CALL Play Updates

Fluor Corp. - FLR - close: 56.00 change: +0.41 stop: 48.45

FLR is still showing some relative strength. We'll see how it holds up if the market continues to correct tomorrow. We are still waiting for a dip with the entry point at $51.00. If triggered our first target is $54.80. Our second target is $59.00.

Picked on     July xx at $ xx.xx <-- TRIGGER @ 51.00
Change since picked:      + 0.00
Earnings Date           08/10/09 (confirmed)
Average Daily Volume =       2.4 million  
Listed on  July 25, 2009         


Euro Currency ETF - FXE - close: 143.51 chg: -0.58 stop: 139.95

The euro and the pound both declined today as investors reacted to cautious comments from the Bank of England and the European Central Bank. Both banks are still concerned about deflation. I don't see any changes from our previous comments. I am not suggesting new bullish positions at this time.

Our first target is $144.50. Our second target is $148.50. The P&F chart is bullish with a $168 target.

Picked on     June 23 at $140.76
Change since picked:      + 2.75
Earnings Date           00/00/00
Average Daily Volume =       461 thousand    
Listed on  June 23, 2009         


Gold Miner ETF - GDX - close: 40.85 change: -0.10 stop: 36.90

Gold futures were down on some dollar strength and the gold miners followed it. Thus far the GDX has been bouncing around the $40-42 zone this week. Aggressive traders may want to buy calls on the intraday bounce and just raise your stop loss a bit. GDX has already exceeded our first target. Our second target is $44.00.

Picked on     July 13 at $ 36.49 /gap higher entry
                               /originally listed at $35.93
Change since picked:      + 4.35
            gap higher exit   /1st target hit @ 39.95 (+9.4%)
Earnings Date           00/00/00
Average Daily Volume =       6.8 million  
Listed on  July 13, 2009         


IDEXX Labs - IDXX - close: 50.20 change: -0.55 stop: 44.95

It was a relatively quiet day for IDXX. The stock bounced from the $50 level a couple of times. Upward momentum is waning. I'm not suggesting new positions at these levels. Wait for a dip. Currently we have two strategies for IDXX.

Aggressive strategy: Entry point at $51.10. Stop loss at $48.99. Our first target is $54.85. I suggest very small positions sizes (about 1/4 of your normal trading size).

Original plan is to buy calls at $47.50 with a stop at $44.95. If triggered at $47.50 our first target is $52.00. Our second target is $54.90. Our time frame is four to eight weeks.

*Aggressive Strategy*
Entry on    August 05 at $ 51.10 *stop loss @ 48.99   
Change since picked:      - 0.90

*Original Strategy*
Picked on     July xx at $ xx.xx <-- TRIGGERs @ 47.50 
Change since picked:      + 0.00
Earnings Date           07/24/09 (confirmed)
Average Daily Volume =       383 thousand 
Listed on  July 25, 2009         


J.C.Penney - JCP - close: 31.40 change: +0.57 stop: 28.40

JCP displayed some strength today. Several major retailers reported their July same-store sales numbers. Analysts were expecting JCP to see -11.4% sales growth. JCP's real numbers were -12.3% but the company raised their earnings guidance for the current quarter to a -0.01 loss compared to analysts' estimates for a loss of 8 cents. The positive guidance fueled the rally this morning. I would wait for dips near $30.00 before launching new call positions.

Our first target is $32.75. Our second target is $34.90. I would be tempted to aim higher but JCP is due to report earnings on August 14th and we do not want to hold positions over the announcement. Traders should consider this a more aggressive bullish play with the market overbought. I would trade half your normal position size.

Picked on   August 03 at $ 31.05 *triggered /gap higher entry
Change since picked:      + 0.35
Earnings Date           08/14/09 (confirmed)
Average Daily Volume =       5.5 million  
Listed on August 01, 2009         


Legg Mason - LM - close: 28.25 change: +0.13 stop: 23.99

Nothing has changed for our LM play. We are waiting for LM to correct back toward support near $25.00. Our trigger is $25.55. If triggered our first target is $29.75. Our second target is $33.40. My time frame is four to eight weeks.

Picked on     July xx at $ xx.xx <-- TRIGGER 25.55
Change since picked:      + 0.00
Earnings Date           07/20/09 (confirmed)
Average Daily Volume =       3.4 million  
Listed on  July 25, 2009         


Lorillard Inc. - LO - close: 72.87 change: +1.08 stop: 69.45

LO showed relative strength with a 1.5% gain thanks to some positive analyst comments this morning. We are still waiting for a dip near $70.00 with a trigger to buy calls at $70.50. Our first target is $74.50. Our second target is $77.00.

Picked on   August xx at $ xx.xx <-- see TRIGGER
Change since picked:      + 0.00
Earnings Date           07/27/09 (confirmed)
Average Daily Volume =       1.5 million  
Listed on August 01, 2009         


S&P 100 index - OEX - close: 463.47 change: -2.74 stop: 458.10

I am expecting some fireworks tomorrow. The OEX will either hit our target or hit our stop loss based on the market's reaction to the jobs number. The plan is to exit at $469.00. More aggressive traders may want to aim for the 480 region.

Picked on     July 30 at $458.10 *triggered              
Change since picked:      + 5.37
Earnings Date           00/00/00 
Average Daily Volume =        xx 
Listed on  July 28, 2009         


Polaris - PII - close: 37.77 change: -0.21 stop: 31.95

There is no change for our PII play. We're waiting for a correction. The plan is to buy calls at $34.15. Our first target is $37.50. Our second target is $39.90. FYI: The Point & Figure chart is bullish with a $43.50 target.

Picked on     July xx at $ xx.xx <-- TRIGGER @ 34.15
Change since picked:      + 0.00
Earnings Date           07/16/09 (confirmed)
Average Daily Volume =       436 thousand 
Listed on  July 18, 2009         


Trina Solar - TSL - close: 28.45 change: -0.79 stop: 26.69

The action in TSL today is bearish. The stock spiked over $30.00 this morning but immediately failed near its Tuesday highs. The MACD on the daily chart is on the verge of a new sell signal. More conservative traders may want to raise their stops to just under $28.00. I am not suggesting new positions at this time.

This is a very aggressive, higher-risk trade and I suggested smaller than normal position sizes (1/2 to 1/4 the norm) because of our aggressive entry point. Our first target is $34.00.

Picked on   August 04 at $ 29.97
Change since picked:      - 1.52
Earnings Date           08/18/09 (unconfirmed)
Average Daily Volume =       1.7 million  
Listed on August 04, 2009         


PUT Play Updates

Genzyme - GENZ - close: 48.81 change: -0.35 stop: 52.55

The biotech sector was under performing today and GENZ lost another 0.7%. The stock is down five days in a row. Eventually shares will see an oversold bounce. Look for resistance at $50 and the $52 levels. Our first target to take profits is $45.25. Our second target is $41.00. The P&F chart is bearish with a $40 target.

Picked on   August 03 at $ 49.90 *triggered         
Change since picked:      - 1.09
Earnings Date           10/22/09 (unconfirmed)
Average Daily Volume =       3.9 million  
Listed on August 01, 2009         


Biotech Ishares - IBB - close: 76.55 change: -1.61 stop: 80.75

The correction in the IBB is picking up speed. Shares lost 2% today although volume remains light. I am adjusting our target down to $75.10 from $75.50. More aggressive traders may want to aim for the $74-73 area.

Picked on     July 30 at $ 79.44
Change since picked:      - 2.89
Earnings Date           00/00/00
Average Daily Volume =       892 thousand 
Listed on  July 30, 2009         


Lockheed Martin - LMT - close: 75.70 change: +1.38 stop: 77.05

Defense contractor ATK beat analyst's estimates and raised their earnings guidance this morning. This news fueled a bounce in shares of LMT. Look for a failed rally near $76.00 as a new entry point to buy puts. Or readers can wait for a new decline under $74.00. Our first target is $70.25. Our second target is $66.00. Currently the Point & Figure chart is bearish with a $65 target. FYI: More conservative traders might want to consider a tighter stop just above the $76.00 level.

Picked on   August 05 at $ 74.32
Change since picked:      + 1.38
Earnings Date           10/21/09 (unconfirmed)
Average Daily Volume =       3.4 million  
Listed on August 05, 2009         


QQQ ProShares - QLD - close: 44.48 change: -0.78 stop: 46.55

It looks like the correction has already began but the real fireworks probably start tomorrow with the jobs report. If the jobs report is stronger than expected the market will probably rally and the QLD will likely hit our stop loss. We want to trade very small position sizes given the aggressive nature of this play. Our target is $40.50.

Picked on     July 30 at $ 44.89 
Change since picked:      - 0.41
Earnings Date           00/00/00 
Average Daily Volume =      13.5 million  
Listed on  July 30, 2009         


VistaPrint - VPRT - close: 41.97 change: -0.85 stop: 42.05

VPRT is starting to contract again but volume was pretty low today as investors wait for the jobs report tomorrow. Thursday's action looks like another entry point for our aggressive trade. Our normal trade remains unopened.

Aggressive strategy: Buy puts in the $42.00-44.00 zone with a stop loss at $44.05. Targets at $35.20 and $31.50.

Original strategy: Buy puts with a trigger at $38.80. Stop loss at $42.05. If triggered at $38.80 our first target is $35.20. Our second target is $31.50.

Picked on   August xx at $ xx.xx <-- TRIGGER @ 38.80
Change since picked:      + 0.00
Earnings Date           07/30/09 (confirmed)
Average Daily Volume =       1.3 million  
Listed on August 01, 2009         

*Aggressive Trade (small position 1/2 to 1/4 your normal size)*
Picked on   August 04 at $ 42.59   (stop loss @ 44.05)
Change since picked:      - 0.62


Wynn Resorts - WYNN - close: 55.59 change: -0.98 stop: 60.26

So far so good. The short-squeeze rally in WYNN looks like it's losing steam. Shares rose to $58.70 this morning before sinking 1.7%. I'm not suggesting new positions right this moment. Let's see what happens after the jobs report. However, if WYNN produces a failed rally under $60.00 again I would jump on it as a new entry point to buy puts. Due to the high-risk nature of the trade I am suggesting very small position sizes at least 1/2 to 1/4 your normal trade. Our first target is $51.00. Our second target is $48.00.

Picked on   August 05 at $ 56.57
Change since picked:      - 0.98
Earnings Date           10/29/09 (unconfirmed)
Average Daily Volume =       4.7 million  
Listed on August 05, 2009         


Strangle & Spread Play Updates

(What is a strangle? It's when a trader buys an out-of-the-money (OTM) call and an OTM put on the same stock. The strategy is neutral. You do not care what direction the stock moves as long as the move is big enough to make your investment profitable.)

McDonald's - MCD - close: 54.84 change: -0.25 stop: n/a

MCD is starting to inch lower. We're not suggesting new strangle positions at this time.

I suggested the August $60 calls (MCD-HL) and the August $55 puts (MCD-TK). Our estimated cost is $1.25 (0.70 + 0.55). We want to sell if either option hits $2.75 or higher. This may take a few weeks to succeed.

Picked on     July 18 at $ 57.84
Change since picked:      - 3.00
Earnings Date           07/23/09 (unconfirmed)
Average Daily Volume =       7.8 million  
Listed on  July 18, 2009         


CLOSED BULLISH PLAYS

Valmont Industries Inc. - VMI - cls: 77.57 chg: +2.13 stop: 69.94

Our aggressive bet on VMI paid off today. The stock was upgraded this morning and shares gapped open higher and quickly spiked to $81.84. Our target to exit was $78.50. The play is closed.

Chart:

Picked on   August 03 at $ 72.98 /gap down entry
                               /originally listed at $73.88
Change since picked:      + 5.52 <-- target hit @ 78.50 (+7.5%)
Earnings Date           07/21/09 (confirmed)
Average Daily Volume =       414 thousand 
Listed on August 03, 2009         


CLOSED BEARISH PLAYS

LEAP Wireless - LEAP - close: 22.59 change: -1.58 stop: 26.05

It looks like an earnings miss from MetroPCS (PCS) this morning sparked a gap down decline in shares of LEAP today. LEAP opened at $22.20 and sank to $18.76 before paring its losses. Our target to exit was $23.25 so our play was closed at the open.

Chart:

Picked on     July 17 at $ 26.80 *triggered    
Change since picked:      - 4.60 <-- gap down exit
                             /exit @ 22.20 (-17.1%)
Earnings Date           08/06/09 (confirmed) 
Average Daily Volume =       2.2 million  
Listed on  July 16, 2009