Date 00/00/00 (unconfirmed)
Average Daily Volume = 2.4 million

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General Dynamics - GD - cls: 79.24 change: -1.07 stop: 78.35

Defense stocks were no safe haven from today's market-wide sell-off. Shares of GD slipped 1.3% and look poised to challenge support near $78.50 and its 100-dma. Considering the market's tone today more conservative traders may just want to exit early right here and cut their losses. We're not suggesting new positions at this time. We do not want to hold over the mid July earnings report. FYI: GD will be presenting at an investor conference on June 14th.

Picked on June 10 at $ 80.58
Change since picked: - 1.34
Earnings Date 07/18/07 (unconfirmed)
Average Daily Volume = 1.3 million

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Global SantaFe - GSF - cls: 67.12 chg: -1.47 stop: 65.90

The trading in GSF is growing more and more ugly. Yesterday's failed rally combined with today's decline (-2%) has GSF looking bearish. Overall the stock is still inside its five-month rising channel. However, it's going to take faith to believe technical support near $66.00 or support at the 50-dma will hold. We don't have a lot of faith at the moment and more conservative traders may just want to exit now to limit any losses.

Picked on June 03 at $ 68.86
Change since picked: - 1.74
Earnings Date 08/01/07 (unconfirmed)
Average Daily Volume = 4.8 million

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China Life - LFC - cls: 47.00 chg: -0.67 stop: 45.75

The U.S. traded shares of LFC also under performed the Chinese market today. LFC slipped 1.4% and looks poised to fall to the $46 level soon. We're still on the sidelines. Our suggested trigger to buy calls is at $48.25. After today more conservative traders may want to set their trigger to buy calls at $48.51. If triggered our target is the $54.00-55.00 range. We do expect some temporary resistance near $51.00.

Picked on June xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 08/25/07 (unconfirmed)
Average Daily Volume = 1.0 million

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Vangard Emergy Mkts ETF -VWO- cls: 86.37 chg: -1.43 stop: 84.99

The three-day pattern in VWO looks like a bearish reversal. More conservative traders may want to exit now. We're not suggesting new positions. Our target is the $89.85-90.00 range.

Picked on May 16 at $ 86.15
Change since picked: + 0.22
Earnings Date 00/00/00 (unconfirmed)
Average Daily Volume = 416 thousand

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XTO Energy - XTO - cls: 60.32 chg: -0.38 stop: 56.74

XTO is holding up better than most of the market but we hesitate to suggest new bullish positions at this point. More conservative traders might want to raise their stop loss. Our target is the $64.75-67.50 range.

Picked on May 27 at $ 57.63
Change since picked: + 2.69
Earnings Date 07/25/07 (unconfirmed)
Average Daily Volume = 3.2 million
 

Put Updates

AvalonBay - AVB - cls: 120.89 chg: -1.95 stop: 125.55

The REIT sector continued to sell-off on Tuesday. AVB lost 1.5% and is nearing potential support at the $120 level. More aggressive traders may want to use a wider stop. Our target is the $115.50-115.00 range.

Picked on June 11 at $122.84
Change since picked: - 1.95
Earnings Date 07/26/07 (unconfirmed)
Average Daily Volume = 903 thousand

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Anixter Intl. - AXE - cls: 69.68 chg: -0.67 stop: 71.55

AXE broke down again under the $70.00 level. This could be a new entry point for puts. We are aiming for the $65.25-65.00 range. The P&F chart is bearish with a $63.00 target.

Picked on June 07 at $ 68.99
Change since picked: + 0.69
Earnings Date 07/24/07 (unconfirmed)
Average Daily Volume = 520 thousand

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Diamonds - DIA - close: 132.92 chg: -1.32 stop: 135.26

Our put play on the DIA (or Dow Industrials) is off to a good start. The Diamonds lost almost 1% and on big volume. Our target is the $130.50-130.00 range. There is potential support at the rising 50-dma currently near $131.40.

Picked on June 11 at $134.244
Change since picked: - 1.32
Earnings Date 00/00/00
Average Daily Volume = 10.8 million

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ESSEX Property - ESS - cls: 117.14 chg: -2.33 stop: 122.51

ESS lost almost 2% and hit a new multi-month low at $116.51 intraday. We don't see any changes from our new play description. More conservative traders could use an even tighter stop loss near today's or last Thursday's high. The P&F chart looks very bearish with a $100 target. FYI: More aggressive traders may want to use a wider stop loss.

Picked on June 11 at $119.477
Change since picked: - 2.33
Earnings Date 08/02/07 (unconfirmed)
Average Daily Volume = 344 thousand

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Gilead Sciences - GILD - cls: 78.92 chg: -0.30 stop: 82.55

If yesterday's failed rally near $80 wasn't a good enough entry point to buy puts in GILD then the stock offered another entry point today. The stock has produced its second failed rally in as many days near $80.25. Our target is the $75.25-72.50 range. FYI: The stock is set to split 2-for-1 on June 25th. The P&F chart shows a new quadruple bottom breakdown sell signal with a $71 target.

Picked on June 07 at $ 79.90
Change since picked: - 1.08
Earnings Date 07/18/07 (unconfirmed)
Average Daily Volume = 4.1 million

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S&P 100 Index - OEX - cls: 686.16 chg: -7.57 stop: 700.25

The OEX looks pretty ugly here. The index has produced a bearish reversal pattern over the last three sessions. The OEX also closed near its lows for the session, which is normally a bearish signal for tomorrow morning. We have two targets. Our first target is $685 just above the rising 50-dma. Our second target is the $681-680 range. Really aggressive traders may want to hang on and aim for a decline toward $675. Trading the OEX is not for everyone so we consider this a higher-risk, more aggressive play.

Picked on June 11 at $693.73
Change since picked: - 7.57
Earnings Date 00/00/00
Average Daily Volume = 1270

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QUALCOMM - QCOM - cls: 41.81 change: +0.42 stop: 44.05

Hmm.... QCOM bucked the market's trend on Tuesday. Bulls bought the dip near $41.00 for the third day in a row. The afternoon rally did stall near its descending 10-dma. The 10-dma has been resistance for a couple of weeks now. More conservative traders may want to wait for a decline under $41.00 before opening positions. We're aiming for the $37.00-36.00 range.

Picked on June 10 at $ 41.87
Change since picked: - 0.06
Earnings Date 07/18/07 (unconfirmed)
Average Daily Volume = 18.0 million

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Regency Centers - REG - cls: 73.52 chg: -1.16 stop: 77.76

REG continues to sink. The stock lost 1.5% and is nearing the May lows. There is some support near $72.50 but our target is the $70.50-70.00 range.

Picked on June 11 at $ 74.68
Change since picked: - 1.16
Earnings Date 08/01/07 (unconfirmed)
Average Daily Volume = 374 thousand

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Vital Images - VTAL - cls: 25.64 chg: -0.38 stop: 29.05

VTAL sank to another new relative low at $25.38 intraday. More conservative traders may want to tighten their stops a bit. Our target is the $25.15-25.00 range.

Picked on May 16 at $ 27.99
Change since picked: - 2.35
Earnings Date 04/26/07 (confirmed)
Average Daily Volume = 191 thousand
 

Strangle Updates

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Dropped Calls

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Dropped Puts

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Dropped Strangles

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