Editor's Note:

The market's widespread strength on Thursday helped a couple of our trades hit our entry triggers.

IR and RHT are now open.


Current Portfolio:


CALL Play Updates

CH Robinson Worldwide - CHRW - close: 64.88 change: +0.15

Stop Loss: 63.75
Target(s): 69.25
Current Option Gain/Loss: -19.0%
Time Frame: 2 to 3 weeks
New Positions: see below

Comments:
01/17/13: It was a quiet day for CHRW. Shares failed to rally with the rest of the market but traders did buy the dip near 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: 71.91 change: +0.40

Stop Loss: 69.40
Target(s): 74.85
Current Option Gain/Loss: + 9.0%
Time Frame: exit prior to the late January earnings report
New Positions: see below

Comments:
01/17/13: The S&P 500 index added about +0.5%. CNQR kept pace with a +0.5% gain of its own. Yet the stock remains under what looks like new short-term resistance at its highs from Monday near $72.40.

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: 90.10 change: +0.54

Stop Loss: 88.25
Target(s): 99.00
Current Option Gain/Loss: -14.5%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/17/13: DE is finally back above round-number resistance at the $90.00 level. Although a 10-cent gain is not very convincing. This is a close above $90 so I would consider new bullish positions here.

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: 126.03 change: +0.66

Stop Loss: 123.40
Target(s): 134.00
Current Option Gain/Loss: - 19.1%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/17/13: EOG briefly traded to a new high before paring its gains. There was a Bloomberg article out today suggesting that EOG could be a takeover target once its current CEO Mark Papa retires in June this year.

At this point I would wait for a new rally past $126.50 before launching 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: 60.16 change: +0.64

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:
01/17/13: HOT displayed a little relative strength with a +1.0% gain today. Yet shares remain just below resistance near $60.50.

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: 50.95 change: +1.48

Stop Loss: 48.25
Target(s): 54.00
Current Option Gain/Loss: + 2.8%
Time Frame: Exit prior to earnings on Feb. 1st!
New Positions: Yes, see below

Comments:
01/17/13: IR outperformed most of the market with a +2.99% gain today. The breakout past resistance at $50.00 is bullish. Our trigger to buy calls was hit at $50.25.

Our target is $54.00 but we will plan on exiting prior to the earnings in early February.

- Suggested Positions -

Long Feb $50 call (IR1316B50) entry $1.75

Entry on January 17 at $50.25
Average Daily Volume = 1.8 million
Listed on January 12, 2012


iShares Russell 2000 (ETF) - IWM - close: 88.32 change: +0.81

Stop Loss: 85.90
Target(s): 94.50
Current Option Gain/Loss: + 8.8%
Time Frame: 6 to 9 weeks
New Positions: see below

Comments:
01/17/13: The small cap index and ETF were outperforming the big caps today. The IWM added +0.9% and closed at a new record high.

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: 96.88 change: +3.28

Stop Loss: 92.45
Target(s): 99.00
Current Option Gain/Loss: + 9.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
01/17/13: MHK exploded higher with a +3.5% gain and a bullish breakout past the $95.00 level. This is a new multi-year high for the stock. I am raising our stop loss to $92.45.

- Suggested Positions - *Small Positions*

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

01/17/13 new stop loss @ 92.45

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


Noble Energy - NBL - close: 106.97 change: +1.22

Stop Loss: 101.75
Target(s): 114.00
Current Option Gain/Loss: + 8.6%
Time Frame: Exit prior to earnings on Feb. 7th!
New Positions: see below

Comments:
01/17/13: NBL pushed to a new high with today's +1.1% gain. We are raising our stop loss up to $102.75.

- Suggested Positions -

Long Feb $110 call (NBL1316B110) entry $1.15

01/17/13 new stop loss @ 102.75

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


OpenTable, Inc. - OPEN - close: 52.23 change: +0.56

Stop Loss: 50.90
Target(s): 58.00
Current Option Gain/Loss: -31.1%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
01/17/13: OPEN managed a bounce off the $51.50 level. I am not suggesting new positions at this time.

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: 54.86 change: -0.04

Stop Loss: 53.90
Target(s): 59.25
Current Option Gain/Loss: - 21.6%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
01/17/13: RHT spiked to a new four-week high this morning. Shares hit our trigger to buy calls at $55.40. Unfortunately the rally lost steam and RHT faded back to virtually unchanged on the session. I would wait for a new rally past $55.50 before initiating new positions. FYI: The Point & Figure chart for RHT is bullish with a $72 target.

- Suggested Positions -

Long Feb $55 call (RHT1316B55) entry $1.85

Entry on January 17 at $55.40
Average Daily Volume = 1.7 million
Listed on January 15, 2012


Sherwin-Williams Company - SHW - close: 162.84 change: +1.40

Stop Loss: 154.65
Target(s): 169.00
Current Option Gain/Loss: - 3.2%
Time Frame: Exit prior to earnings on Jan. 31st!
New Positions: see below

Comments:
01/17/13: SHW rallied toward its early January highs and stalled. The stock ended the session with a +0.8% gain.

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: 30.67 change: +0.22

Stop Loss: 27.45
Target(s): 33.50
Current Option Gain/Loss: +63.1%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
01/17/13: A dip in the U.S. dollar helped fuel a surge in silver prices. The SLV spiked toward potential resistance near $31.00 and its simple 50-dma. There is no change from my prior comments.

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

Cliffs Natural Res. - CLF - close: 36.69 change: +0.81

Stop Loss: 36.55
Target(s): 30.50
Current Option Gain/Loss: Unopened
Time Frame: exit prior to earnings on Feb. 13th
New Positions: Yes, see below

Comments:
01/17/13: CLF is still churning sideways between $35.50 and its 10-dma (currently 37.02). There is no change from my prior comments.

I am suggesting a trigger to buy puts if CLF hits $34.90. If triggered our target is $30.50 since the $30.00 level could be support. We do not want to hold over the mid February earnings report.

Trigger @ 34.90

- Suggested Positions -

buy the Feb $35 PUT (CLF1316n35)

Entry on January -- at $---.--
Average Daily Volume = 7.7 million
Listed on January 15, 2012


Green Mtn Coffee Roasters - GMCR - close: 40.88 change: +1.63

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:
01/17/13: Hmm.... GMCR is not cooperating. The stock outperformed the market with a +4.1% gain. If this bounce continues tomorrow we may drop GMCR as a bearish candidate.

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