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Call Updates

Ashland - ASH - cls: 63.05 change: +0.09 stop: 59.95

ASH suffered some profit taking this morning but broken resistance turned into new support near $62.00 and traders bought the dip. The stock ended up 0.14% by the closing bell. Shares are nearing potential technical resistance at the 100-dma. We're not suggesting new positions at this time. Our target is the 200-dma (currently at $64.48). More aggressive traders may want to aim higher but we would not hold over the late July earnings report.

Picked on June 10 at $ 61.49
Change since picked: + 1.56
Earnings Date 07/23/07 (unconfirmed)
Average Daily Volume = 657 thousand

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Avery Dennison - AVY - cls: 66.70 chg: +0.07 stop: 64.19

AVY also experienced some profit taking this morning but bulls defended the stock at $66.00 and bought the dip. We cautioned readers yesterday that AVY looked poised to dip toward $66.00. The bounce from AVY's intraday low looks like a new entry point. More conservative traders might still want to tighten their stops toward $64.80-65.00. Our target is the $69.75-70.00 range.

Picked on June 11 at $ 66.05
Change since picked: + 0.65
Earnings Date 07/24/07 (unconfirmed)
Average Daily Volume = 728 thousand

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BP Plc. - BP - close: 69.71 change: +0.44 stop: 67.85

BP gapped open higher this morning but the early rally failed to push shares past resistance at $70.00. We don't see any changes from our weekend comments. We are sticking to our plan and waiting for a breakout over resistance at $70.00. We are suggesting a trigger to buy calls at $70.25. If triggered our target is the $74.85-75.00 range. We do see some resistance near $73.50. Friday's rally hit an intraday high of $70.05 and that move over $70.00 has produced a new triple-top breakout buy signal on the Point & Figure chart with a $90.00 target. More aggressive traders may want to aim higher than our $75 target but keep in mind that we plan to exit ahead of the late July earnings report.

Picked on June xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 07/24/07 (unconfirmed)
Average Daily Volume = 3.5 million

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Central Euro. Media - CETV - cls: 94.98 chg: +1.48 stop: 89.75*new*

Shares of CETV displayed relative strength again. The stock rose more than 1.5% and did so on above average volume. CETV is nearing potential resistance at the $95.00 mark and its May highs in the $96-97 range. We are aiming for a rally into the $99.00-100.00 range. The P&F chart is bullish with a $103 target. FYI: Please note that we're adjusting the stop loss to $89.75.

Picked on June 17 at $ 92.75
Change since picked: + 2.23
Earnings Date 08/02/07 (unconfirmed)
Average Daily Volume = 124 thousand

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Chevron Corp. - CVX - close: 83.29 chg: -0.10 stop: 79.90

Traders bought the initial dip toward $83.00 this morning. While we remain bullish on the stock our comments from yesterday still stand. Nimble traders might want to try and buy a dip in the $82-83 zone. More conservative readers may want to wait for a rally past $84.00 before jumping in. Our target is the $89.00-90.00 range. The P&F chart is very bullish with a $120 target.

Picked on June 18 at $ 83.75
Change since picked: - 0.46
Earnings Date 07/27/07 (unconfirmed)
Average Daily Volume = 9.1 million

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Deere Co - DE - close: 121.63 change: -0.39 stop: 117.45

Investors bought the dip in DE near $120 this morning. More aggressive or nimble traders may want to buy today's intraday rebound; it definitely looks like a potential entry point for new calls. We are sticking to our plan. We're suggesting a trigger to buy calls at $123.55. If we are triggered at $123.55 we will have two targets. Our first target is the $129.50-130.00 range. Our second target is the $134-135 range. The P&F chart is bullish with a $152 target.

Picked on June xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 08/15/07 (unconfirmed)
Average Daily Volume = 2.6 million

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General Dynamics - GD - cls: 80.36 change: +0.80 stop: 78.35

GD turned in a 1% bounce and closed back above the $80.00 level. However, we remain cautious on the stock. Wait for a new rally past $81.00 or better yet a new relative high over $81.35 before considering new call positions.

Picked on June 10 at $ 80.58
Change since picked: - 0.22
Earnings Date 07/18/07 (unconfirmed)
Average Daily Volume = 1.3 million

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Global SantaFe - GSF - cls: 72.76 chg: +0.41 stop: 66.65

Oil service stocks continued to rally into record highs on Tuesday. GSF hit an intraday high of $73.88 before paring its gains. The stock, and the sector, are looking a bit short-term overbought. More conservative traders may want to lock in a gain here and take some money off the table. We're not suggesting new positions. Our target is the $74.50-75.00 range.

Picked on June 03 at $ 68.86
Change since picked: + 3.90
Earnings Date 08/01/07 (unconfirmed)
Average Daily Volume = 4.8 million

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China Life - LFC - cls: 52.31 chg: +0.47 stop: 47.95

The rally in the Chinese markets stalled a bit on Tuesday. Yet shares of LFC continued to rally with a 0.9% gain for its New York-traded ADRs. The strength may have been influenced by one analyst firm upgrading the stock from a "sell" to a "hold". Volume drop back toward average levels. More conservative traders may want to lock in a gain here. Our target is the $54.00-55.00 range.

Picked on June 14 at $ 48.25
Change since picked: + 4.06
Earnings Date 08/25/07 (unconfirmed)
Average Daily Volume = 1.0 million

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Manpower - MAN - cls: 92.30 change: +0.18 stop: 89.90

We do not see any changes from our weekend new play description for MAN. Currently shares of MAN are consolidating under resistance at $94.00. Therefore we're suggesting a trigger to buy calls at $94.15. If triggered our target is the $99.50-100.00 range. We'll start with a stop loss at $89.90 but more conservative traders may want to use a tighter stop in the $91.25-91.50 range. MAN's P&F chart points to a $110 target.

Picked on June xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 07/20/07 (unconfirmed)
Average Daily Volume = 829 thousand

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PACCAR - PCAR - cls: 90.27 change: +1.12 stop: 85.95

Traders bought the dip in PCAR near $88.50 this morning. The rebound back above the $90 level looks like a new entry point to buy calls. More conservative traders may want to wait for a rally past $92.00 before considering new positions. Our target is the $99.00-100.00 range. The P&F chart points to a $106 target. We do not want to hold over the late July earnings report.

Picked on June 17 at $ 90.66
Change since picked: - 0.39
Earnings Date 07/24/07 (unconfirmed)
Average Daily Volume = 1.7 million

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Penn National Gaming - PENN - cls: 63.23 chg: +0.66 stop: n/a

There hasn't been any new news following Friday's buyout announcement for PENN. Yet the stock is still inching higher. We are speculating that there will be more suitors making bets to acquire PENN. It's a high-risk bet. If another bidder fails to show up then any out-of-the-money calls will evaporate pretty quickly. FYI: August strikes are now available.

Picked on June 17 at $ 62.12
Change since picked: + 1.11
Earnings Date 07/26/07 (unconfirmed)
Average Daily Volume = 1.0 million

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SanDisk - SNDK - cls: 47.62 change: +0.31 stop: 43.45

SNDK is still creeping higher. Shares rose 0.65% and hit another new relative high. If there is a dip we would expect the $46 region to act as short-term support. A pull back near $46 would be a good spot to buy calls again. We have two targets. Our conservative target is the $49.50-50.00 range. Our aggressive target is the $52.50-55.00 range, which might be too optimistic given our time frame. We don't want to hold over the mid July earnings report.

Picked on June 17 at $ 46.40
Change since picked: + 1.22
Earnings Date 07/19/07 (unconfirmed)
Average Daily Volume = 7.6 million

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SunPower - SPWR - cls: 57.70 change: -0.67 stop: 52.49

Today's dip in SPWR looks like another entry point to buy calls. However, if you're patient we might see another dip soon toward the $56 region, which could also be used as a new entry point for calls. Our target is the $64.00-65.00 range. The P&F chart points to a $70 target. We do not want to hold over the mid July earnings report.

Picked on June 17 at $ 57.94
Change since picked: - 0.24
Earnings Date 07/19/07 (unconfirmed)
Average Daily Volume = 1.5 million

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Valero Energy - VLO - cls: 76.74 chg: -0.56 stop: 73.45

We cautioned readers yesterday to look for a pull back near $76.00. The low today was $76.36. While today's dip might be a new entry point the pull back may not be over yet. More conservative traders may want to wait for confirmation with a rise past $78.00 as a new entry point. Our target is the $84.50-85.00 range. The P&F chart currently points to an $88 target.

Picked on June 18 at $ 77.55
Change since picked: - 0.81
Earnings Date 07/26/07 (unconfirmed)
Average Daily Volume = 13.2 million

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XTO Energy - XTO - cls: 63.33 chg: +0.18 stop: 58.95

XTO bounced from its early morning low near $62.50. We don't see any changes from our weekend comments. We are not suggesting new positions at this time. More conservative traders will want to strongly consider taking some profits right here! Our target is the $64.75-67.50 range.

Picked on May 27 at $ 57.63
Change since picked: + 5.70
Earnings Date 07/25/07 (unconfirmed)
Average Daily Volume = 3.2 million
 

Put Updates

Allegheny Tech - ATI - cls: 111.10 chg: +1.98 stop: 112.15

We have to issue a "warning" for ATI. The stock bounced from its rising 100-dma and shares produced a bullish engulfing (reversal) candlestick pattern. ATI still has overhead resistance near $112 but if the market can rally higher tomorrow we'd expect ATI to breakout and stop us out. We have been suggesting that readers wait for a new decline under $107.75 or $107.50 before opening new put positions. More conservative traders may want to wait for a new decline under $106. We have two targets for ATI. Our first target is the $100.50-100.00 range. Our second target is the $95.50-95.00 range. More aggressive traders may want to aim for the simple 200-dma (currently near $92). Currently the P&F chart is bearish with a $94 target.

Picked on June 12 at $106.70
Change since picked: + 4.40
Earnings Date 07/25/07 (unconfirmed)
Average Daily Volume = 2.1 million

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Gilead Sciences - GILD - cls: 80.80 chg: +0.29 stop: 82.55

It's not looking good for the bears. There was no follow through lower after yesterday's bearish reversal pattern. GILD dipped to $79.54 but bulls rushed in to buy the pull back. More conservative traders may want to tighten their stops. The $82.00-82.20 level is overhead resistance. Our target is the $75.25-72.50 range. FYI: The stock is set to split 2-for-1 on June 25th.

Picked on June 07 at $ 79.90
Change since picked: + 0.90
Earnings Date 07/18/07 (unconfirmed)
Average Daily Volume = 4.1 million

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Las Vegas Sands - LVS - cls: 76.79 chg: +1.01 stop: 80.26

LVS produced an oversold bounce on Tuesday. We would watch for a failed rally near its 10-dma (around $78.00-78.25) as a new bearish entry point to buy puts. More conservative traders may want to wait for a new relative low under $75.00 before buying puts. Our target is the $70.50-70.00 range. More aggressive traders may want to aim lower. FYI: More conservative traders may want to avoid opening new put positions if the major market indices breakout to new highs.

Picked on June 17 at $ 76.78
Change since picked: + 0.01
Earnings Date 08/01/07 (unconfirmed)
Average Daily Volume = 3.0 million

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Mettler Toledo - MTD - cls: 96.84 chg: -0.73 stop: 99.11

We didn't have to wait long for MTD to breakdown. The stock gapped open lower at $97.00 and dipped to $95.62 before bouncing. Unfortunately, we cannot find the catalyst to explain this morning's sudden weakness. We're not going to complain but it would be nice to know what caused the spike lower. On a positive note the rebound struggled near $97.00 as broken support suddenly turns into new resistance. We would consider new put positions right here or on another decline below $96.50. More conservative traders may want to wait for a decline under $95.00 before initiating positions. Our target is the $90.50-90.00 range. Traders will also need to keep an eye on the 100-dma, near $92.60, as possible support. It's worth noting that this looks like a significant breakdown from its long-term rising channel. FYI: The P&F chart has reversed into a new triple-bottom breakdown sell signal with a $91 target.

Picked on June 19 at $ 96.75
Change since picked: + 0.09
Earnings Date 07/26/07 (unconfirmed)
Average Daily Volume = 215 thousand

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QUALCOMM - QCOM - cls: 42.69 change: +0.36 stop: 44.05

We are starting to see a bullish turnaround developing in QCOM's short-term technical indicators. While it's something we should note we're not going to worry about it as long as shares remain under $43.00. Even if QCOM breaks out past $43.00 the stock appears to have resistance at its 50-dma near $43.50 and again near $44.00. More conservative types can wait for a decline under $41.00 before buying puts. We're aiming for the $37.00-36.00 range.

Picked on June 10 at $ 41.87
Change since picked: + 0.82
Earnings Date 07/18/07 (unconfirmed)
Average Daily Volume = 18.0 million

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Regency Centers - REG - cls: 72.83 chg: +0.39 stop: 77.76

REG gapped down to $72.04 but managed a late day rebound back into the green. Volume was pretty high today and that might indicate the bounce isn't over yet. Another failed rally under $75.00 could be a new entry point for puts. Our target is the $70.50-70.00 range. More conservative types may want to tighten their stops toward the $75 level.

Picked on June 11 at $ 74.68
Change since picked: - 1.85
Earnings Date 08/01/07 (unconfirmed)
Average Daily Volume = 374 thousand

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Weyerhauser - WY - cls: 81.21 chg: -0.32 stop: 82.05

There is no change from our previous comments on WY. Currently we're suggesting a trigger to buy puts at $79.49. If we are triggered our target is the $75.00-74.00 range. The $75 level is likely to be psychological support and the $74 level was support back in March. The Point & Figure chart looks very bearish with a $61 target.

Picked on June xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 08/03/07 (unconfirmed)
Average Daily Volume = 2.1 million
 

Strangle Updates

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Dropped Calls

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Dropped Puts

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Dropped Strangles

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