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Call Updates

China Security - CSR - close: 22.12 change: -0.13 stop: 19.99

Once again traders bought the intraday dip in CSR. This bounce looks like another entry point to buy calls. This is an aggressive play due to the stock's volatility. We're using a very wide stop loss at $19.99. More conservative traders may want to use a stop closer to $21.00. We have two targets. Our first target is the $26.00 level. Our second target is the $29.00 level. The P&F chart is bullish with a $34 target.

Picked on December 16 at $ 23.25
Change since picked: - 1.13
Earnings Date 01/24/08 (unconfirmed)
Average Daily Volume = 525 thousand

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Energizer - ENR - close: 114.57 chg: +1.36 stop: 109.95

Traders continued to buy the dip in ENR and today's afternoon rebound looks like a new bullish entry point. More conservative traders may want to raise their stop toward $112.50. Our target has been the $119.00-120.00 range and shares hit $118.88 on Wednesday last week. FYI: The P&F chart has a very bullish pattern called a bullish triangle breakout and it is forecasting a $157 target.

Picked on November 26 at $112.75 *triggered
Change since picked: + 1.82
Earnings Date 01/28/08 (unconfirmed)
Average Daily Volume = 511 thousand

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Holly Corp. - HOC - close: 51.13 change: +0.93 stop: 44.95

HOC continues to show relative strength. Today's intraday bounce and close above $50.00 looks like another bullish entry point to buy calls. More conservative traders could raise their stop losses toward $48.00. Our target on HOC is the $54.75-55.00 range.

Picked on December 03 at $ 50.58 *bad tick/gap open
Change since picked: + 0.55
Earnings Date 02/12/08 (unconfirmed)
Average Daily Volume = 859 thousand
 

Put Updates

Amazon.com - AMZN - cls: 86.99 chg: +1.90 stop: 95.05

AMZN dipped to $83.86 before bouncing back. The oversold bounce could reach as high as the $90 level and its 10-dma. Another failed rally under $90 could be used as a new entry point for puts. We're adjusting our stop loss to $92.55. AMZN has already hit our initial target in the $85.25-85.00 range. Currently we're aiming for the $81.50-80.00 zone. The P&F chart is bearish with a $74 target.

Picked on December 16 at $ 89.08
Change since picked: - 2.09
Earnings Date 01/31/08 (unconfirmed)
Average Daily Volume = 8.8 million

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Boeing - BA - close: 87.17 change: -0.23 stop: 93.26

BA continues to look weak but we noted that very short-term technicals might be suggesting a bounce soon. We're not suggesting new positions at this time. We have two targets. Our first target is the $85.55-85.00 range. Our second target is the $81.50-80.00 zone. The P&F chart is bearish with a $75 target.

Picked on December 04 at $ 91.43 *triggered/gap down
Change since picked: - 4.26
Earnings Date 01/31/08 (unconfirmed)
Average Daily Volume = 7.0 million

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Genentech - DNA - close: 67.29 chg: -0.28 stop: 70.85

Shares of biotech giant DNA continue to show relative weakness. However, we noted that very short-term technicals might be suggesting a bounce soon. A failed rally in the $68.50-70.00 zone can be used as a new entry point for puts. Our target is the $62.50-60.00 range. The main hurdle for the bears is support near $65.50. More conservative traders could do some profit taking near $65.00.

Picked on December 16 at $ 68.43
Change since picked: - 1.14
Earnings Date 01/10/08 (unconfirmed)
Average Daily Volume = 4.3 million

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Garmin - GRMN - close: 94.41 chg: -7.41 stop: 107.25 *new*

Target exceeded! GRMN crashed through support near $100 and traded past our first target in the $96.00-95.00 range and almost hit our second, more aggressive target at $91.00-90.00. The news behind the move was a report out that showed GRMN had lost market share in November. One news article quoted an industry analyst who downplayed the news suggesting that GRMN always loses market shares in November because the company offers fewer incentives for Black Friday and that market share would return in December. We're not suggesting new positions at this time. Please note our new stop loss at $107.25.

Picked on December 11 at $104.78
Change since picked: -10.37
Earnings Date 02/14/08 (unconfirmed)
Average Daily Volume = 6.2 million

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Sears Holding - SHLD - cls: 105.69 chg: +1.70 stop: 115.05*new*

SHLD produced an oversold bounce today and we don't think it's over yet. Look for a failed rally in the $109-110 range as a new bearish entry point for puts. We are adjusting our stop loss to $115.05. We have two targets. Our first target is the $100.50-100.00 range. Our second more-aggressive target is the $92.50-90.00 zone. The P&F chart is bearish with a $78 target.

Picked on December 11 at $110.28
Change since picked: - 4.59
Earnings Date 10/27/07 (unconfirmed)
Average Daily Volume = 3.3 million

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Shire Plc - SHPGY - close: 67.61 change: +0.14 stop: 73.51

SHPGY continues to struggle under short-term resistance near $68.00. The lack of a bigger bounce is a good sign for the bears. A failed rally near $70.00 would be our preferred entry point to buy puts again. Our initial target is the $65.25-65.00 range although we're considering a more aggressive target in the $62-60 region. FYI: Any time we play a biotech or even a drug stock we're dealing with a higher-risk situation. We are at risk that some FDA decision or some clinical trial news could send the stock gapping one direction or the other.

Picked on December 13 at $ 68.07 *triggered/gap down entry
Change since picked: - 0.46
Earnings Date 02/00/08 (unconfirmed)
Average Daily Volume = 956 thousand
 

Strangle Updates

None
 

Dropped Calls

None
 

Dropped Puts

Agrium - AGU - close: 56.35 change: -2.07 stop: 65.01

Target exceeded! Right on cue AGU traded lower. The stock performed another failed rally near $60.00 this morning. Early morning weakness pulled AGU to an intraday low of $54.40. Our target was the $55.10-55.00 range. Shares closed with a 3.5% loss and produced a bearish engulfing candlestick pattern. Volume was pretty strong on the sell-off. More aggressive traders may want to aim for the 100-dma near $52.50.

Picked on December 11 at $ 59.66
Change since picked: - 3.31
Earnings Date 01/31/08 (unconfirmed)
Average Daily Volume = 1.6 million
 

Dropped Strangles

None
 

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