Editor's Note:

The Japanese NIKKEI index helped lead equities higher. The German DAX followed. The S&P 500 lagged behind with a +0.4% gain.

It was a relatively quiet day for our current trades.


Current Portfolio:


CALL Play Updates

American Tower Corp. - AMT - close: 81.02 change: -0.03

Stop Loss: 78.75
Target(s): 84.75
Current Option Gain/Loss: + 0.0%
Time Frame: Exit prior to earnings on May 1st
New Positions: see below

Comments:
04/22/13: We've been in this AMT trade for over a week and while the stock has managed to tag new all-time highs the option isn't moving much. AMT spiked to another high this morning before paring its gains and closing virtually unchanged on the session. I am not suggesting new positions.

Our target is $84.75. More aggressive traders could aim higher. FYI: The Point & Figure chart for AMT is bullish with a $94 target.

- Suggested Positions -

Long May$80 call (AMT1318E80) entry $2.05

Entry on April 11 at $80.25
Average Daily Volume = 2.2 million
Listed on April 09 2013


Clorox Co. - CLX - close: 89.25 change: +0.36

Stop Loss: 87.95
Target(s): 94.00
Current Option Gain/Loss: Unopened
Time Frame: exit PRIOR to earnings on May 1st
New Positions: Yes, see below

Comments:
04/22/13: CLX began trading ex-dividend this morning. Shares recovered from their morning lows and managed to keep pace with the S&P 500 index. We are still on the sideline waiting for a breakout past $90.00.

This is going to be a short-term trade. We may not have time for CLX to make it to $100. The company is due to report earnings on May 1st and we do not want to hold over the announcement. There is too much risk that investors could sell the news after CLX's impressive rally.

Friday's high was $90.10. I am suggesting a trigger to buy calls at $90.25. If triggered our short-term target is $94.00.

Trigger @ 90.25

- Suggested Positions -

buy the May $90 call (CLX1318E90) current ask $1.40

Entry on April -- at $---.--
Average Daily Volume = 738 thousand
Listed on April 20 2013


Gilead Sciences - GILD - close: 54.05 change: +0.88

Stop Loss: 49.75
Target(s): 56.50
Current Option Gain/Loss: +48.9%
Time Frame: Exit PRIOR to earnings on May 2nd
New Positions: see below

Comments:
04/22/13: GILD had two analyst firms raise their price targets on this stock. Shares gapped open higher. The initial pop actually faded but traders bought the dip and GILD managed to outperform the market with a +1.6% gain. Readers may want to raise their stop loss.

Earlier Comments:
I do consider this a more aggressive entry point. More conservative traders may want to wait for a pullback near the $50.50-50.00 zone as an alternative entry point. Our target is $56.50 but we'll plan on exiting prior to the May 2nd earnings report.

- Suggested Positions -

Long May $52.50 call (GILD1318e52.5) entry $1.94

Entry on April 15 at $52.25
Average Daily Volume = 11.7 million
Listed on April 13 2013


PUT Play Updates

Atlas Air Worldwide - AAWW - close: 38.32 change: +0.25

Stop Loss: 40.05
Target(s): 33.50
Current Option Gain/Loss: -26.4%
Time Frame: exit PRIOR to earnings in early May
New Positions: see below

Comments:
04/22/13: AAWW initially spiked lower this morning and hit a new 52-week low near $37 before reversing. I couldn't find any news to account for the sudden reversal. Shares outperformed the broader market with a +0.6% gain. More conservative traders might want to lower their stop loss. I would not be surprised to see a bounce toward the simple 10-dma or the $39.00 level.

Our target is $33.50 but more conservative traders could exit early near $35.00 instead. FYI: The Point & Figure chart for AAWW is bearish with a $29 target.

- Suggested Positions -

Long May $37.50 PUT (AAWW1318Q37.5) entry $1.70

Entry on April 17 at $38.00
Average Daily Volume = 262 thousand
Listed on April 16 2013


FedEx Corp. - FDX - close: 92.50 change: +0.11

Stop Loss: 95.25
Target(s): 86.50
Current Option Gain/Loss: - 0.8%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/22/13: FDX rebounded from its early morning lows but struggled to make it back into positive territory. I don't see any changes from my weekend comments. Nimble traders could watch for a failed rally near $94.00 and its 200-dma as an alternate entry point to buy puts. I am adjusting our stop loss down to $95.25.

- Suggested Positions -

Long May $92.50 PUT (FDX1318Q92.5) entry $2.12

04/20/13 new stop loss @ 95.25
04/18/13 trade opened on gap down at $93.18, trigger was $93.50

Entry on April 18 at $93.18
Average Daily Volume = 3.3 million
Listed on April 15 2013


Dow Jones Transportation ETF - IYT - close: 107.57 chg: +0.13

Stop Loss: 107.05
Target(s): 100.25
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
04/22/13: Currently we are waiting for a bearish breakdown in the IYT with a trigger to buy puts at $104.75. However, nimble traders could look for a failed rally near the trend of lower highs (near the 109.00-109.50 area) as an alternative entry point for bearish positions. Just be sure you use a tight stop loss.

Trigger @ 104.75

- Suggested Positions -

buy the May $105 PUT (IYT1318Q105)

Entry on April -- at $---.--
Average Daily Volume = 904 thousand
Listed on April 17 2013


SINA Corp. - SINA - close: 46.30 change: +0.04

Stop Loss: 48.25
Target(s): 42.00
Current Option Gain/Loss: -5.9%
Time Frame: exit PRIOR to earnings in mid-May
New Positions: see below

Comments:
04/22/13: SINA fell to a new relative low this morning and then immediately bounce. It was a common occurrence today. Fortunately the bounce didn't get very far and SINA found resistance near the $47.00 level this afternoon. I would still consider new bearish positions now but traders may want to wait for a new relative low (under $45.50) before initiating put positions.

Earlier Comments:
Investors should be aware that SINA's stock could be influenced by earnings results from its rivals. BIDU is scheduled to report earnings on April 25th. SOHU is due on April 29th. NTES should report earnings in mid-May.

- Suggested Positions -

Long May $45 PUT (SINA1318Q45) entry $2.20

Entry on April 22 at $46.26
Average Daily Volume = 1.7 million
Listed on April 20 2013


S&P500 ETF - SPY - close: 156.17 change: +0.69

Stop Loss: 155.65
Target(s): 149.00
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below

Comments:
04/22/13: The oversold bounce in the SPY continued on Monday but it failed to push through all of its key moving averages. The 10-dma is still short-term overhead resistance.

Currently we are waiting for a breakdown and our suggested entry point is $153.40. However, we might see the SPY bounce back toward its recent highs. If that happens we want to be nimble enough to launch bearish positions on a failed rally near resistance. We may end up adjusting our entry strategy if the opportunity presents itself.

Trigger @ 153.40

- Suggested Positions -

buy the May $150 PUT (SPY1318Q150)

Entry on April -- at $---.--
Average Daily Volume = 130 million
Listed on April 18 2013


Vulcan Materials - VMC - close: 46.67 change: +0.62

Stop Loss: 47.55
Target(s): 40.25
Current Option Gain/Loss: Unopened
Time Frame: exit PRIOR to earnings in early May
New Positions: Yes, see below

Comments:
04/22/13: The market produced a relatively widespread bounce today and VMC outperformed the major indices with a +1.3% gain. Yet the overall trend is still bearish. We are waiting for a breakdown.

Earlier Comments:
Shares of VMC are in a bearish trend of lower highs and lower lows and recently broke down below its simple 200-dma. The stock is currently testing potential support at its simple 300-dma. Monday's low was $45.42. I am suggesting a trigger to buy puts at $44.90. If triggered our target is $40.25. However, keep in mind that VMC is scheduled to report earnings in early May (not date yet) and we will plan to exit prior to the announcement.

Trigger @ 44.90

- Suggested Positions -

buy the May $45 PUT (VMC1318Q45)

Entry on April -- at $---.--
Average Daily Volume = 581 thousand
Listed on April 18 2013



Longer-Term Play Updates



Chicago Bridge & Iron Co. - CBI - close: 52.27 change: +0.89

Stop Loss: 49.25
Target(s): 62.50
Current Option Gain/Loss: July's: +2.2% or Jan's: +0.0%
Time Frame: 3 to 4 months
New Positions: see below

Comments:
04/22/13: Our new CBI trade is off to a good start.
Please review our original play description at the bottom of this page here.

- Suggested Positions -

Long 2013 Jul $55 call (CBI1320G55) Entry $2.20*

- or -

Long 2014 Jan $60 call (CBI1418A60) Entry $2.90*

*option entry price is an estimate since the option did not trade at the time our play opened.

Entry on April 22 at $51.53
Average Daily Volume = 2.5 million
Listed on April 20 2013