Editor's Note:

The market's rally has stalled. Is the rally out of fuel or are stocks just digesting the big gains from the first two weeks of January?

We closed our TRMB trade at the closing bell today.


Current Portfolio:


CALL Play Updates

CH Robinson Worldwide - CHRW - close: 64.73 change: -0.62

Stop Loss: 63.75
Target(s): 69.25
Current Option Gain/Loss: -21.4%
Time Frame: 2 to 3 weeks
New Positions: see below

Comments:
01/16/13: Wednesday proved to be a choppy day for shares of CHRW. The stock was downgraded to a sell. This prompted a gap down. Traders bought the dip near short-term support at $64 and its 10-dma. I would wait for a new rise above $65.00 as our next bullish entry point.

Earlier Comments:
We do not want to hold over CHRW's earnings report, which is expected in very late January or early February so this is a short-term two or three week trade.

- Suggested Positions -

Long Feb $65 call (CHRW1316B65) entry $2.10

Entry on January 15 at $65.20
Average Daily Volume = 1.3 million
Listed on January 14, 2012


Concur Technologies - CNQR - close: 71.51 change: -0.09

Stop Loss: 69.40
Target(s): 74.85
Current Option Gain/Loss: + 3.0%
Time Frame: exit prior to the late January earnings report
New Positions: see below

Comments:
01/16/13: CNQR spent the day churning sideways under the $72.00 level. I'd look for a dip or a bounce off the $70.00 level as our next entry point.

Earlier Comments:
More aggressive traders could aim for the 2012 highs near $76.00. We do not want to hold over the late January earnings report. FYI: The Point & Figure chart for CNQR is bullish with an $81 target.

- Suggested Positions -

Long Feb $70 call (CNQR1316B70) entry $3.30

01/11/13 new stop loss @ 69.40, adjust exit target to $74.85

Entry on January 07 at $70.25
Average Daily Volume = 462 thousand
Listed on January 05, 2012


Deere & Co - DE - close: 89.56 change: -0.17

Stop Loss: 88.25
Target(s): 99.00
Current Option Gain/Loss: -25.1%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/16/13: Today looks almost identical to yesterday for shares of DE. There was a little bit of volatility this morning but DE settled into a narrow sideways churn the rest of the session. Readers may want to wait for a close above $90 before considering new bullish positions.

We do not want to hold over its mid February earnings report (still unconfirmed). FYI: The Point & Figure chart for DE is bullish with a $104 target.

- Suggested Positions -

Long Feb $90 call (DE1316B90) entry $2.35

Entry on January 11 at $90.25
Average Daily Volume = 2.3 million
Listed on January 09, 2012


EOG Resources - EOG - close: 125.37 change: +0.27

Stop Loss: 123.40
Target(s): 134.00
Current Option Gain/Loss: - 25.3%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/16/13: EOG drifted sideways on either side of the $125.00 level today. Readers might want to wait for a new relative high above $126.30 before initiating new positions.

Earlier Comments:
We do not want to hold positions over the earnings report in February.

- Suggested Positions -

Long Feb $130 call (EOG1316B130) entry $2.45

Entry on January 11 at $126.30
Average Daily Volume = 1.4 million
Listed on January 10, 2012


Starwood Hotels - HOT - close: 59.52 change: -0.89

Stop Loss: 58.85
Target(s): 64.50
Current Option Gain/Loss: Unopened
Time Frame: exit prior to earnings on Feb. 7th
New Positions: Yes, see below

Comments:
01/16/13: There was no follow through on yesterday's rally. HOT gapped down at the open instead. The stock spent most of the day inside the $59-60 zone.

We are suggesting a trigger to buy calls at $60.60. If triggered our stop loss is $58.85. Our target is $64.50. However, we will plan to exit prior to the earnings report on Feb. 7th.

Trigger @ 60.60

- Suggested Positions -

buy the Feb $60 call (HOT1316B60)

Entry on January xx at $ xx.xx
Average Daily Volume = 1.9 million
Listed on January 15, 2012


Ingersoll-Rand - IR - close: 49.47 change: -0.32

Stop Loss: 48.25
Target(s): 54.00
Current Option Gain/Loss: Unopened
Time Frame: Exit prior to earnings on Feb. 1st!
New Positions: Yes, see below

Comments:
01/16/13: IR is still churning sideways beneath resistance at the $50.00 level.

We are suggesting a trigger to buy calls at $50.25 with a stop loss at $48.25. Our target is $54.00 but we will plan on exiting prior to the earnings in early February.

Trigger @ 50.25

- Suggested Positions -

buy the Feb $50 call (IR1316B50)

Entry on January xx at $ xx.xx
Average Daily Volume = 1.8 million
Listed on January 12, 2012


iShares Russell 2000 (ETF) - IWM - close: 87.51 change: -0.26

Stop Loss: 85.90
Target(s): 94.50
Current Option Gain/Loss: -14.7%
Time Frame: 6 to 9 weeks
New Positions: see below

Comments:
01/16/13: There was no follow through on yesterday's rally in the IWM either. Shares of this ETF churned sideways. I don't see any changes from y prior comments. Our multi-week target is $94.50.

Trigger @ 87.85

- Suggested Positions -

Long Mar $90 call (IWM1316c90) entry $1.36

Entry on January 15 at $87.85
Average Daily Volume = 41.2 million
Listed on January 10, 2012


Mohawk Industries - MHK - close: 93.60 change: -0.56

Stop Loss: 91.25
Target(s): 99.00
Current Option Gain/Loss: - 42.4%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/16/13: The narrow sideways churn in MHK continues. Although it seems like odds of a dip to $92.00 or $90.00 are growing. Currently our stop loss is at $91.25. Readers might want to wait for a new rally above $94.50 or $95.00 before initiating new positions.

- Suggested Positions - *Small Positions*

buy the Feb $95 call (MHK1316B95) entry $3.30

Entry on January 10 at $95.00
Average Daily Volume = 787 thousand
Listed on January 09, 2012


Noble Energy - NBL - close: 105.75 change: +0.44

Stop Loss: 101.75
Target(s): 114.00
Current Option Gain/Loss: -21.7%
Time Frame: Exit prior to earnings on Feb. 7th!
New Positions: see below

Comments:
01/16/13: NBL displayed relative strength with a +0.4% gain and what looks like a new all-time, record high.

- Suggested Positions -

Long Feb $110 call (NBL1316B110) entry $1.15

Entry on January 14 at $105.31
Average Daily Volume = 820 thousand
Listed on January 12, 2012


OpenTable, Inc. - OPEN - close: 51.67 change: -1.22

Stop Loss: 50.90
Target(s): 58.00
Current Option Gain/Loss: -35.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
01/16/13: Shares of OPEN are not cooperating with us. The stock underperformed the market with a -2.3% decline and a breakdown below its simple 10-dma. This is short-term bearish. More conservative traders may want to just exit early now and cut losses early. We are going to try and limit our risk by raising the stop loss to $50.90. More aggressive traders will want to keep their stop loss below the $50.00 level since the $50.00 level should be significant round-number support. I am not suggesting new positions.

Earlier Comments:
OPEN could see a short squeeze. The most recent data listed short interest at 42% of the very small 19.4 million share float. FYI: The Point & Figure chart for OPEN is bullish with a $73 target.

- Suggested Positions -

Long Feb $55 call (OPEN1316B55) entry $2.54

01/16/13 new stop loss @ 50.90
01/12/13 new stop loss @ 49.90

Entry on January 04 at $52.23
Average Daily Volume = 361 thousand
Listed on January 03, 2012


Red Hat, Inc. - RHT - close: 54.90 change: -0.09

Stop Loss: 53.90
Target(s): 59.25
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below

Comments:
01/16/13: It was a quiet day for the market and RHT was content to just consolidate sideways. There is no change from my prior comments.

The January 9th, 2013 high was $55.30. I am suggesting a trigger to buy calls at $55.40. If triggered our target is $59.25. FYI: The Point & Figure chart for RHT is bullish with a $72 target.

Trigger @ 55.40

- Suggested Positions -

buy the Feb $55 call (RHT1316B55)

Entry on January xx at $ xx.xx
Average Daily Volume = 1.7 million
Listed on January 15, 2012


Sherwin-Williams Company - SHW - close: 161.44 change: +0.42

Stop Loss: 154.65
Target(s): 169.00
Current Option Gain/Loss: -17.7%
Time Frame: Exit prior to earnings on Jan. 31st!
New Positions: see below

Comments:
01/16/13: SHW displayed some relative strength today with a +0.2% gain but the stock remains inside the $160-162 trading range, which is where SHW has been stuck the last few sessions.

Earlier Comments:
We keep our position size small to limit our risk. Plus, this is a shorter-term trade. We do not want to hold over the January 31st earnings report. FYI: The Point & Figure chart for SHW is bullish with a $196 target.

- Suggested Positions - *Small Positions*

Long Feb $165 call (SHW1316B165) entry $3.10

Entry on January 09 at $161.28
Average Daily Volume = 928 thousand
Listed on January 08, 2012


iShares Silver ETF - SLV - close: 30.45 change: +0.09

Stop Loss: 27.45
Target(s): 33.50
Current Option Gain/Loss: +50.5%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
01/16/13: Both the U.S. dollar and precious metals managed a minor gain today. The SLV inched higher and seems to be struggling with short-term resistance at the $30.50 mark. I am still bullish with the breakout past $30.00. You could buy calls here or look to buy calls on a dip near $30.00.

Earlier Comments:
More cautious traders might want to raise their stop loss.

- Suggested Positions -

Long March $30 call (SLV1316c30) entry $0.95

Entry on December 31 at $29.07
Average Daily Volume = 11.6 million
Listed on December 29, 2012


PUT Play Updates

Green Mtn Coffee Roasters - GMCR - close: 39.25 change: -0.11

Stop Loss: 41.20
Target(s): 35.25
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
01/16/13: GMRC seems to be inching closer and closer to a bearish breakdown. I don't see any changes from my prior comments.

Earlier Comments:
Last Thursday's low was $38.83. I am suggesting a trigger to buy puts at $38.45. If triggered our target is $35.25. More aggressive traders might want to aim for a drop near $31.00 instead.

NOTE: GMCR can be a volatile stock. We want to keep our position size small.

Trigger @ 38.45 *Small Positions*

- Suggested Positions -

buy the Feb $35 PUT (GMCR1316n35)

Entry on January xx at $ xx.xx
Average Daily Volume = 4.2 million
Listed on January 10, 2012


CLOSED BULLISH PLAYS

Trimble Navigation - TRMB - close: 61.86 change: -0.36

Stop Loss: 60.90
Target(s): 64.75
Current Option Gain/Loss: -20.0%
Time Frame: 2 to 3 weeks
New Positions: see below

Comments:
01/16/13: We have been running out of time on our January calls so last night we decided to close our TRMB play today. The stock spent the session in a narrow range and closed with a -0.5% decline.

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

- Suggested Positions - (Keep positions small)

Long Jan $60 call (TRMB1319a60) entry $2.25 exit $1.80 (-20.0%)

01/16/13 scheduled exit.
01/15/13 prepare to exit tomorrow at the closing bell
01/14/13 new stop loss @ 60.90
01/10/13 we only have six trading days left for our January options. More conservative traders may want to exit early now

chart:

Entry on January 03 at $61.32
Average Daily Volume = 750 thousand
Listed on January 02, 2012