Editor's Note:

The U.S. market ended the first quarter on a broad-based bounce.

DATA hit our entry trigger. AGN and TWTR were stopped out.
The plan was to exit AEGR, MNST, and TGT this morning.


Current Portfolio:


CALL Play Updates

ASML Holdings - ASML - close: 93.36 change: +1.53

Stop Loss: 89.75
Target(s): 99.50
Current Option Gain/Loss: -13.1%
Time Frame: exit prior to earnings on April 16th
New Positions: see below

Comments:
03/31/14: ASML gapped open higher this morning and closed near its recent highs with a +1.66% gain. Shares look poised to challenge potential resistance near $95.00 soon.

FYI: The Point & Figure chart for ASML is bullish with a $104 target.

- Suggested Positions -

Long Apr $95 call (ASML1419D95) entry $1.90*

03/19/14 triggered @ 92.25
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on March 19 at $92.25
Average Daily Volume = 1.6 million
Listed on March 18, 2014


Chicago Bridge & Iron - CBI - close: 87.15 change: +2.09

Stop Loss: 82.85
Target(s): 94.75
Current Option Gain/Loss: + 7.1%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
03/31/14: CBI shot higher on Monday before stalling near its mid-March highs near $87.35. Shares outperformed the major indices with a +2.45% gain today.

Our target is $94.75. More conservative traders may want to exit near $90.00, which could be potential round-number resistance.

- Suggested Positions -

Long Apr $85 call (CBI1419D85) entry $2.80

03/29/14 new stop @ 82.85
03/26/14 new stop @ 81.30
03/18/14 adjust exit target from $89.50 to $94.75
03/04/14 triggered @ 84.50

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


CVS Caremark - CVS - close: 74.86 change: +0.60

Stop Loss: 73.45
Target(s): 79.75
Current Option Gain/Loss: -26.4%
Time Frame: 4 to 8 weeks
New Positions: see below

Comments:
03/31/14: CVS gapped open higher but struggled with resistance near $75.00 midday. The stock closed with a +0.8% gain. The intraday high was $75.23. Readers may want to wait for a new rally past this point before initiating new positions.

- Suggested Positions -

Long May $75 call (CVS1417E75) entry $2.23

03/26/14 triggered on gap higher at $75.78, suggested trigger was $75.10

Entry on March 26 at $75.78
Average Daily Volume = 5.4 million
Listed on March 24, 2014


Tableau Software, Inc. - DATA - close: 76.08 change: -0.12

Stop Loss: 72.75
Target(s): 87.50
Current Option Gain/Loss: Apr80c: -25.0% & May80c: - 6.8%
Time Frame: 3 to 6 weeks
New Positions: see below

Comments:
03/31/14: Our new play on DATA has been triggered. The market's bullishness this morning helped push DATA to $78.00 before the stock's gains faded. Our trigger to open bullish positions was hit at $76.50. Unfortunately DATA failed to maintain its gains and underperformed the broader market with a -0.1% loss.

Our trade did open this morning but I would wait for a new rally past $77.00 before considering new positions.

Earlier Comments:
The stock could see some short covering. The most recent data listed short interest at 13% of the small 29 million share float.

April options only have three weeks left. I suggest the May calls.

- Suggested Positions -

Long Apr $80 call (DATA1419D80) entry $2.60*

- or -

Long May $80 call (DATA1417E80) entry $5.80*

03/31/14 triggered @ 76.50
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on March 31 at $76.50
Average Daily Volume = 1.7 million
Listed on March 29, 2014


Halliburton Company - HAL - close: 58.89 change: -0.57

Stop Loss: 57.75
Target(s): to be determined
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Comments:
03/31/14: The rally in HAL failed near the $60.00 level this morning. Shares spent the rest of the day consolidating near $59.00. I don't see any changes from the weekend newsletter's new play description.

We're suggesting a trigger to buy calls at $60.25. We are not setting an exit target yet.

Trigger @ 60.25

- Suggested Positions -

Buy the May $60 call (HAL1417E60)

Entry on March -- at $---.--
Average Daily Volume = 7.7 million
Listed on March 29, 2014


Lockheed Martin - LMT - close: 163.24 change: +2.70

Stop Loss: 157.90
Target(s): to be determined
Current Option Gain/Loss: Apr$160c: +34.3% & Jun$165c: +23.5%
Time Frame: 4 to 8 weeks
New Positions: see below

Comments:
03/31/14: Many of the defense-related names were showing relative strength today. LMT added +1.68% and closed just above the 30-dma.

- Suggested Positions -

Long Apr $160 call (LMT1419D160) entry $3.20

- or -

Long Jun $165 call (LMT1421F165) entry $3.40*

03/29/14 new stop @ 157.90
03/25/14 triggered @ 160.75
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on March 25 at $160.75
Average Daily Volume = 2.0 million
Listed on March 24, 2014


3M Company - MMM - close: 135.66 change: +1.46

Stop Loss: 131.40
Target(s): to be determined.
Current Option Gain/Loss: +16.9%
Time Frame: Exit PRIOR to earnings on April 24th
New Positions: Yes, see below

Comments:
03/31/14: MMM ended the month and the quarter on an up note with a bullish breakout past potential resistance at $135.00.

- Suggested Positions -

Long May $135 call (MMM1417E135) entry $2.95*

03/26/14 triggered @ 134.66, suggested entry was $134.65
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on March 26 at $134.65
Average Daily Volume = 3.0 million
Listed on March 25, 2014


QUALCOMM Inc. - QCOM - close: 78.86 change: -0.42

Stop Loss: 77.75
Target(s): to be determined
Current Option Gain/Loss: Unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see below

Comments:
03/31/14: I was surprised to see QCOM underperforming today. Resistance near its recent highs held shares back this morning. QCOM closed near its lows with a -0.5% decline. Odds are good QCOM will retest its 10-dma soon (near $78.25).

Earlier Comments:
The $80.00 level could be round-number, psychological resistance. Therefore we're suggesting a trigger to buy calls at $80.25. We're not setting an exit target yet but the Point & Figure chart for QCOM is bullish with a $90 target.

Trigger @ $80.25

- Suggested Positions -

Buy the May $80 call (QCOM1417E80)

Entry on March -- at $---.--
Average Daily Volume = 10.5 million
Listed on March 29, 2014


Cimarex Energy Co. - XEC - close: 119.11 change: -0.64

Stop Loss: 113.75
Target(s): 128.50
Current Option Gain/Loss: Apr$120c: -19.7% & Jun$125c: - 7.4%
Time Frame: 4 to 8 weeks
New Positions: see below

Comments:
03/31/14: XEC did not participate in the market's rally either. The energy ETF spent most of the session churning sideways. XEC followed suit with a drift sideways below the $120 level.

- Suggested Positions -

Long APR $120 call (XEC1419D120) entry $3.49

- or -

Long JUN $125 call (XEC1421F125) entry $5.40

03/27/14 new stop @ 113.75
03/21/14 triggered @ 118.25

Entry on March 21 at $118.25
Average Daily Volume = 1.3 million
Listed on March 20, 2014




PUT Play Updates


Currently we do not have any active put trades.



CLOSED BEARISH PLAYS

Aegerion Pharmaceuticals - AEGR - close: 46.18 change: +1.31

Stop Loss: 48.25
Target(s): 40.25
Current Option Gain/Loss: +22.7%
Time Frame: exit PRIOR to April expiration
New Positions: see below

Comments:
03/31/14: Friday's move in AEGR looked like a potential bullish reversal. In the weekend newsletter we decided to exit this morning. AEGR opened at $45.35.

Earlier Comments:
I am suggesting small positions because biotech stocks can be volatile and AEGR already has short interest nearing 20% of its small 28.3 million share float.

*small positions to limit risk*

Apr $45 PUT (AEGR1419P45) entry $2.20* exit $2.70** (+22.7%)

03/31/14 planned exit
**option exit price is an estimate since the option did not trade at the time our play was closed.
03/29/14 exit immediately on Monday morning.
03/27/14 new stop @ 48.25
03/24/13 triggered @ 46.90
*option entry price is an estimate since the option did not trade at the time our play was opened.

chart:

Entry on March 24 at $46.90
Average Daily Volume = 1.3 million
Listed on March 22, 2014


Allergan Inc. - AGN - close: 124.10 change: +3.05

Stop Loss: 124.10
Target(s): 116.20
Current Option Gain/Loss: -41.6%
Time Frame: exit PRIOR to April expiration
New Positions: see below

Comments:
03/31/14: AGN followed the market higher this morning. Shares gapped open at $122.48 and then shot past its 50-dma. Just before the closing bell shares hit our stop at $124.10.

- Suggested Positions -

Apr $120 PUT (AGN1419P120) entry $3.60 exit $2.10 (-41.6%)

03/31/14 stopped out
03/29/14 new stop @ 124.10
03/27/14 triggered @ 121.90

chart:

Entry on March 27 at $121.90
Average Daily Volume = 2.5 million
Listed on March 26, 2014


Monster Beverage - MNST - close: 69.45 change: -0.04

Stop Loss: 70.10
Target(s): 63.00
Current Option Gain/Loss: -58.8%
Time Frame: exit prior to April expiration
New Positions: see below

Comments:
03/31/14: MNST is still underperforming the broader market and reversed its morning gains. We decided in the weekend newsletter to exit positions this morning. The stock gapped open higher at $69.94.

- Suggested Positions -

APR $65 PUT (MNST1419P65) entry $0.85 exit $0.35* (-58.8%)

03/31/14 planned exit
*option exit price is an estimate since the option did not trade at the time our play was closed.
03/29/14 prepare to exit on Monday morning
03/27/14 new stop @ 70.10
03/22/14 new stop @ 71.10
03/20/14 triggered @ 69.00

chart:

Entry on March 20 at $69.00
Average Daily Volume = 1.7 million
Listed on March 19, 2014


Target Corp. - TGT - close: 60.51 change: +0.53

Stop Loss: 60.20
Target(s): 55.15
Current Option Gain/Loss: -55.3%
Time Frame: exit PRIOR to April expiration
New Positions: see below

Comments:
03/31/14: TGT has not been cooperating and looked poised for a breakout higher past $60.00. In the weekend newsletter we decided to exit this morning. Sure enough TGT did breakout past the $60 level. TGT gapped open higher at $60.24.

- Suggested Positions -

Apr $60 PUT (TGT1419P60) entry $1.68 exit $0.75 (-55.3%)

03/31/14 planned exit
03/29/14 prepare to exit on Monday morning
03/27/14 new stop @ 60.20
03/25/14 triggered @ 58.80

chart:

Entry on March 25 at $58.80
Average Daily Volume = 6.9 million
Listed on March 22, 2014


Twitter, Inc. - TWTR - close: 46.67 change: -0.63

Stop Loss: 47.35
Target(s): 41.85
Current Option Gain/Loss: +105.5%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
03/31/14: On Friday TWTR had rallied right up to our stop loss and stalled. Given the market's widespread rally this morning it wasn't surprising to see TWTR hit our stop. Shares actually gapped above our stop at $47.55. It is interesting to see TWTR underperform the market with a -1.3% decline today as traders sold into strength.

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 -

Apr $50 PUT (TWTR1419P50) entry $1.80 exit $3.70 (+105.5%)

03/31/14 stopped out on gap open higher at $47.55
03/26/14 new stop @ 47.35
03/25/14 new stop @ 53.55
03/24/14 new stop @ 54.15
03/20/14 new stop @ 55.15
03/18/14 adjust the exit target from $46.50 to $41.85
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