We had a couple of targets hit today. I'm updating several new stop losses and a few upside targets.


CALL Play Updates

Amazon.com - AMZN - close: 94.68 change: -0.64 stop: 92.75

Bulls should be worried. AMZN did not participate in the market's rally today. Shares edged higher at the open but spent the session trading lower. Are investors starting to worry about a price war? Over the weekend I mentioned a price war on select new books between Wal-mart and AMZN with both companies dropping the price to $9.00. Now Target (TGT) is getting in on the action with an announcement today that TGT will sell certain hardcovers for $8.99. I think I'll be buying a few books this holiday season!

The much better than expected AAPL earnings news could bleed over into stocks like AMZN tomorrow. I am suggesting that we exit our AMZN call play tomorrow (Tuesday) at the closing bell. More aggressive traders may want to stick with it.

Picked on   October 08 at $ 95.05
Change since picked:       - 0.37
Earnings Date            10/22/09 (confirmed)
Average Daily Volume =        6.2 million  
Listed on   October 07, 2009         


Apollo Group - APOL - close: 73.91 change: -0.07 stop: 71.90

APOL did not participate in the market's strength today either. I would turn more defensive on this stock. More conservative traders may want to up their stops or start scaling out of positions.

Our first target is $79.90. This should be a short-term play as we plan to exit ahead of the October 27th earnings report. FYI: The Point & Figure chart is bullish with a $95 target.

Picked on   October 14 at $ 75.25
Change since picked:       - 1.34
Earnings Date            10/27/09 (unconfirmed)
Average Daily Volume =        2.6 million  
Listed on   October 13, 2009         


AvalonBay - AVB - close: 74.28 change: +2.23 stop: 69.95 *new*

AVB erased most of Friday's losses with a 3.0% rally on Monday. Shares challenge resistance at $75.00 again but failed to breakout. The $72.00 level has become new short-term support. More conservative traders may want to raise theirs stop near the $72 mark. I'm raising our stop to $69.95.

Our first target is $77.75. More aggressive traders could aim higher but we don't want to hold over the early November earnings report.

Picked on   October 08 at $ 72.60
Change since picked:       + 1.68
Earnings Date            11/04/09 (unconfirmed)
Average Daily Volume =        1.8 million  
Listed on   October 07, 2009         


Core Labs - CLB - close: 109.04 change: +1.27 stop: 105.90 *new*

Target achieved. Strength in oil continues to fuel a rally in the oil service stocks. CLB hit $110.34 today. Our first target to take profits was $109.90. I am raising our stop loss to $105.90. The plan is to exit at the close on Wednesday to avoid holding over earnings. Our second target is $114.50.

Chart:

Entered on  October 08 at $105.25
Change since picked:       + 3.79
                             /1st target hit @ 109.90 (+4.4%)
Earnings Date            10/21/09 (confirmed)
Average Daily Volume =        175 thousand 
Listed on September 23, 2009         


Consol Energy - CNX - close: 51.08 change: +1.43 stop: 47.49 *new*

CNX traded to new 2009 highs near $52.00 today. The stock closed with a 2.8% gain. Please note our new stop at $47.49 and our second target has been changed to $54.00.

More conservative traders may want to exit completely right now. We only have two days left for CNX. The company reports earnings on October 22nd before the opening bell. That means we need to exit on Wednesday at the closing bell.

CNX has already hit our first target at $48.50. Our second and final target is $54.00.

Picked on September 25 at $ 43.77 /gap down entry
Change since picked:       + 7.31
                                /1st target hit @ 48.50 (+10.8%)
Earnings Date            10/22/09 (confirmed)
Average Daily Volume =        3.0 million  
Listed on September 19, 2009         


Dril-Quip, Inc. - DRQ - close: 55.12 change: +0.65 stop: 49.45

DRQ set a new closing high with today's 1.1% gain. The stock is short-term overbought and I'm not suggesting new positions at this time.

DRQ has already hit our first target at $53.00. I am adjusting our second target down to $57.00. The Point & Figure chart is bullish with a $65.00 target.

Picked on September 28 at $ 48.50
Change since picked:       + 6.62
                              /1st target hit @ 53.00 (+9.2%)
Earnings Date            11/10/09 (unconfirmed)
Average Daily Volume =        282 thousand 
Listed on September 26, 2009         


EOG Resources - EOG - close: 94.35 change: +1.54 stop: 87.40 *new*

I would strongly consider taking profits again right here! EOG rallied to $94.53 this afternoon. Our second target is $94.75. I am raising our stop loss to $87.40. I'm not suggesting new positions at this time.

EOG has exceeded our first target at $89.90. Our second target is $94.75. We actually have a third target a $99.50 but that might be too optimistic given our time frame. We do not want to hold over the early November earnings report.

Picked on   October 07 at $ 85.24 /gap higher entry
                               /originally listed at $84.71
Change since picked:       + 9.11
                              /1st target hit @ 89.90 (+5.4%)
Earnings Date            11/03/09 (unconfirmed)
Average Daily Volume =        2.9 million  
Listed on   October 07, 2009         


Express Scripts - ESRX - close: 82.28 change: +0.93 stop: 77.75

ESRX continues to bounce from $80 and added 1.1%. Our second target is $84.95. We plan to exit ahead of the October 28th earnings report.

Picked on   October 06 at $ 77.42 /gap down entry
                              /originally listed at $78.04
Change since picked:       + 4.86
                             /1st target hit @ 82.50 (+6.6%)
Earnings Date            10/28/09 (confirmed)
Average Daily Volume =        2.1 million  
Listed on   October 06, 2009         


Flowserve - FLS - close: 106.78 change: +1.77 stop: 101.90 *new*

FLS rallied to new highs for the year with a 1.6% gain. I am raising our stop loss to $101.90. Our first target is $109.75.

We will plan to exit ahead of the late October earnings report.

Picked on   October 12 at $102.60
Change since picked:       + 4.18
Earnings Date            10/28/09 (unconfirmed)
Average Daily Volume =        1.2 million  
Listed on September 19, 2009         


Gold ETF - GLD - close: 104.23 change: +1.05 stop: 97.40

Another decline for the U.S. dollar lifted gold futures and the GLD gained 1%. If you're looking for new positions consider waiting for a dip near $100, which should offer support. Our plan calls for small positions to limit risk.

Our first target is $109.90. We are still contemplating a second, longer-term target.

Picked on   October 06 at $102.28
Change since picked:       + 1.95
Earnings Date            00/00/00
Average Daily Volume =       14.2 million  
Listed on   October 06, 2009         


Intercontinental Exchange - ICE - close: 106.03 chg: +0.19 stop: 94.90

After Friday's big rally I was expecting a pull back in ICE. Shares just traded sideways given the market's bullishness. I'm sticking to the plan.

Use a trigger at $101.00 to buy calls. We'll use a stop at $94.90. Our first target is $109.75. Our second target is $114.75. More aggressive traders could aim higher but we want to exit ahead of the November 3rd earnings report.

Picked on   October xx at $ xx.xx <-- TRIGGER @ $101.00
Change since picked:       + 0.00
Earnings Date            11/03/09 (confirmed)
Average Daily Volume =        1.3 million  
Listed on   October 17, 2009         


Mobile Telesys - MBT - close: 54.54 change: +1.95 stop: 49.75 *new*

Target achieved. MBT showed relative strength and gained 3.7% on the session. The stock hit $54.61. Our first target to take profits was at $54.50. I am raising our stop loss to $49.75.

Our second target is $59.00. We do not want to hold positions over the early November earnings report.

Chart:

Picked on   October 12 at $ 50.15
Change since picked:       + 4.39
                            /1st target hit @ 54.50 (+8.6%)
Earnings Date            11/05/09 (unconfirmed)
Average Daily Volume =        1.5 million  
Listed on   October 10, 2009         


Martin Marietta - MLM - close: 95.62 change: +2.62 stop: 91.19

Our play on MLM is open. The stock broke out over resistance at $95.00 and hit our trigger to buy calls at $95.15. I would still consider new bullish positions now in the $95.50-95.00 area. Our first target to take profits is at $99.90. More aggressive traders could aim for the September highs.

Chart:

Picked on   October 19 at $ 95.15
Change since picked:       + 0.47
Earnings Date            11/06/09 (unconfirmed)
Average Daily Volume =        418 thousand 
Listed on   October 15, 2009         


Transocean Ltd. - RIG - close: 92.70 change: +1.62 stop: 86.85

The strength in oil services allowed RIG to set a new closing high for the year. Our target is $99.50.

Picked on   October 15 at $ 90.94 /gap down entry
                             /originally listed at $91.48
Change since picked:       + 1.76
Earnings Date            11/04/09 (confirmed)
Average Daily Volume =        4.1 million  
Listed on   October 15, 2009         


Waters Corp. - WAT - close: 58.82 change: +1.35 stop: 54.90

WAT rallied to $59.00 intraday and closed with a 2.3% gain. Shares are within striking distance of our target at $59.50. More aggressive traders may want to aim higher!

I'm not suggesting new positions at this time. The plan was to use small position sizes (1/2 to 1/4 our normal size) to minimize risk. We do not want to hold over the October 27th earnings report.

Picked on September 28 at $ 55.43 *new entry
Change since picked:       + 3.39
Earnings Date            10/27/09 (confirmed)
Average Daily Volume =        809 thousand 
Listed on September 12, 2009         


Whirlpool Corp. - WHR - close: 73.76 change: +1.03 stop: 68.45

WHR Is still struggling with resistance near $74.00 but shares did set a new closing high for the year. The stock also hit our first target at $73.90 this afternoon.

We are down to our last three days. WHR reports earnings on Friday morning. The plan is to exit on Thursday at the closing bell (Oct. 22nd). More conservative traders may want to take profits now.

Our second target remains at $78.50.

Chart:

Picked on   October 10 at $ 70.50
Change since picked:       + 3.26
                               /1st target hit @ 73.90 (+4.8%)
Earnings Date            10/23/09 (confirmed)
Average Daily Volume =        1.5 million  
Listed on   October 10, 2009         


PUT Play Updates

BIOGEN IDEC - BIIB - close: 49.39 change: +0.19 stop: 52.15

BIIB produced another failed rally at the $50.00 level today. Tomorrow should be a volatile session. The company reports earnings before the opening bell. Wall Street is looking for a profit of $1.04 a share. This is a high-risk, aggressive play because we're choosing to hold over the report.

Our first target to take profits is at $44.50. Our second target is $40.50. FYI: The P&F chart is bearish with a $36 target.

Picked on   October 03 at $ 48.89
Change since picked:       + 0.50
Earnings Date            10/20/09 (confirmed)
Average Daily Volume =        2.6 million  
Listed on   October 03, 2009         


FUQI Intl. - FUQI - close: 27.38 change: +2.08 stop: 28.75

I suggested over the weekend that a better entry point would be a bounce back toward $27.00 and FUQI obliged us today. Shares gapped open at $26.05 and soared 8.2%. The rally was exacerbated by some positive analyst comments for the company's upcoming earnings report. The stock has resistance in the $28.00-28.50 zone but if the stock market continues to rally this resistance may not hold. Readers may want to wait for the rebound to roll over first before initiating new positions.

This is an aggressive trade and the plan was to use small positions (1/2 to 1/4 our normal trade size). Our first target is $22.00. Our second target is $20.25. The P&F chart is currently bearish with an $18.00 target. We'll plan to exit ahead of the mid November earnings report.

Picked on   October 17 at $ 26.05 /gap higher entry
                          /originally listed at $25.30
Change since picked:       + 1.23
Earnings Date            11/12/09 (unconfirmed)
Average Daily Volume =        1.3 million  
Listed on   October 17, 2009         


Netease.com - NTES - close: 39.36 change: +0.89 stop: 41.65

Both the U.S. and Chinese markets were in rally mode so it's not a surprise to see NTES bounce a little. A failed rally near $40.00 can be used as a new bearish entry point.

Our first target is $35.25. Our second target is $33.00, just above the simple 200-dma. We want to exit ahead of the mid November earnings report. FYI: The P&F chart is bearish with a $25 target.

Picked on   October 17 at $ 38.47
Change since picked:       + 0.89
Earnings Date            11/12/09 (unconfirmed)
Average Daily Volume =        2.7 million  
Listed on   October 17, 2009         


CLOSED BULLISH PLAYS

Caterpillar - CAT - close: 57.85 change: +3.28 stop: 51.90

Monday was the last day for our CAT call play and what an exciting finish! CAT was one of the best performers on the DJIA with a 6% rally. Our plan called for exiting positions at the closing bell tonight. Earnings are out tomorrow morning.

Chart:

Picked on   October 01 at $ 50.00
Change since picked:       + 7.85 <- early exit @ 57.85 (+15.7%)
Earnings Date            10/20/09 (confirmed)
Average Daily Volume =         10 million  
Listed on September 19, 2009         


Precision Cast Parts - PCP - cls: 104.72 change: +2.21 stop: 99.90

We are out of time. The plan was to exit any positions at the closing bell tonight. PCP reports earnings tomorrow morning. Shares of PCP were nice enough to rally for us and breakout over resistance near $104 again.

Chart:

Picked on   October 12 at $104.05
Change since picked:       + 0.68 <-- earl exit ahead of earnings
Earnings Date            10/20/09 (confirmed)
Average Daily Volume =        1.0 million  
Listed on   October 10, 2009