Editor's Note:

Economic worries over China and geopolitical worries over Ukraine proved to be a powerful one-two punch for the U.S. stock market on Thursday.

BWA has been removed. FB and IFF were stopped out. VMC was closed this morning. WDAY has been triggered.

NOTE: March options only have six trading days left.


Current Portfolio:


CALL Play Updates

Chicago Bridge & Iron - CBI - close: 82.30 change: -0.66

Stop Loss: 80.90
Target(s): 89.50
Current Option Gain/Loss: -50.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: CBI ricocheted between overhead resistance at its 10-dma and short-term support at its 20-dma. I am not suggesting new positions at this time.

Earlier Comments:
Our target is $89.50. More aggressive investors could aim higher since the Point & Figure chart for CBI is bullish with a $111 target.

- Suggested Positions -

Long Apr $85 call (CBI1419D85) entry $2.80

03/04/14 triggered @ 84.50

Entry on March 04 at $84.50
Average Daily Volume = 1.16 million
Listed on March 01, 2014


Centene Corp. - CNC - close: 63.62 change: -0.79

Stop Loss: 61.75
Target(s): 67.75
Current Option Gain/Loss: -68.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13/14: CNC suffered a -1.2% decline and settled near short-term support at its 10-dma. We are quickly running out of time on our March calls. I am not suggesting new positions at this time.

Earlier Comments:
Our target is $67.75. More aggressive investors may want to aim higher since the Point & Figure chart for CNC is bullish with a $78 target.

- Suggested Positions -

Long Mar $65 call (CNC1422C65) entry $1.25

03/01/14 new stop loss @ 61.75
02/24/14 triggered @ 63.60

Entry on February 25 at $63.60
Average Daily Volume = 656 thousand
Listed on February 24, 2014


Greenbrier Companies - GBX - close: 45.89 change: -0.25

Stop Loss: 44.30
Target(s): April call target: $49.85, June call target: $53.50
Current Option Gain/Loss: Apr$50c: -22.2% & Jun$50c: -12.5%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: Our new play on GBX held up reasonably well. Shares opened at $46.25. The stock rallied toward its recent high near $47 before succumbing to the market's widespread decline. Shares settled with a 25-cent loss. Considering the market's performance today I would wait for a new rise above $46.30 before initiating new positions.

Earlier Comments:
Please note that I am setting two targets. If you choose the April calls then plan to exit at $49.85. If you choose the June calls then we're aiming for $53.50.

- Suggested Positions -

Long Apr $50 call (GBX1419D50) entry $0.90

- or -

Long Jun $50 call (GBX1421F50) entry $2.00

03/13/14 opened at $46.25

Entry on March 13 at $46.25
Average Daily Volume = 608 thousand
Listed on March 12, 2014


Lockheed Martin - LMT - close: 162.83 change: -1.03

Stop Loss: 159.90
Target(s): 169.75 & 174.75
Current Option Gain/Loss: -35.7%
Time Frame: exit prior to April option expiration
New Positions: see below

Comments:
03/13/14: LMT dipped toward yesterday's lows and settled with a -0.6% decline. If the market continues to sink then we'll likely see LMT testing the $160 area. I am not suggesting new positions at this time.

We have two different targets. Our conservative target is $169.75. Our more aggressive target is $174.75. FYI: The Point & Figure chart for LMT is very bullish with a $221 target.

- Suggested Positions -

Long Apr $165 call (LMT1419D165) entry $4.20

03/04/14 triggered @ 164.35

Entry on March 04 at $164.35
Average Daily Volume = 2.3 million
Listed on March 03, 2014


Spirit Airlines - SAVE - close: 59.36 change: -0.48

Stop Loss: 57.25
Target(s): 65.00
Current Option Gain/Loss: -32.8%
Time Frame: 4 to 5 weeks
New Positions: see below

Comments:
03/13/14: SAVE also held up reasonably well with a dip toward its 10-dma. While the trend is still up I am not suggesting new positions at this time.

- Suggested Positions -

Long Apr $60 call (SAVE1419D60) entry $3.20

03/11/14 triggered @ 60.50

Entry on March 11 at $60.50
Average Daily Volume = 1.0 million
Listed on March 10, 2014


Constellation Brands Inc. - STZ - close: 82.27 change: -0.84

Stop Loss: 81.45
Target(s): Target for March calls @ $84.50
Target(s): Target for April calls @ $88.00
Current Option Gain/Loss: Mar$80c:+ 41.1% & Apr$80c: +24.2%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
03/13/14: I am starting to regret not exiting our March calls on Monday with STZ at $84.00. Shares ended today's session sitting near short-term support at $82.00. Any further weakness will likely hit our stop loss at $81.45. I am not suggesting new positions at this time.

Our target to exit the March $80 calls is STZ at $84.50.
Our target to exit the April $80 calls is STZ at $88.00.

- Suggested Positions -

Buy the MAR $80 call (STZ1422C80) entry $1.70

- or -

Buy the APR $80 call (STZ1419D80) entry $3.30

03/08/14 new stop loss @ 81.45
move the target to exit the March calls to $84.50
move the target to exit the April calls to $88.00
03/01/14 new stop loss @ 79.65
02/25/14 new stop loss @ 78.75
02/22/14 new stop loss @ 77.80
02/18/14 new stop loss @ 77.40
02/13/14 new stop loss @ 76.40
02/12/14 triggered @ 79.00

Entry on February 12 at $79.00
Average Daily Volume = 1.5 million
Listed on February 11, 2014


Varian Medical Systems - VAR - close: 84.09 change: -0.66

Stop Loss: 83.40
Target(s): 89.75
Current Option Gain/Loss: -42.3%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: VAR is still churning sideways in the $84-85 zone. However, today's move has created a bearish reversal candlestick pattern that needs to see confirmation. I am not suggesting new positions at this time.

The Point & Figure chart for VAR is bullish with a $91 target.

- Suggested Positions -

Long Apr $85 call (VAR1419D85) entry $2.08

03/11/14 triggered @ 85.05

Entry on March 11 at $85.05
Average Daily Volume = 573 thousand
Listed on March 08, 2014


VMware, Inc. - VMW - close: 103.97 change: -2.90

Stop Loss: 99.75
Target(s): 114.00
Current Option Gain/Loss: + 2.8%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: Bullish analyst comments on VMW this morning helped the stock hit new relative highs at $107.86 today. Unfortunately VMW sacrificed all of today's gains and most of yesterday's rally with a sharp sell-off thanks to the market's plunge. I am not suggesting new positions at this time.

Earlier Comments:
Our target is $114.00. More aggressive traders could aim higher. The point & figure chart just produced a brand new triple-top breakout buy signal this month and is forecasting at $121 target.

- Suggested Positions -

Long Apr $105 call (VMW1419D105) entry $3.50

03/11/14 triggered on gap higher at $104.08, suggested entry was $103.55

Entry on March 11 at $104.08
Average Daily Volume = 2.0 million
Listed on March 10, 2014


Workday, Inc. - WDAY - close: 101.21 change: -1.42

Stop Loss: 98.70
Target(s): 110.00-115.00
Current Option Gain/Loss: -36.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: WDAY also erased most of yesterday's gains. Unfortunately the stock rallied first this morning. Shares actually gapped open higher at $103.82 and then sprinted to short-term resistance near $105 and its 10-dma before reversing lower. WDAY was bouncing along round-number support at $100.00 before the day was over.

Our plan was to buy calls at $103.25 so the gap open higher triggered our play. If you're looking for an entry point now I would wait for a rise past $102.00.

Earlier Comments:
Our target is the $110-115 zone. We will tentatively set an exit target at $110.00 for now. The stock could move quickly. The most recent data listed short interest at 20% of the 80.2 million share float.

- Suggested Positions -

Long Apr $105 call (WDAY1419D105) entry $4.30

03/13/14 triggered on gap higher at $103.82. plan was a trigger @ 103.25

Entry on March 13 at $103.82
Average Daily Volume = 1.9 million
Listed on March 12, 2014




PUT Play Updates

Akamai Tech. - AKAM - close: 59.03 change: -1.41

Stop Loss: 61.25
Target(s): 55.10
Current Option Gain/Loss: - 2.1%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/13/14: AKAM tried to rally this morning but failed at technical resistance near its 10-dma and 20-dma. Shares reversed into a -2.3% decline and a new two-week closing low. Today's move looks like a new bearish entry point.

- Suggested Positions -

Long Apr $57.50 put (AKAM1419P57.5) entry $1.42

03/11/14 triggered @ 58.95

Entry on March 11 at $58.95
Average Daily Volume = 3.0 million
Listed on March 10, 2014


Green Mountain Coffee Roasters - GMCR - cls: 106.16 chg: -2.44

Stop Loss: 112.25
Target(s): 101.00
Current Option Gain/Loss: + 91.8%
Time Frame: Exit prior to March option expiration
New Positions: see below

Comments:
03/13/14: GMCR gapped open higher this morning and briefly traded above the $110 level before reversing. By the closing bell GMCR had erased yesterday's gains. More conservative traders could lower their stop loss closer to today's high ($110.41).

Forbes had an interesting article on GMCR today. They discussed how coffee prices have doubled from their November lows. Coffee retailers like Starbucks (SBUX) and Dunkin' Donuts (DNKN) are likely to weather the rise in coffee futures relatively well since the actually price of coffee is such a small cost in each cup they sell. Yet for GMCR it's a different story since coffee prices make up a much larger chunk for each k-cup they sell.

Don't forget that we only have six trading days left on our March options.

Earlier Comments:
GMCR can be a volatile stock so we consider any trades to be more aggressive and higher risk. Use small positions to limit risk.

*small positions* - Suggested Positions -

Long MAR $110 PUT (GMCR1422o110) entry $2.58*

03/08/14 new stop loss @ 112.25
03/06/14 our put has doubled in value. Traders may want to take some money off the table.
03/05/14 new stop loss @ 113.55
03/01/14 new stop loss @ 115.05
02/27/14 triggered @ 114.65
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on February 27 at $114.65
Average Daily Volume = 6.7 million
Listed on February 26, 2014


Twitter, Inc. - TWTR - close: 53.57 change: -0.93

Stop Loss: 56.15
Target(s): 50.25
Current Option Gain/Loss: - 2.7%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
03/13/14: The bounce attempt in TWTR this morning failed near its trend of lower highs. The stock underperformed the broader market with a -1.7% decline. The stock is on the verge of hitting new four-week lows.

Earlier Comments:
TWTR currently has 544.7 million shares outstanding. There is a major lock up expiring on May 6th when another 474 million shares will come available for sale by insiders. It seems unlikely that TWTR is going to rally ahead of such a massive lock up expiration.

TWTR can be a volatile stock. Therefore we are suggesting small positions to limit risk.

- Suggested Positions -

Long Apr $50 PUT (TWTR1419P50) entry $1.80

03/12/14 trade opens at $54.25

Entry on March 12 at $54.25
Average Daily Volume = 11.4 million
Listed on March 11, 2014


The ExOne Company - XONE - close: 41.18 change: -0.71

Stop Loss: 45.10
Target(s): 40.25
Current Option Gain/Loss: +48.1%
Time Frame: exit PRIOR to earnings on March 19th
New Positions: see below

Comments:
03/13/14: Hmm... XONE traded down toward yesterday's lows and then started to bounce this afternoon. We only have six trading days left on our March options. Readers may want to consider an early exit here.

Earlier Comments:
I do consider this an aggressive, higher-risk trade. The 3D printing stocks can be very volatile. Furthermore XONE has very high short interest. The most recent data listed short interest at 43% of the very, very small 7.9 million share float. That raises the risk of a short squeeze. This trade also has a short time frame. XONE is scheduled to report earnings on March 19th. We do not want to hold over the report.

*Small Positions - Aggressive Trade*

Long MAR $40 PUT (XONE1422o40) entry $1.08

03/13/14 readers may want to consider an early exit here
03/12/14 new stop @ 45.10
03/06/14 triggered @ 44.40

Entry on March 06 at $44.40
Average Daily Volume = 444 thousand
Listed on March 05, 2014



CLOSED BULLISH PLAYS

BorgWarner Inc. - BWA - close: 60.70 change: -0.68

Stop Loss: 59.90
Target(s): 67.50
Current Option Gain/Loss: Unopened
Time Frame: exit prior to April expiration
New Positions: see below

Comments:
03/13/14: BWA remains inside its $60-62 trading range in spite of the market's weakness. After three weeks of churning sideways in this zone we are temporarily giving up on BWA as a breakout play. Our trade has not opened yet so tonight we're removing BWA as a candidate. We can revisit the stock on a breakout past $62 or a dip to what could be support near the $57 area.

Trade did not open.

03/13/14 removed from the newsletter, suggested trigger was $62.25
03/05/14 corrected some numbers on the entry point, target and stop loss.
Use a trigger @ 62.25. Use a stop at $59.90. Target 67.50

chart:

Entry on March -- at $---.--
Average Daily Volume = 2.0 million
Listed on March 04, 2014


Facebook, Inc. - FB - close: 68.83 change: -2.05

Stop Loss: 68.40
Target(s): 77.50
Current Option Gain/Loss: - 34.5%
Time Frame: exit prior to April expiration
New Positions: see below

Comments:
03/13/14: FB has been one of the better performing stocks this year. When the market started to sell off today shares of FB hit some profit taking with a -2.89% plunge and a breakdown below its 10-dma, 20-dma and the $70.00 level again. Our stop was hit at $68.40.

- Suggested Positions -

Apr $75 call (FB1419D75) entry $2.00 exit $1.31 (-34.5%)

03/13/14 stopped out
03/10/14 triggered on gap higher at $70.77, trigger was $70.75
03/08/14 adjust entry trigger from $71.25 down to $70.75

chart:

Entry on March 10 at $70.77
Average Daily Volume = 58 million
Listed on March 06, 2014


Intl. Flavors & Fragrances - IFF - close: 92.74 change: -1.32

Stop Loss: 92.95
Target(s): 99.50
Current Option Gain/Loss: -20.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: Our plan to give IFF more room to move and widen the stop loss a bit backfired today with the market in sell-off mode. Shares of IFF actually opened higher and briefly traded above its 10-dma before reversing. Shares did reverse sharply and closed down -1.4%, hitting our stop at $92.95 this afternoon.

- Suggested Positions -

Apr $95 call (IFF1419D95) entry $1.50 exit $1.20* (-20.0%)

03/13/14 stopped out
*option exit price is an estimate since the option did not trade at the time our play was closed.
03/12/14 new stop loss @ 92.95, Readers may want to just exit early now!
03/11/14 new stop loss @ 93.40
03/08/14 new stop loss @ 92.80
03/04/14 new stop loss @ 92.40
02/28/14 triggered @ 93.65

chart:

Entry on February 28 at $93.65
Average Daily Volume = 410 thousand
Listed on February 27, 2014


Vulcan Materials - VMC - close: 65.79 change: -1.14

Stop Loss: 66.25
Target(s): 74.50
Current Option Gain/Loss: -51.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/13/14: It's been a rough week for VMC shares. The stock was down another -1.7% today. In last night's newsletter we decided to exit positions at the opening bell today. The small gap open at $67.35 probably helped our exit this morning.

- Suggested Positions -

APR $70 call (VMC1419D70) entry $2.35* exit $1.15** (-51.0%)

03/13/14 planned exit
**option exit price is an estimate since the option did not trade at the time our play was closed.
03/12/14 prepare to exit tomorrow morning!
03/04/14 triggered on gap higher at $69.31. Suggested trigger was $68.75
*option entry price is an estimate since the option did not trade at the time our play was opened.

chart:

Entry on March 04 at $69.31
Average Daily Volume = 1.1 million
Listed on March 03, 2014