Editor's Note:

Tomorrow is an option expiration Friday. Currently investors are unhappy with the news from Google (GOOG) and the stock is down after hours. This could put pressure on technology stocks and the NASDAQ. Bank of America (BAC) reports earnings tomorrow morning. Financials have already been underperforming and BAC's results could accelerate the decline. Those sectors that aren't reacting to earnings news could see stocks gravitate to their nearest strike price and just hover there into the closing bell.

-James

Current Portfolio:


CALL Play Updates

CH Robinson Worldwide Inc. - CHRW - close: 75.39 change: +1.02

Stop Loss: 72.75
Target(s): 79.50
Current Option Gain/Loss: + 4.4%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/14 update: The transports ignored a bounce in oil prices and managed to eke out a gain. Shares of CHRW were showing relative strength with a strong +1.3% gain as it rallies off its 20-dma. CHRW is now testing potential resistance at its 100-dma. The trend for CHRW is improving. If you're looking for an entry point consider buying a dip near $74.00. I would keep your position size small to limit your risk.

We do not want to hold over the late April earnings report. FYI: The Point & Figure chart for CHRW is bullish with a $91 target.

- Suggested Positions -

Long the May $75.00 calls (CHRW1121E75) Entry @ $2.25

04/09 New stop loss @ 72.75

Entry on April 7th at $74.50
Earnings Date 04/26/11(confirmed)
Average Daily Volume = 1.2 million
Listed on April 2nd, 2011


Fortune Brands - FO - close: 63.22 change: +0.08

Stop Loss: 61.75
Target(s): 67.50, 69.75
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see trigger

Comments:
04/14 update: FO was showing some weakness this morning but managed to recover and close in positive territory. We only have a couple of weeks left before FO is expected to report earnings (still an unconfirmed date). I'm suggesting if FO does hit our trigger to keep our position size small to limit our risk.

The plan is to buy calls at $64.00. If triggered our targets are $67.50 and $69.75. I would aim higher but we do want to exit ahead of the late April earnings report.

FYI: A move past $64.00 would create a brand new quadruple top breakout buy signal.

Trigger @ $64.00 (Small Positions)

- Suggested Positions -

Buy the May $65.00 call (FO1121E65) current ask $1.25

Entry on April xxth at $ xx.xx
Earnings Date 04/28/11 (unconfirmed)
Average Daily Volume = 973 thousand
Listed on April 5th, 2011


Fossil Inc. - FOSL - close: 93.64 change: -1.04

Stop Loss: 91.95
Target(s): 99.75, 104.75
Current Option Gain/Loss: Unopened
Time Frame: 4 to 8 weeks
New Positions: Yes, see trigger

Comments:
04/14 update: FOSL spent the session churning sideways inside its $92-95 trading range. Aggressive traders could buy this intraday bounce from support near $92.00. The newsletter is suggesting readers wait for a breakout (see below).

I do consider this an aggressive trade since we're looking at bullish positions with the market's major indices still acting vulnerable to new declines. However, FOSL has been able to ignore the market's weakness thus far. I am suggesting we open small bullish positions with a trigger at $95.60. If triggered our first target is $99.75. The $100.00 mark is probably round-number, psychological resistance. We'll set a secondary target at $104.75 but that might be wishful thinking.

Trigger @ 95.60 (small positions only)

- Suggested Positions -

Buy the May $100 call (FOSL1121E100) current ask $2.65

- or -

Buy the June $100 call (FOSL1118F100) current ask $3.70

Entry on April xxth at $ xx.xx
Earnings Date 05/10/11 (unconfirmed)
Average Daily Volume = 858 thousand
Listed on April 13th, 2011


SPDR Gold ETF - GLD - close: 143.81 change: +1.91

Stop Loss: 137.00
Target(s): 149.50, 154.50
Current Option Gain/Loss: + 3.8%, and - 2.2%
2nd Option Position Gain/loss: +29.0% and +18.1%
Time Frame: 6 to 12 weeks
New Positions: see below

Comments:
04/14 update: Gold and silver surged higher on Thursday thanks in part to another drop in the U.S. dollar. The GLD is nearing its all-time high set last week near $144. I am not suggesting new positions here. We've had plenty of opportunity to buy the recent dips.

More conservative traders can tighten their stops closer to $139 or $140. The newsletter's stop is at $137.00. Our targets are $149.50 and $154.50 within the next six to twelve weeks.

FYI: The Point & Figure chart for GLD is bullish with a $172 target.

- Suggested Positions -

Long the May $145 call (GLD1121E145) Entry @ $1.84

- or -

Long the June $150 call (GLD1118F150) Entry @ $1.33

- Second Entry Point, April 12th, Entry April 13th -

Long the May $145 call (GLD1121E145) Entry @ $1.48

- or -

Longthe June $150 call (GLD1118F150) Entry @ $1.10

Entry on April 6th at $142.40
Earnings Date --/--/--
Average Daily Volume = 12.5 million
Listed on April 5th, 2011


Norfolk Southern - NSC - close: 66.98 change: -0.85

Stop Loss: 65.70
Target(s): 72.00, 74.90
Current Option Gain/Loss: -100.0%, and -46.4%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
04/14 update: NSC underperformed on Thursday thanks to an analyst "sell" rating this morning. The stock dipped to $66.32 before bouncing. I have been suggesting readers wait for a dip near $66 before considering new positions. You could still wait for a pull back closer to $66.00 or wait for NSC to break the two-week trend of lower highs before initiating positions.

Our targets are $72.00 and $74.90. We do not want to hold past NSC's late April earnings report.

- Suggested Positions -

Long the April $70 calls (NSC1116D70) Entry @ $0.50

- or -

Long the May $70 calls (NSC1121E70) Entry @ $1.40

04/09 New stop loss @ 65.70

Entry on March 25th at $67.84
Earnings Date 04/27/11 (unconfirmed)
Average Daily Volume = 3.0 million
Listed on March 24th, 2011


Panera Bread Co. - PNRA - close: 123.42 change: +0.04

Stop Loss: 119.00
Target(s): 129.50, 134.50
Current Option Gain/Loss: - 92.6%, and -23.8%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
04/14 update: Shares of PNRA swooned lower this morning but traders bought the dip at $120.65. It looks like our April options are going to expire worthless. If we're lucky and PNRA rallies above $125.00 then obviously we'll sell them at the closing bell tomorrow.

If you're looking for a new entry point a rise past $124.00 could be a trigger to buy May calls. Our final target for the May calls is $134.50 but we do not want to hold over the April 26th earnings report.

FYI: PNRA is currently trading over the $120 area. The last time the company had a stock split it was back in June 2005 with shares in the $120s. You never know when they might announce a split although if they do it would probably be with their earnings report.

- Suggested Positions -

Long the April $125 call (PNRA1116D125) Entry @ $2.05

- or -

Long the May $130 call (PNRA1121E130) Entry @ $3.35

04/04 1st Target Hit @ 129.50. The April option was at $4.82 (+135.1%) and the May option was at $5.25 (+56.7%)

Entry on March 29th at $123.55
Earnings Date 04/26/11 (confirmed)
Average Daily Volume = 363 thousand
Listed on March 26th, 2011


Praxair Inc. - PX - close: 101.85 change: +0.47

Stop Loss: 98.90
Target(s): 104.75, 109.00
Current Option Gain/Loss: - 7.6%, and -25.0%
2nd Position Gain/Loss: + 9.0%
Time Frame: 4 to 5 weeks
New Positions: see below

Comments:
04/14 update: PX has provided us another entry point today. Shares dipped toward $100 this morning and then bounced forming a bullish engulfing candlestick pattern. I would still consider new positions now. Keep your position size small.

Our first target to take profits is at $104.75. Our second and final target is $109.00. We will plan to exit ahead of the late April earnings report.

- Suggested Positions -

Long the May $100 call (PX1121E100) entry @ $3.90

- or -

Long the May $105 call (PX1121E105) entry @ $1.40

- Second Entry Point, April 12th, Entry April 13th -
- Keep Positions Small -

Long the May $100 call (PX1121E100) Entry @ $3.30

04/12 New stop loss at $98.90
04/12 Second position on dip near $100
04/09 new stop loss @ 97.90

Entry on March 30th at $101.54
Earnings Date 04/27/11 (unconfirmed)
Average Daily Volume = 1.4 million
Listed on March 29th, 2011


Sohu.com - SOHU - close: 96.14 change: -0.18

Stop Loss: 89.75
Target(s): 99.90, 107.50
Current Option Gain/Loss: +10.5%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/14 update: Did we pick the wrong Chinese Internet stock? BIDU crept higher today. SINA has rallied past resistance near $120 on strong volume. Yet SOHU can't seem to get past the $99.00 level. Investors are selling the news in GOOG tonight and GOOG's decline tomorrow could weigh on all the Internet stocks. I would hesitate to launch new positions here.

Our first target to take profits is at $99.90.

We will plan to exit before the earnings report in late April. I want to reiterate that this is an aggressive, higher-risk trade. I'm suggesting we keep our position size small to limit our risk. FYI: The Point & Figure chart for SOHU is bullish with a $120 target.

- Suggested Positions -

Long the May $100 call (SOHU1121E100) Entry @ $4.25

04/13 New stop loss @ 89.75
04/11 Adjusted first exit target to $99.90

Entry on April 4th at $92.50
Earnings Date 04/25/11 (unconfirmed)
Average Daily Volume = 1.1 million
Listed on April 2nd, 2011


Stericycle Inc. - SRCL - close: 90.66 change: -0.03

Stop Loss: 86.75
Target(s): 93.50, 98.50
Current Option Gain/Loss: +32.0%
Time Frame: 4 to 5 weeks
New Positions: see below

Comments:
04/14 update: SRCL has spent more than a week now consolidating sideways near the $90.00 level. Readers may want to wait for a move past $91.50 before considering new bullish positions. Just remember we plan to exit ahead of the late April earnings report. Readers might want to adjust their stop losses closer to the $88.00 level. Our targets are $93.50 and $98.50.

- Suggested Positions -

Long the May $90 calls (SRCL1121E90) Entry @ $2.50

04/04 New stop loss @ 86.75
04/02 New stop loss @ 85.75

Entry on March 30th at $88.93
Earnings Date 04/27/11 (confirmed)
Average Daily Volume = 479 thousand
Listed on March 29th, 2011


Vertex Pharmaceuticals - VRTX - close: 47.59 change: +0.19

Stop Loss: 45.95
Target(s): 51.85, 58.50
Current Option Gain/Loss: - 4.0%
Time Frame: about 2, maybe 3 weeks
New Positions: see below

Comments:
04/14 update: Traders bought the dip again but VRTX is struggling with its trend of lower highs. We can choose to buy dips in the $47-46 zone or wait for a rally past $49.00 as our entry point.

Our first target is $51.85. Our second, much more aggressive target is $58.50 but again, we don't have a lot of time so we may have to exit early. I am listing our stop at $45.95, under last week's lows.

- Very Small Bullish Positions -

Long the May $50.00 calls (VRTX1121E50) Entry @ $2.50

Entry on April 10th at $48.28
Earnings Date 04/21/11 (unconfirmed)
Average Daily Volume = 2.1 million
Listed on April 9th, 2011


Whole Foods Market Inc. - WFMI - close: 64.97 change: +0.38

Stop Loss: 61.70
Target(s): 64.75, 69.00
Current Option Gain/Loss: - 38.4%, and +40.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/14 update: It was a quiet day for WFMI with a +0.5% gain. It was a different story for rival SVU, which reported stronger than expected earnings and raised their guidance. Shares of SVU rallied +16.8% by the close. Maybe this will inspire some buying pressure in WFMI ahead of its earnings report.

Our April $65 calls on WFMI are sitting at 40 cents and if there is any weakness tomorrow they will vanish in a heartbeat. Actually if WFMI fails to move they will very quickly erode to zero. If we're lucky enough to see a bounce in WFMI tomorrow we will close these April calls at the closing bell.

- Suggested Positions -

Long the April $65 calls (WFMI1116D65) Entry @ $0.65

- or -

Long the May $65 calls (WFMI1121E65) Entry @ $2.25

04/13/11 New stop loss @ 61.70
04/02/11 new stop loss @ 59.90
03/30/11 1st Target Hit @ 64.75, April $65 call @ 1.25 (+92.3%)
May $65 call @ 3.50 (+55.5%)
03/29/11 new stop loss @ 59.49
03/26/11 New stop loss @ 58.49

Entry on March 21 at $61.55
Earnings Date 05/11/11 (unconfirmed)
Average Daily Volume = 1.9 million
Listed on March 19th, 2010


Whiting Petroleum Corp - WLL - close: 69.81 change: +0.36

Stop Loss: 64.40
Target(s): 69.75, 74.00
Current Option Gain/Loss: Unopened
Time Frame: 2 to 3 weeks maybe
New Positions: Yes, see trigger

Comments:
04/14 update: The oil sector delivered a bounce on Thursday but gains were mild. I don't see any changes from my prior comments on WLL.

I am suggesting we buy calls on WLL at $66.00. More aggressive traders may want to consider buying a dip near the rising 50-dma. More conservative traders could wait for a dip closer to the $65.00 mark. If triggered our targets are $69.75 and $74.00. We do not want to hold over the late April earnings report but so far the date is unconfirmed.

Trigger @ $66.00

- Suggested Positions -

Buy the May $70 call (WLL1121E70) current ask $2.70

Entry on April xxth at $ xx.xx
Earnings Date 04/28/11 (unconfirmed)
Average Daily Volume = 1.6 million
Listed on April 11th, 2011


Wellpoint Inc. - WLP - close: 69.51 change: +0.36

Stop Loss: 67.45
Target(s): 72.25, 74.75
Current Option Gain/Loss: -90.3%, and -35.3%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
04/14 update: Time is almost up for our April calls, which expire after the close tomorrow. If we're lucky enough to see WLP rally past $70.00 be sure to exit these at the closing bell. I don't see any changes from my prior comments.

More conservative traders may want to up their stops closer to $68.00 or $68.50. Wednesday's high was $70.24. I would wait for a rise past $70.25 before considering new positions. We do not want to hold over the late April earnings report.

FYI: Readers may want to keep their position size small.

- Suggested Positions -

Long the April $70 call (WLP1116D70) Entry @ $1.55

- or -

Long the May $70 call (WLP1121E70) Entry @ $2.80

04/09 New stop loss @ 67.45
04/02 new stop loss @ 66.75

Entry on April 1st at $70.25
Earnings Date 04/27/11 (unconfirmed)
Average Daily Volume = 3.4 million
Listed on March 26th, 2011


PUT Play Updates

Apollo Group Inc. - APOL - close: 39.96 change: +0.08

Stop Loss: 44.25
Target(s): 38.15, 35.50
Current Option Gain/Loss: +37.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
04/14 update: APOL did not see much movement today with shares hugging the $40.00 level. Since option expiration is this weekend there is a really good chance that APOL will continue to hug the $40.00 mark tomorrow as well.

I would look for a new failed rally under the 200-dma before considering new positions. More conservative traders may want to use a stop closer to $43.50 instead. Our profit targets are $38.15 and $35.50.
The Point & Figure chart for APOL is bullish with a $31 target.

- Suggested Positions -

Long the May $40.00 puts (APOL1121Q40) Entry @ $1.24

Entry on April 13th at $41.21
Earnings Date 06/30/11 (unconfirmed)
Average Daily Volume = 2.3 million
Listed on April 12th, 2011