Editor's Note:

It was a decent day for the bulls. Many of our bullish candidates outperformed the market. DLTR hit our exit target. CERN hit our first target and we're choosing to exit the rest tomorrow morning. AAP, a put play, hit our trigger and then reversed higher to hit our stop loss.

We have updated several stop losses tonight.

Current Portfolio:


CALL Play Updates

Anadarko Petroleum - APC - close: 64.63 change: -0.74

Stop Loss: 63.40
Target(s): 69.75
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
06/18/12 update: The oil sector's performance was mixed today. APC churned sideways and dipped to $63.88 intraday. I don't see any changes from my prior comments.

The high on Friday was $65.41. I am suggesting a trigger to buy calls at $65.55. We'll use a stop loss at $63.40. Our target is $69.75.

Trigger @ 65.55

- Suggested Positions -

buy the Jul $67.50 call (APC1221G67.5)

Entry on June xx at $ xx.xx
Earnings Date 07/23/12 (unconfirmed)
Average Daily Volume = 5.2 million
Listed on June 16, 2012


Cerner Corp. - CERN - close: 85.96 change: +3.32

Stop Loss: 79.45
Target(s): 84.85 & 87.50
Current Option Gain/Loss: +166.6%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
06/18/12 update: CERN displayed relative strength today with a +4% gain to hit new highs. We had two targets, one at $84.85 (hit today, option bid @ 2.70, +125%) and another at $87.50. Given the sharp rally today, we are suggesting an early exit for all remaining positions at the open tomorrow morning.

- Suggested Positions -

Long Jul $85 call (CERN1221G85) Entry $1.20

06/18/12 prepare to exit remaining positions at the open tomorrow
06/18/12 first target hit at $84.85, option @ $2.70 (+125.0%)

Entry on June 15 at $81.75
Earnings Date 07/26/12 (unconfirmed)
Average Daily Volume = 1.25 million
Listed on June 14, 2012


Monster Beverage - MNST - close: 78.72 change: +0.08

Stop Loss: 77.45
Target(s): 79.50
Current Option Gain/Loss: + 41.1%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
06/18/12 update: MNST's performance was a bit underwhelming today. Shares churned sideways under $79.00 and the option values contracted sharply. We are raising our stop loss to $77.45. I am not suggesting new positions at this time.

- Suggested Positions -

Long Jul $80 call (MNST1221G80) Entry $1.70

06/18/12 new stop loss @ 77.45
06/09/12 new stop loss @ 73.25
06/06/12 new stop loss @ 70.75
06/06/12 triggered at $74.25

Entry on June 06 at $74.25
Earnings Date 08/02/12 (unconfirmed)
Average Daily Volume = 1.9 million
Listed on June 04, 2012


Ross Stores Inc. - ROST - close: 68.20 change: +1.60

Stop Loss: 65.45
Target(s): 69.00
Current Option Gain/Loss: +85.7%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
06/18/12 update: ROST continues to outperform. Today the stock garnered some bullish analyst comments and shares gained +2.3% to set another new high. Cautious traders may want to go ahead and exit now (option +85%). We have been aiming for $68.50. I am suggesting we adjust our exit target a little bit higher and exit at $69.00 instead. We'll raise our stop loss to $65.45. I am not suggesting new positions at this time.

- Suggested Positions -

Long Jul $65 call (ROST1221G65) Entry $2.10

06/18/12 new stop loss @ 65.45, adjust exit target to $69.00
06/12/12 new stop loss @ 63.45
06/07/12 triggered on gap higher at $64.47

Entry on June 07 at $64.47
Earnings Date 08/16/12 (unconfirmed)
Average Daily Volume = 2.3 million
Listed on June 06, 2012


Whole Foods Market, Inc. - WFM - close: 95.14 change: +0.67

Stop Loss: 93.25
Target(s): 95.00 & 98.50
Current Option Gain/Loss: Jul $92.50c: +30.3% & Aug $95c: +14.7%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
06/18/12 update: WFM shrugged off some bearish analyst comments and tagged another new high. We are going to try and trim our risk by raising the stop loss to $93.25. I am not suggesting new positions at this time.

- Suggested Positions -

Long Jul $92.50 call (WFM1221G92.5) Entry $3.30

- or -

Long Aug $95 call (WFM1218H95) Entry $4.40

06/18/12 new stop loss @ 93.25
06/15/12 first target hit at $95.00, options values at:
Jul $92.50 call @ $4.50 (+36.3%)
Aug $95.00 call @ $5.05 (+14.7%)
06/15/12 triggered at $92.05

Entry on June 15 at $92.05
Earnings Date 07/25/12 (unconfirmed)
Average Daily Volume = 1.8 million
Listed on June 12, 2012


PUT Play Updates

Anixter Intl. - AXE - close: 53.90 change: +0.87

Stop Loss: 55.15
Target(s): 48.50
Current Option Gain/Loss: -67.2%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
06/18/12 update: Uh-oh! Shares of AXE have produced a bullish engulfing candlestick reversal pattern. Now these normally need to see confirmation but it's definitely a warning signal. We are adjusting our stop loss down to $55.15. More conservative traders may want to tighten their stops even further.

Earlier Comments:
We want to keep our position size small because AXE has above average short interest. The most recent data listed short interest at 15% of the small 27.6 million share float.

*Small positions* - Suggested Positions -

Long Jul $50 PUT (AXE1221S50) Entry $1.07

06/18/12 new stop loss @ 55.15

Entry on June 14 at $53.35
Earnings Date 07/24/12 (unconfirmed)
Average Daily Volume = 339 thousand
Listed on June 13, 2012


Baxter Intl. - BAX - close: 49.92 change: +0.62

Stop Loss: 50.65
Target(s): 48.00
Current Option Gain/Loss: (Jun$50p: +40.9%) & Jul50p: -25.1%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
06/18/12 update: BAX also produced a bounce today. shares rose +1.25% and closed right under round-number resistance at the $50.00 mark. A failed rally here could be used as an entry point. We are adjusting our stop loss lower to $50.65 so if BAX continues to rally we'll be stopped out soon.

- Suggested Positions -

(exit on Thursday, June 14th @ the close)
Jun $50 PUT (BAX1216R50) Entry $0.66 exit $0.93 (+40.9%)

- or -

Long Jul $50 PUT (BAX1221S50) Entry $1.55

06/18/12 new stop loss @ 50.65
06/14/12 planned exit for Jun $50 puts at the close (+40.9%)
06/13/12 prepare to exit our June $50 puts at the close on Thursday
06/02/12 new stop loss @ 51.51
05/31/12 triggered at $50.95

Entry on May 31 at $50.95
Earnings Date 07/19/12 (unconfirmed)
Average Daily Volume = 2.4 million
Listed on May 29, 2012


NASDAQ OMX Group - NDAQ - close: 21.68 change: +0.20

Stop Loss: 21.85
Target(s): 20.15
Current Option Gain/Loss: -52.9%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
06/18/12 update: Today's +0.9% gain is a follow through rally on top of Friday's potential bullish reversal candlestick. NDAQ remains inside its bearish channel but we're going to turn cautious with our stop loss and move it down to $21.85. More aggressive traders will want to keep their stop above the $22.00 mark. I am not suggesting new positions at this time.

(SMALL Positions) - Suggested Positions -

Long July $21 PUT (NDAQ1221S21) Entry $0.85

06/18/12 new stop loss @ 21.85

Entry on June 06 at $21.95
Earnings Date 07/25/12 (unconfirmed)
Average Daily Volume = 3.8 million
Listed on June 05, 2012


Netflix, Inc. - NFLX - close: 66.73 change: +0.94

Stop Loss: 67.25
Target(s): 60.25
Current Option Gain/Loss: -55.1%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
06/18/12 update: The short covering rally that began on Friday continues today. NFLX is testing the $67.00 level and its 20-dma as short-term overhead resistance. If there is any follow through higher tomorrow I would expect the stock to hit our stop loss at $67.25. I am not suggesting new positions at this time.

Earlier Comments:
I am suggesting we keep our position size small because NFLX can be volatile at times and being short the stock is a popular position with short interest at 20% of the 54 million share float. Our first target is $60.25. More aggressive traders could aim a lot lower. The Point & Figure chart is suggesting a $48 target although I suspect the $50 level could be significant support.

(Small positions) - Suggested Positions -

Long Jul $60 PUT (NFLX1221S60) Entry $3.57

Entry on June 08 at $64.37
Earnings Date 07/23/12 (unconfirmed)
Average Daily Volume = 4.9 million
Listed on June 07, 2012


CLOSED BULLISH PLAYS

Dollar Tree, Inc. - DLTR - close: 112.68 change: +2.34

Stop Loss: 104.45
Target(s): 112.50
Current Option Gain/Loss: +85.6%
Time Frame: exit prior to the stock split on June 26th
New Positions: see below

Comments:
06/18/12 update: Target achieved.

DLTR surged to another new high and hit our exit target at $112.50.

- Suggested Positions -

Jul $110 call (DLTR1221G110) Entry $2.37 exit $4.40 (+85.6%)

06/18/12 target hit at $112.50
06/12/12 new stop loss @ 104.45
06/11/12 trade opened with DLTR gapping higher at $107.42

chart:

Entry on June 11 at $107.42
Earnings Date 08/16/12 (unconfirmed)
Average Daily Volume = 1.3 million
Listed on June 09, 2012


CLOSED BEARISH PLAYS

Advance Auto Parts - AAP - close: 70.69 change: +0.95

Stop Loss: 71.05
Target(s): 65.25
Current Option Gain/Loss: -52.1%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
06/18/12 update: We knew Monday could be a volatile day as investors reacted to the Greek vote news. Unfortunately AAP was too volatile. The stock dipped low enough to hit our trigger to buy puts at $69.25. Then it reversed and rallied high enough to hit our stop loss at $71.05.

- Suggested Positions -

Jul $65 PUT (AAP1221S65) Entry $1.15 exit $0.55 (-52.1%)

06/18/12 stopped out at $71.05
06/18/12 triggered at $69.25

chart:

Entry on June 18 at $69.25
Earnings Date 08/08/12 (unconfirmed)
Average Daily Volume = 1.5 million
Listed on June 16, 2012