Editor's Note:

The U.S. market suffered one of its worst weeks of the year as investors reacted to disappointing economic data out of China and growing tensions with Russia over its invasion of Ukraine and the upcoming Crimea referendum.

XONE hit our bearish target. GMCR hit our stop loss.


Current Portfolio:


CALL Play Updates

Chicago Bridge & Iron - CBI - close: 81.70 change: -0.60

Stop Loss: 80.90
Target(s): 89.50
Current Option Gain/Loss: -53.5%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/15/14: CBI closed near its lows for the week with shares forming a short-term, bearish trend of lower highs. If the market continues to sink this week we will likely see CBI hit our stop at $80.90. I am not suggesting new positions at this time. CBI should have support in the $81.00 area but there is no guarantee it will hold.

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

chart:

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


Centene Corp. - CNC - close: 63.06 change: -0.56

Stop Loss: 61.75
Target(s): 67.75
Current Option Gain/Loss: -80.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/15/14: CNC also closed near its lows for the week with shares underperforming on Friday (-0.8%). The stock looks like it is headed for short-term support near $62.00 or its 50-dma (near 61.55). I am not suggesting new positions at this time.

We only have FIVE trading days left on our March calls.

- Suggested Positions -

Long Mar $65 call (CNC1422C65) entry $1.25

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

chart:

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


Greenbrier Companies - GBX - close: 46.22 change: +0.33

Stop Loss: 44.30
Target(s): April call target: $49.85, June call target: $53.50
Current Option Gain/Loss: Apr$50c: -16.6% & Jun$50c: + 0.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/15/14: The Association of American Railroads recently released data showing that crude oil transport by rail had surged over +70% in 2013 over 2012 levels. The current pace of crude oil transport by rail in 2014 is poised to outpace 2013.

Shares of GBX displayed relative strength on Friday with a bounce from its 10-dma. Traders could use this bounce as an entry point. More conservative traders might want to wait for a breakout past $47.00 instead.

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

chart:

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


Lockheed Martin - LMT - close: 162.42 change: -0.41

Stop Loss: 159.90
Target(s): 169.75 & 174.75
Current Option Gain/Loss: -39.2%
Time Frame: exit prior to April option expiration
New Positions: see below

Comments:
03/15/14: I cautioned readers earlier in the week that LMT looked like it could retest the $160 area. Shares failed near their 10-dma on Friday and closed near their lows. The stock definitely looks poised to drop toward support near $160.00 and our stop loss at $159.90 may be too close. 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

chart:

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


Spirit Airlines - SAVE - close: 59.23 change: -0.13

Stop Loss: 57.25
Target(s): 65.00
Current Option Gain/Loss: -37.5%
Time Frame: 4 to 5 weeks
New Positions: see below

Comments:
03/15/14: SAVE bounced near short-term support at its 10-dma but the rebound didn't get very far before fading. Friday's high was $59.87. Investors may want to wait for a new rally above $60.00 before initiating new positions.

- Suggested Positions -

Long Apr $60 call (SAVE1419D60) entry $3.20

03/11/14 triggered @ 60.50

chart:

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


Constellation Brands Inc. - STZ - close: 82.50 change: +0.23

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:+ 47.0% & Apr$80c: +33.3%
Time Frame: 6 to 8 weeks
New Positions: see below

Comments:
03/15/14: STZ displayed some relative strength with a gain on Friday but shares still failed at short-term resistance near $83.50. We are quickly running out of time with only five days left for our March options. If the market sees any weakness on Monday I'm worried we could see STZ hit our stop 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

chart:

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


Varian Medical Systems - VAR - close: 84.25 change: +0.16

Stop Loss: 83.40
Target(s): 89.75
Current Option Gain/Loss: -35.0%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/15/14: VAR continues to churn sideways in the $83.50-85.00 zone. Fortunately the stock did not see any follow through on Thursday's bearish reversal-type of candlestick. Of course that doesn't mean shares won't breakdown on Monday. The low on Friday was $83.65 and our stop loss is at $83.40.

Traders will want to wait for a new rally past $85.00 before considering new bullish positions.

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

chart:

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


VMware, Inc. - VMW - close: 105.50 change: +1.53

Stop Loss: 99.75
Target(s): 114.00
Current Option Gain/Loss: +22.8%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/15/14: It has been a bumpy week for VMW but the trend has been higher. The stock was showing relative strength on Friday with a +1.4% gain. More conservative traders might want to move their stop loss closer to the 10-dma near $102.60. 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

chart:

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


Workday, Inc. - WDAY - close: 100.91 change: -0.30

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:
03/15/14: WDAY traded below the $100 level during Friday's market weakness. Fortunately the stock pared its losses by the closing bell. Traders could use a bounce from current levels as a potential entry point. However, you might want to wait for a breakout past the 10-dma (near 103.50) as an alternative entry instead.

WDAY's recent volatility makes this a more aggressive, higher-risk trade.

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

chart:

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: 59.53 change: +0.50

Stop Loss: 61.25
Target(s): 55.10
Current Option Gain/Loss: -14.0%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
03/15/14: AKAM bounced from the 30-dma on Friday but shares struggled with resistance near $60.00. Traders could use a new drop below $59.40 as a bearish entry point.

- Suggested Positions -

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

03/11/14 triggered @ 58.95

chart:

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


Charter Communications - CHTR - close: 127.00 change: +1.28

Stop Loss: 127.05
Target(s): 1st target: 120.50, 2nd target: $116.00
Current Option Gain/Loss: Unopened
Time Frame: 4 to 5 weeks
New Positions: Yes, see below

Comments:
03/15/14: CHTR did not see any follow through on Thursday's drop. Instead shares bounced and outperformed the market with a +1.0% gain on Friday. If the stock doesn't cooperate soon we will likely drop CHTR as a candidate. Currently, I am suggesting a trigger to open bearish positions at $124.60. If triggered I am setting two different targets. Our conservative target is $120.50, the February low. Our more aggressive target is $116.00. FYI: The Point & Figure chart for CHTR is bearish with a $110 target.

Trigger @ 124.60

- Suggested Positions -

Buy the APR $120 PUT (CHTR1419P120)

chart:

Entry on March -- at $---.--
Average Daily Volume = 2.5 million
Listed on March 13, 2014


Twitter, Inc. - TWTR - close: 51.92 change: -1.65

Stop Loss: 56.15
Target(s): 46.50
Current Option Gain/Loss: +25.0%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
03/15/14: TWTR displayed relative weakness with a -3.0% drop on Friday. The stock is hitting new four-week lows. We are turning more aggressive with our exit target. The $50.00 level is round-number, psychological support and TWTR has bounced there in the past. However, we are adjusting our exit target from $50.25 down to $46.50. I do expect that TWTR will see a short-term bounce on its test of the $50.00 mark. More conservative traders may want to take profits there anyway.

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

03/15/14 adjust exit target from $50.25 to $46.50
03/12/14 trade opens at $54.25

chart:

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


CLOSED BEARISH PLAYS

Green Mountain Coffee Roasters - GMCR - cls: 113.25 chg: +7.09

Stop Loss: 112.25
Target(s): 101.00
Current Option Gain/Loss: - 37.9%
Time Frame: Exit prior to March option expiration
New Positions: see below

Comments:
03/15/14: GMCR proved to be a big disappointment for the bears with a large bounce on Friday. The company announced they had amended their pact with Starbucks (SBUX) and agreed to new terms with a five-year deal. This is sparked some buying or some short covering and GMCR surged +6.6%. Our stop loss was hit at $112.25. Then after the closing bell it was announced that GMCR would be added to the S&P 500 index. Who knows if that information was leaked before the closing bell.

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 -

MAR $110 PUT (GMCR1422o110) entry $2.58* exit $1.60 (-37.9%)

03/14/14 stopped out
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.

chart:

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


The ExOne Company - XONE - close: 39.93 change: -1.25

Stop Loss: 45.10
Target(s): 40.25
Current Option Gain/Loss: +77.7%
Time Frame: exit PRIOR to earnings on March 19th
New Positions: see below

Comments:
03/15/14: Target achieved.

XONE continued to sink on Friday and underperformed the market with a -3.0% decline. Shares hit our suggested exit target a $40.25.

FYI: If you're still in this trade or planning to trade XONE again soon, do not forget that the company will report earnings on March 19th.

*Small Positions - Aggressive Trade*

MAR $40 PUT (XONE1422o40) entry $1.08 exit $1.92* (+77.7%)

03/14/14 target hit @ 40.25
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

chart:

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