Editor's Note:

After an impressive Q1 performance the market appears to have a hangover and tumbled lower into the second quarter.

HAIN has been removed.

SNA and CF were triggered.


Current Portfolio:


CALL Play Updates

Axiall Corp. - AXLL - close: 60.10 change: -2.06

Stop Loss: 59.90
Target(s): 69.00
Current Option Gain/Loss: Apr62.5c: -73.4% & May65c: -58.1%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
04/01/13: The stock market's widespread sell-off hit AXLL pretty hard. Shares plunged from $62 to support near $60.00 and traded to $59.92 intraday. Our stop loss is at $59.90. If there is any follow through tomorrow we'll see AXLL hit our stop loss. I am not suggesting new positions at this time.

- Suggested Positions -

Long Apr $62.50 call (AXLL1320D62.5) entry $3.20

- or -

Long May $65 call (AXLL1318E65) entry $2.75*

03/20/13 trade opened at trigger $63.15.
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on March 20 at $63.15
Average Daily Volume = 1.3 million
Listed on March 19, 2013


Continental Resources – CLR – close: 87.03 change: +0.10

Stop Loss: 84.65
Target(s): 93.50
Current Option Gain/Loss: -40.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: CLR managed to buck the market's down trend today with a very minor gain. Traders bought the dip near $86.15 intraday.

- Suggested Positions -

Long Apr $90 call (CLR1320D90) entry $1.50

Entry on March 26 at $---.--
Average Daily Volume = 1.2 million
Listed on March 25, 2013


Crane Co. - CR - close: 55.43 change: -0.43

Stop Loss: 54.40
Target(s): 58.50
Current Option Gain/Loss: -14.0%
Time Frame: 6 to 9 weeks
New Positions: see below

Comments:
04/01/13: CR fell back toward short-term support near $55.00 today. Shares were trying to rebound by the closing bell. CR still posted a -0.7% decline, which underperformed the major indices. I am not suggesting new positions at this time.

Earlier Comments:
We do want to keep our position size small to limit our risk. If triggered our multi-week target is $58.50. More aggressive traders could certainly aim higher but CR doesn't move super fast.

- Suggested Positions - *Small Positions*

Long JUN $55 call (CR1322F55) entry $2.50

03/23/13 new stop loss @ 54.40
03/20/13 new stop loss @ 53.90
03/11/13 triggered at $55.25, plus we corrected the typo regarding the April versus June option. We are suggesting the June $55 call.

Entry on March 11 at $55.25
Average Daily Volume = 314 thousand
Listed on March 09, 2013


CommVault Sys. - CVLT - close: 80.77 change: -1.23

Stop Loss: 79.90
Target(s): 89.00
Current Option Gain/Loss: -57.7%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: CVLT tried to rally this morning but the stock reversed under the $84 level. Shares plunged back toward round-number support at $80.00. If there is any follow through lower tomorrow we'll likely see CVLT hit our stop loss at $79.90.

- Suggested Positions -

Long Apr $85 call (CVLT1320D85) entry $2.25

03/30/13 new stop loss @ 79.90

Entry on March 27 at $83.25
Average Daily Volume = 627 thousand
Listed on March 20, 2013


Green Mtn Coffee Roasters - GMCR - close: 57.47 change: +0.71

Stop Loss: 54.45
Target(s): 59.75
Current Option Gain/Loss: +37.8%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: Bullish analyst comments and a new $70 price target helped GMCR buck the market's down trend today. Shares spiked to new 52-week highs but pared its gains to +1.25% by the closing bell.

Earlier Comments:
If this rally continues GMCR could see a short squeeze. The most recent data listed short interest at 37% of the 129 million-share float.

- Suggested Positions -

Long Apr 57.50 call (GMCR1320D57.5) entry $1.64

03/30/13 new stop loss @ 54.45
03/23/13 new stop loss @ 53.45

Entry on March 19 at $55.55
Average Daily Volume = 3.4 million
Listed on March 18, 2013


Genesee & Wyoming - GWR - close: 91.44 change: -1.67

Stop Loss: 89.90
Target(s): 98.50
Current Option Gain/Loss: -75.0%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
04/01/13: The transportation sector was hit with profit taking today (-1.48%) and this time the railroad stocks underperformed (-1.6%). Shares of GWR underperformed its peers with a -1.79% decline. Shares did managed a meager bounce off its simple 30-dma intraday. I am not suggesting new positions at this time.

Earlier Comments:
I would keep your position size small to limit our risk.

*Small Positions* - Suggested Positions -

Long Apr $95 call (GWR1320D95) Entry $1.40

03/25/13 new stop loss @ 90.70
03/19/13 new stop loss @ 89.90

Entry on March 11 at $92.35
Average Daily Volume = 407 thousand
Listed on March 09, 2013


Ingredion Inc. - INGR - close: 72.25 change: -0.07

Stop Loss: 69.75
Target(s): 74.75
Current Option Gain/Loss: +47.0%
Time Frame: 3 to 4 weeks
New Positions: , see below

Comments:
04/01/13: INGR spent Monday's session churning sideways in a very narrow range. While the stock was relatively resistant to the market's down turn today the option still contracted. I am not suggesting new positions. More conservative traders may want to raise their stop loss.

FYI: The Point & Figure chart for INGR is bullish with an $83 target.

- Suggested Positions -

Long Apr $70 call (INGR1320D70) entry $1.70

03/30/13 new stop loss @ $69.75

Entry on March 25 at $70.65
Average Daily Volume = 585 thousand
Listed on March 23, 2013


Kansas City Southern - KSU - close: 108.57 change: -2.33

Stop Loss: 105.75
Target(s): 114.00
Current Option Gain/Loss: -14.0%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
04/01/13: Ouch! KSU was breaking out on Thursday. Unfortunately profit taking in the transports and especially the rail stocks shaved off -2.1% today. More conservative traders may want to tighten their stops even higher.

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

- Suggested Positions -

Long Apr $110 call (KSU1320D110) entry $2.50

03/25/13 new stop loss @ 105.75
03/23/13 Our stop is at $104.75 but readers may want to use a stop around $105.75 instead.

Entry on March 14 at $107.50
Average Daily Volume = 984 thousand
Listed on March 13, 2013


Noble Energy - NBL - close: 116.00 change: +0.34

Stop Loss: 113.45
Target(s): 119.75
Current Option Gain/Loss: + 3.2%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
04/01/13: Traders bought the dip in NBL near $114.60 and shares recovered to close in positive territory. I am raising our stop loss up to $113.45.

- Suggested Positions -

Long May $120 call (NBL1318E120) entry $1.55

04/01/13 new stop loss @ 113.45
03/26/13 triggered @ 115.35
03/25/13 adjust entry trigger to $115.35, adjust stop to $112.65

Entry on March 26 at $115.35
Average Daily Volume = 1.0 million
Listed on March 23, 2013


Snap-on Inc. - SNA - close: 81.87 change: -0.83

Stop Loss: 80.90
Target(s): 88.50
Current Option Gain/Loss: - 30.7%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: Hmm... that's not exactly the most thrilling start to our SNA trade. Shares did rally this morning and SNA broke out to a new high above $83.00. Our trigger to buy calls at $83.00 was hit. Unfortunately the market's widespread weakness pulled SNA back down to $81.25 before shares started to pare their losses. Readers may want to wait for a new rally past $83.00 before considering new bullish positions.

- Suggested Positions -

Long May $85 call (SNA1318E85) entry $1.30

Entry on April 01 at $ 83.00
Average Daily Volume = 288 thousand
Listed on March 30, 2013


PUT Play Updates

CF Industries - CF - close: 190.02 change: -0.35

Stop Loss: 194.05
Target(s): 176.00
Current Option Gain/Loss: -11.5%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: Our new CF trade was also triggered today. Shares gapped open lower at $189.79. The stock spiked down to $188.56 before bouncing back to close right at round-number support near $190.00. Our trade is open. However, I would wait for a new drop below $188.50 before initiating new positions.

Earlier Comments:
I do consider this an aggressive, higher-risk trade because CF can be a volatile stock. If triggered our target is $176.00. More conservative traders may want to take profits early in the $181-180 zone instead. FYI: The Point & Figure chart for CF is bearish with a $144 target.

*Small Positions* - Suggested Positions -

Long May $180 PUT (CF1318Q180) entry $3.90

Entry on April 01 at $188.75
Average Daily Volume = 1.1 million
Listed on March 30, 2013


F5 Networks - FFIV - close: 87.91 change: -1.17

Stop Loss: 90.55
Target(s): 85.25
Current Option Gain/Loss: -16.4%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: FFIV is starting to roll over as expected. Shares underperformed the market with a -1.3% decline today. Traders could use today's move as a new entry point.

Our target is $85.25 but more aggressive traders may want to aim for the $82.00-81.50 zone instead.

- Suggested Positions -

Long Apr $85 PUT (FFIV1320P85) entry $1.40

03/23/13 new stop loss @ 90.55

Entry on March 22 at $89.11
Average Daily Volume = 1.5 million
Listed on March 21, 2013


Joy Global, Inc. - JOY - close: 57.75 change: -1.77

Stop Loss: 60.25
Target(s): 52.50
Current Option Gain/Loss: - 3.2%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: The weak ISM data today weighed heavily on the industrial stocks. Shares of JOY displayed relative weakness with a -2.9% decline and a new drop below its 200-dma.

- Suggested Positions -

Long Apr 60 PUT (JOY1320P60) entry $3.05

Entry on March 25 at $57.50
Average Daily Volume = 2.7 million
Listed on March 20, 2013


Rackspace Hosting - RAX - close: 49.47 change: -1.01

Stop Loss: 50.25
Target(s): 45.50
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
04/01/13: RAX tried to rally this morning but failed at its simple 10-dma. The stock reversed into a -2.0% decline, underperforming the broader market. Traders may want to jump in now and buy puts. The newsletter is suggesting a trigger to open positions at $49.00.

Earlier Comments:
The March 15th low was $49.18. I am suggesting a trigger to buy puts at $49.00. If triggered our short-term target is $45.50. The $45.00 level does look like it could be significant support.

NOTE: I would keep our position size small. While there is growing competition in the cloud computing field there are also expectations that the industry could see consolidation and smaller companies, like RAX, could be takeover targets.

Trigger @ 49.00 *Small Positions*

- Suggested Positions -

Buy the Apr $50 PUT (RAX1320P50) current ask $1.95

Entry on March -- at $---.--
Average Daily Volume = 2.4 million
Listed on March 27, 2013


Vitamin Shoppe, Inc. - VSI - close: 47.69 change: -1.16

Stop Loss: 50.15
Target(s): 45.50
Current Option Gain/Loss: +37.5%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/01/13: VSI has broken down to new multi-month lows with today's -2.3% drop. I am lowering our stop loss down to $50.15.

- Suggested Positions -

Long Apr $50 PUT (VSI1320P50) entry $2.00

04/01/13 new stop loss @ 50.15

Entry on March 21 at $49.75
Average Daily Volume = 736 thousand
Listed on March 11, 2013


CLOSED BULLISH PLAYS

The Hain Celestial Group - HAIN - close: 60.79 change: -0.29

Stop Loss: 60.95
Target(s): 65.75
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
04/01/13: HAIN has not been cooperating and shares continue to drift lower. Our trigger to launch positions was $62.75 but the trade is not open yet. I am removing HAIN as a candidate.

Trade did not open.

04/01/13 removed from the newsletter

chart:

Entry on March -- at $---.--
Average Daily Volume = 821 thousand
Listed on March 26, 2013