Editor's Note:

Shares of AthenaHealth hit our bullish exit target today. I am suggesting an early exit on our CLF trade. UNP was stopped out. WLP was triggered.

Current Portfolio:


CALL Play Updates

Airgas Inc. - ARG - close: 83.77 change: +1.55

Stop Loss: 81.75
Target(s): 87.00
Current Option Gain/Loss: Mar82.5c: +30%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: The rally in ARG continues but we're almost out of time with our March calls. Tonight I am suggesting we buy some April calls if ARG hits $84.05 and we'll up our stop loss to $81.75. Meanwhile I am suggesting we sell our March $82.50 calls tomorrow at the closing bell.

- Suggested Positions -

Long Mar $82.50 call (ARG1217C82.5) Entry $1.00

- or -

(2nd position: Trigger to buy April calls @ 84.05)

Buy Apr $85.00 call (ARG1221D85) current ask $1.25

03/13/12 new stop loss @ 81.75
Buy April calls (see 2nd position) if ARG hits $84.05
Plan to sell our March calls at the closing bell tomorrow.
03/03/12 new stop loss @ 79.90
02/28/12 trade opened @ 82.21
02/27/12 not open yet, buy calls at the open tomorrow
02/24/12 not open yet, try again.

Entry on February 28 at $82.21
Earnings Date 05/07/12 (unconfirmed)
Average Daily Volume = 528 thousand
Listed on February 23, 2012


American Express Co - AXP - close: 54.25 change: +1.48

Stop Loss: 51.40
Target(s): 57.50
Current Option Gain/Loss: - 1.2%
Time Frame: 4 to 8 weeks
New Positions: see below

Comments:
03/13 update: Financial stocks were extremely strong performers today thanks to widespread good news that most of the big banks passed the Federal Reserve's latest stress tests. AXP said the Fed had no objections to the company's plans to raise their dividend to 20 cents and increase their stock buyback program. This news could help fuel the rally in AXP tomorrow.

Today's session saw AXP surge +2.8% to close over $54.00. I am not suggesting new positions at this time.

Earlier Comments:
The plan was to keep our position size small. Our multi-week target is $56.50. Keep in mind that AXP doesn't move super fast. FYI: The Point & Figure chart for AXP is bullish with a $75 target.

- Suggested Positions - (Small Positions)

Long Apr 52.50 call (AXP1221D52.5) Entry $2.40

03/03/12 new stop loss @ 51.40
02/29/12 AXP gapped down at $53.46
02/28/12 not open yet. buy calls at the open tomorrow.
02/27/12 not open yet, try again.

Entry on February 29 at $53.46
Earnings Date 04/19/12 (unconfirmed)
Average Daily Volume = 5.7 million
Listed on February 25, 2012


Clean Harbors, Inc. - CLH - close: 70.00 change: +0.86

Stop Loss: 66.75
Target(s): 71.50
Current Option Gain/Loss: +57.6%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: CLH spent most of the day trading sideways until the market exploded higher late in the session. Shares managed to rally right to resistance at $70.00. The fact that CLH could not breakout past $70.00 with the major indices surging is a bit disappointing. Please note our new stop loss at $66.75. I am not suggesting new positions at this time.

Earlier Comments:
Our target is $71.50 but more conservative traders may want to exit near $70.00. Aggressive trades could aim higher.

- Suggested Positions -

Long Apr $70 call (CLH1221D70) Entry $1.30

03/13/12 new stop loss @ 66.75
03/10/12 CLH is testing the $70.00 level. Readers may want to take profits now.

Entry on March 08 at $67.77
Earnings Date 05/02/12 (unconfirmed)
Average Daily Volume = 344 thousand
Listed on March 07, 2012


Capital One Financial - COF - close: 50.95 change: +1.97

Stop Loss: 47.95
Target(s): 54.75
Current Option Gain/Loss: Mar$50c: -15.3% & Apr$50c: - 1.7%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: It was a strong day for financial stocks and COF surged +4.0% to breakout back above the $50.00 mark. Shares closed just under their 2012 highs near $51.

We only have three days left before our March calls expire. I am suggesting we exit our March $50 calls at the closing bell tomorrow. I am not suggesting new positions at this time.

Earlier Comments:
We want to keep our position size small to limit our risk.

(small positions)

- Suggested Positions -

Long Mar $50 call (COF1217C50) entry $1.30

- or -

Long Apr $50 call (COF1221D50) entry $2.30

03/13/12 prepare to exit March calls at the close tomorrow
03/03/12 new stop loss at $47.95
02/28/12 triggered at $50.25

Entry on February 28 at $50.25
Earnings Date 04/23/12 (unconfirmed)
Average Daily Volume = 6.4 million
Listed on February 15, 2012


Tractor Supply Co. - TSCO - close: 88.29 change: +0.94

Stop Loss: 85.75
Target(s): 94.00
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
03/13 update: Hmm... I am disappointed in TSCO's performance today. Shares rebounded off their morning lows and managed to close above the $88.00 level but they have not yet hit our trigger at $88.50. We will leave our trigger to buy calls at $88.50 but I am only suggesting small positions and we'll raise our stop loss to $85.75.

Earlier Comments:
Our exit target is $94.00. More aggressive traders could aim higher. If you have enough patience you could aim for the $99-100 area instead. The Point & Figure chart for TSCO is bullish with a $109 target.

Trigger @ $88.50 (small positions)

- Suggested Positions -

buy the Apr $90 call (TSCO1221D90)

03/13/12 if triggered at $88.50, only use small positions, move stop loss to $85.75

Entry on March xx at $ xx.xx
Earnings Date 04/19/12 (unconfirmed)
Average Daily Volume = 566 thousand
Listed on March 10, 2012


Whole Foods Market - WFM - close: 85.97 change: +2.17

Stop Loss: 81.75
Target(s): 87.50
Current Option Gain/Loss: +53.7%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
03/13 update: Positive analyst comments and a bullish market helped fuel WFM's +2.5% gain and another new high. Volume improved as well coming in at 2.0 million shares. I am raising our stop loss up to $81.75. Currently our exit target is $87.50. More aggressive traders may want to aim for the $89.50-90.00 zone instead.

- Suggested Positions -

Long Apr $85 call (WFM1221D85) Entry $1.88

03/13/12 new stop loss @ 81.75

Entry on March 02 at $82.55
Earnings Date 05/03/12 (unconfirmed)
Average Daily Volume = 1.9 million
Listed on March 01, 2012


PUT Play Updates

Apple Inc. - AAPL - close: 568.10 change: +16.10

Stop Loss: n/a
Target(s): see below.
Current Option Gain/Loss: Mar$520P: -98.9%
& (expired weekly Mar$525p: -100%)
Time Frame: 1 to 2 weeks
New Positions: see below

Comments:
03/13 update: AAPL surged to new highs (again) thanks in part to a new higher analyst price target near $700. Today's breakout definitely puts the final nail in the coffin on this bearish trade. With only three trading days left bears would need a miracle -10% drop in AAPL for this trade to work out. I am not suggesting new positions at this time.

- Suggested (Small) Positions -

Long Mar $520 PUT (AAPL1217o520) Entry $9.90
Exit target: when the option bid hits $14.50 .

- or -

Very Aggressive - these have expired
Mar $525 PUT (AAPL1209o525) Entry $9.05, exit $0.00 (-100%)

03/10/12 our very aggressive weekly March $525 puts have expired
03/06/12 AAPL gapped down -$10, which hurt our entry point on these short-term puts. I've adjusted our exit targets!

Entry on March 06 at $523.66
Earnings Date 04/24/12 (unconfirmed)
Average Daily Volume = 22.1 million
Listed on March 05, 2012


AMERIGROUP Corp. - AGP - close: 65.54 change: +0.57

Stop Loss: 68.05
Target(s): 61.00
Current Option Gain/Loss: Mar$65P: -64.2% & Apr$60P: -12.5%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: AGP was not immune to the market's widespread rally today. Shares recovered off their intraday lows to close up +0.8%. Given the market's breakout today readers may want to just exit early now and close positions, which is what I am suggesting we do with our March puts. Let's exit the March options tomorrow morning at the open. The overall posture in AGP is still bearish so we will keep the April trade open but we'll lower the stop loss to $68.05.

- Suggested Positions -

Long Mar $65 PUT (AGP1217o65) entry $1.40

- or -

Long Apr $60 PUT (AGP1221p60) entry $1.20 <-- 1.05/1.30 -->

03/13/12 new stop loss at $68.05
prepare to exit the March $65 puts at the open tomorrow,
we will keep the April $60 puts active.
03/06/12 AGP gapped open lower at $66.00

Entry on March 06 at $66.00
Earnings Date 05/02/12 (unconfirmed)
Average Daily Volume = 950 thousand
Listed on March 05, 2012


Centene Corp. - CNC - close: 45.65 change: +0.04

Stop Loss: 46.25
Target(s): 40.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
03/13 update: CNC continues to look weak. Shares barely closed in positive territory today. The stock is flirting with a breakdown under its 50-dma. I don't see any changes from my prior comments.

I am suggesting a trigger to open bearish put positions at $44.75. This will require CNC to trade under its 50-dma and potential support at the $45.00 mark. If triggered we'll use a stop loss at $46.25. Our target is $40.50.

Trigger to buy PUTS @ $44.75

- Suggested Positions -

buy the Apr $45 PUT (CNC1221P45)

Entry on March xx at $ xx.xx
Earnings Date 04/24/12 (unconfirmed)
Average Daily Volume = 529 thousand
Listed on March 12, 2012


Edwards Lifesciences - EW - close: 69.30 change: +0.06

Stop Loss: 72.25
Target(s): 63.00
Current Option Gain/Loss: -33.3%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: EW failed to truly participate in the market's widespread rally today. We will keep our put play active but I am not suggesting new positions. More conservative traders may want to lower their stop loss.

- Suggested (Small) Positions -

Long Apr $65 PUT (EW1221p65) Entry $1.65

Entry on March 07 at $68.76
Earnings Date 04/19/12 (unconfirmed)
Average Daily Volume = 1.1 million
Listed on March 06, 2012


Joy Global, Inc. - JOY - close: 82.01 change: +3.28

Stop Loss: 81.65
Target(s): 72.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
03/13 update: JOY produced a big bounce today (+4.1%) and managed to close above its simple 150-dma. Shares also appear to be breaking out from its recent $78.00-81.50 trading range. If JOY continues to rally tomorrow then we'll drop it as a bearish candidate. Our plan has a trigger to buy puts at $77.75.

Earlier Comments:
Our target is $72.50. More aggressive traders could aim lower. The Point & Figure chart for JOY is bearish with a $70 target.

Trigger to buy PUTS @ $77.75

- Suggested Positions -

buy the Apr $75 PUT (JOY1221P75)

Entry on March xx at $ xx.xx
Earnings Date 06/04/12 (unconfirmed)
Average Daily Volume = 2.8 million
Listed on March 12, 2012


WellPoint, Inc. - WLP - close: 65.05 change: +1.04

Stop Loss: 65.25
Target(s): 60.25
Current Option Gain/Loss: -42.4%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: Ouch! We have a little bit of a worst case scenario here. WLP broke down this morning. The stock fell just enough to hit our trigger to buy puts at $63.40 and then almost immediately reversed higher. By the closing bell WLP was trading above short-term resistance at $65.00. If the market continues to rally tomorrow there is a really good chance we will see WLP hit our stop loss at $65.25. I am not suggesting new positions at this time.

(small positions)- Suggested Positions -

Long Apr $62.50 PUT (WLP1221p62.5) Entry $1.25

03/13/12 triggered at $63.40

Entry on March 13 at $63.40
Earnings Date 04/26/12 (unconfirmed)
Average Daily Volume = 2.5 million
Listed on March 06, 2012


CLOSED BULLISH PLAYS

AthenaHealth, Inc. - ATHN - close: 77.83 change: +1.97

Stop Loss: 71.75
Target(s): 77.50
Current Option Gain/Loss: +78.5%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: Target achieved. ATHN outperformed the market with a +2.59% gain today. Shares hit our exit target at $77.50.

- Suggested Positions -

Apr $75 call (ATHN1221D75) Entry $2.38, exit $4.25 (+78.5%)

03/13/12 target hit at $77.50
03/10/12 new stop loss @ $71.75, readers may want to go ahead and take profits now.

chart:

Entry on March 08 at $72.75
Earnings Date 04/26/12 (unconfirmed)
Average Daily Volume = 577 thousand
Listed on March 07, 2012


CLOSED BEARISH PLAYS

Cliffs Natural Resources - CLF - close: 64.91 change: +1.29

Stop Loss: 65.25
Target(s): 57.50
Current Option Gain/Loss: Mar$65p: -68.4% & Apr$60p: -44.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: The market's rally is fueling widespread gains across the sectors. CLF added +2.0%. The rebound in CLF did stall at resistance near $65.00 again. This time the stock looks poised to breakout above this level, which could spark a run toward the 50-dma or the $70 level.

I am suggesting we exit positions immediately!

- Suggested (Small) Positions -

Mar $65 put (CLF1217o65) Entry $2.85, exit $ 0.90 (-68.4%)

- or -

Apr $60 put (CLF1221p60) Entry $2.02, exit $1.13 (-44.0%)

03/13/12 exit positions immediately
03/08/12 sold half at the open. CLF gapped higher at $61.17
exit half of March $65 put @ $4.70 (+64.9%)
exit half of April $60 put @ $2.40 (+18.8%)
03/07/12 prepare to sell half of our positions at the open tomorrow to lock in a gain.
03/07/12 new stop loss @ 65.25

chart:

Entry on March 05 at $63.57
Earnings Date 04/30/12 (unconfirmed)
Average Daily Volume = 3.4 million
Listed on March 03, 2012


Union Pacific - UNP - close: 110.39 change: +2.24

Stop Loss: 110.25
Target(s): 101.50
Current Option Gain/Loss: -31.8%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13 update: It looked like UNP's intraday bounce might roll over again under resistance but then the market's late day surge helped push UNP past the $110 level. Our stop loss was hit at $110.25.

*Small Positions* - Suggested Positions -

Apr $105 PUT (UNP1221P105) Entry $2.20, exit $1.50 (-31.8%)

03/13/12 stopped out at $110.25

chart:

Entry on March 12 at $107.89
Earnings Date 04/19/12 (unconfirmed)
Average Daily Volume = 2.9 million
Listed on March 10, 2012