- New Trades -

Wyndham Worldwide - WYN - close: 68.92

Company Info

11/17/13: WYN is a new watch list candidate we added last week. The company operates in the services sector. They operate in three segments: lodging, vacation exchange and rentals, and vacation ownership. The company's most recent earnings report was bullish. WYN beat analysts' expectations on both the top and bottom line. Management then raised their guidance. The stock reacted with a surge past resistance to close at new all-time highs. The same move higher produced a triple-top breakout buy signal on its point & figure chart with an $84 target.

We had WYN listed on the watch list with a plan to buy calls if shares could close above resistance at $68.00. WYN met that requirement on Friday, November 15th with a close at $68.92. Thus our trade will open on Monday morning at the opening bell. More nimble investors might want to wait for a potential dip back toward the $68.00 level, which should be new short-term support.

Breakout trigger: Wait for a close above $68.00,
then buy calls the next day. Stop loss @ 63.75.

BUY the 2015 Jan $75 call (WYN1517a75) current ask $4.20

Chart of WYN:

Current Target: 85.00
Current Stop loss: 63.75
Play Entered on: 11/18/13
Originally listed on the Watch List: 11/10/13