Editor's Note:

The U.S. market's major indices eked out minor gains after experiencing some early morning volatility on geopolitical concerns. Troop movements in Russia and Ukraine are starting to raise eyebrows.

RL hit our entry trigger


Current Portfolio:


CALL Play Updates

Adobe Systems - ADBE - close: 63.22 change: -1.17

Stop Loss: 59.45
Target(s): to be determined
Current Option Gain/Loss: -21.5%
Time Frame: 8 to 12 weeks
New Positions: see below

Comments:
04/24/14: ADBE was part of a news story today. Apple, Google, Adobe and other tech firms agreed to settle an antitrust lawsuit over hiring tech works in Silicon Valley. The lawsuit alleged these firms agreed not to "poach" each other's workers to avoid a salary war. This news may have impacted shares of ADBE today. The stock's initial spike higher immediately reversed and ADBE fell toward the $63 level. I have been warning readers to expect a dip toward $62.00 so I still think there is more weakness ahead.

- Suggested Positions -

Long Jul $65 call (ADBE1419G65) entry $3.20

04/21/14 ADBE opened at $64.00

Entry on April 21 at $64.00
Average Daily Volume = 4.8 million
Listed on April 19, 2014


Devon Energy - DVN - close: 71.91 change: +0.60

Stop Loss: 68.75
Target(s): 74.75
Current Option Gain/Loss: +39.6%
Time Frame: exit PRIOR to earnings on May 7th
New Positions: see below

Comments:
04/24/14: DVN continues to show relative strength and outperformed the major indices and the energy industry with a +0.8% gain. I am not suggesting new positions at this time. More conservative traders may want to adjust their stops closer to $70.00.

We will plan on exiting prior to earnings on May 7th. FYI: The Point & Figure chart for DVN is bullish with a $95 target.

- Suggested Positions -

Long May $70 call (DVN1417E70) entry $1.94*

04/17/14 triggered @ 70.35
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on April 17 at $70.35
Average Daily Volume = 3.7 million
Listed on April 16, 2014


EOG Resources - EOG - close: 103.48 change: -1.60

Stop Loss: 99.65
Target(s): 109.00
Current Option Gain/Loss: +21.0%
Time Frame: exit PRIOR to earnings on May 5th
New Positions: see below

Comments:
04/24/14: EOG hit some profit taking on Thursday and gave back over half of yesterday's rally. Look for possible short-term support near the $102 level. I am not suggesting new positions at current levels.

- Suggested Positions -

Long May $105 call (EOG1417E105) entry $1.90*

04/19/14 new stop @ 99.65
04/16/14 triggered @ 101.75
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on April 16 at $101.75
Average Daily Volume = 2.9 million
Listed on April 15, 2014


Diamondback Energy, Inc. - FANG - close: 75.42 change: +1.53

Stop Loss: 69.45
Target(s): to be determined
Current Option Gain/Loss: +82.3%
Time Frame: exit PRIOR to earnings in May
New Positions: see below

Comments:
04/24/14: I was starting to worry that FANG would see a pullback after its performance the last couple of days. Shares managed to rally again and outperformed the market with a +2.0% gain today. More conservative traders may want to raise their stop closer to the $71.50-72.00 area.

Earlier Comments:
FANG could see some short covering. The most recent data listed short interest at 37% of the small 32.5 million share float. That's plenty of fuel for a short squeeze. FYI: The Point & Figure chart for FANG is bullish with an $85 target.

- Suggested Positions -

Long May $75 call (FANG1417E75) entry $1.70*

04/21/14 new stop @ 69.45
04/19/14 new stop @ 68.75
04/16/14 triggered @ 71.25
*option entry price is an estimate since the option did not trade at the time our play was opened.

Entry on April 16 at $71.25
Average Daily Volume = 948 thousand
Listed on April 14, 2014


Gulfport Energy - GPOR - close: 75.16 change: +2.17

Stop Loss: 71.70
Target(s): 79.50
Current Option Gain/Loss: -14.2%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
04/24/14: It looks like our patience in GPOR might pay off. After a three-day pullback GPOR surged +2.9% today and is challenging its April highs.

- Suggested Positions -

Long May $75 call (GPOR1417E75) entry $3.85*

04/14/14 triggered @ 74.25

Entry on April 14 at $74.25
Average Daily Volume = 1.45 million
Listed on April 12, 2014


iShares Russell 2000 ETF - IWM - close: 113.61 change: -0.29

Stop Loss: 112.45
Target(s): to be determined
Current Option Gain/Loss: + 4.6%
Time Frame: 4 to 6 weeks
New Positions: see below

Comments:
04/24/14: The markets saw some volatility this morning. Better than expected corporate earnings last night helped launch stocks at the open. Unfortunately geopolitical concerns over Russia and Ukraine pressured the rally and stocks quickly reversed lower. Fortunately traders bought the dip pretty early on and equities recovered.

The intraday low in the IWM was $112.68. Our stop loss is at $112.45. I am not suggesting new positions at this time.

- Suggested Positions -

Long JUN $115 call (IWM1421F115) entry $2.37

04/22/14 new stop @ 112.45
04/21/14 new stop @ 111.45
04/16/14 triggered $ 112.15

Entry on April 16 at $112.15
Average Daily Volume = 55 million
Listed on April 15, 2014


Nu Skin Enterprises - NUS - close: 88.52 change: +0.20

Stop Loss: 79.75
Target(s): $96.50
Current Option Gain/Loss: +25.0%
Time Frame: 3 to 5 weeks
New Positions: see below

Comments:
04/24/14: NUS is still consolidating sideways in the $87-90 zone. The stock could be coiling for a breakout past resistance near $90.00. I am not suggesting new positions at this time.

Currently our stop is at $79.75 but more conservative traders may want to consider a stop loss closer to $84.00.

Earlier Comments:
Currently the Point & Figure chart for NUS is bullish with a $102 target.

- Suggested Positions -

Long May $90 call (NUS1417E90) entry $3.04

04/22/14 set bullish exit target at $96.50
04/21/14 triggered @ 84.50

Entry on April 21 at $84.50
Average Daily Volume = 1.8 million
Listed on April 19, 2014




PUT Play Updates

Catamaran - Corp. - CTRX - close: 38.99 change: -0.05

Stop Loss: 40.65
Target(s): to be determined
Current Option Gain/Loss: -11.3%
Time Frame: Exit PRIOR to earnings on May 1st
New Positions: see below

Comments:
04/24/14: Thursday proved to be another quiet day for CTRX. Shares tried to bounce this morning but failed at short-term resistance at its 10-dma. That's a good sign for the bears.

Earlier Comments:
CTRX is scheduled to earnings again on May 1st. We do not want to hold over the announcement. We're not setting at target to tonight but I would probably aim for the $35 region.

FYI: The Point & Figure chart for CTRX is bearish with a long-term $23 target.

- Suggested Positions -

Long May $40 PUT (CTRX1417Q40) entry $2.20

04/21/14 CTRX opened @ $39.06

Entry on April 21 at $39.06
Average Daily Volume = 3.3 million
Listed on April 19, 2014


Ralph Lauren Corp. - RL - close: 154.61 change: +0.77

Stop Loss: 156.60
Target(s): to be determined
Current Option Gain/Loss: -20.2%
Time Frame: exit PRIOR to earnings on May 9th
New Positions: see below

Comments:
04/24/14: The stock market's early morning swoon lower was strong enough to push RL to a new relative low. The stock fell to $152.25 before bouncing back into positive territory. That was enough to hit our entry trigger at $152.45. Our play is now open but I am not suggesting new positions at current levels. Wait for a new drop to $152.00 before considering new positions.

Earlier Comments:
If you are patient enough traders could aim for a drop toward $140. The Point & Figure chart is actually very bearish and forecasting at $112 target. We're not setting an exit target yet but plan on exiting positions prior to RL's next earnings report on May 9th.

- Suggested Positions -

Long May $150 PUT (RL1417Q150) entry $3.70

04/24/14 triggered @ 152.45

Entry on April 24 at $152.45
Average Daily Volume = 891 thousand
Listed on April 21, 2014


Toyota Motor Corp. - TM - close: 107.04 change: -1.11

Stop Loss: 111.05
Target(s): 100.50
Current Option Gain/Loss: +12.6%
Time Frame: 3 to 4 weeks
New Positions: see below

Comments:
04/24/14: Our TM trade is looking good as the stock slowly rolls over inside its bearish channel. TM broke through short-term support near $108 with today's drop.

Earlier Comments:
Our target is $100.50. However, we will plan to exit prior to TM's earnings report in May. The company has not set a date yet but we expect the announcement to be in the first half of May and will update our exit when they publish their earnings date. FYI: The Point & Figure chart for TM is bearish with a $90 target.

- Suggested Positions -

Long May $105 PUT (TM1417Q105) entry $1.11

04/23/14 TM opens at $108.28

Entry on April 23 at $108.28
Average Daily Volume = 602 thousand
Listed on April 22, 2014