Editor's Note:

In addition to tonight's new candidate, consider these stocks as possible trading ideas:

ADBE - shares look bullish with a bounce from the $30.00 level to new multi-month highs.

TRMB - wait for a breakout past resistance near $45.00 as a bullish entry point. Keep in mind that earnings are due on Feb. 2nd.

FIRE - this stock looks tempting with today's bounce. Consider using a trigger at $32.40 as a possible entry point.

CRI - the bullish trend of higher lows is pushing CRI toward resistance near $42.00. A breakout past $42 could be a bullish entry point for a short-term move.

IVN - this mining stock continues to underperform. I would consider it an aggressive trader but IVN looks like a bearish candidate.

NOTE: Normally we want to avoid holding over an earnings announcement.


Autodesk, Inc. - ADSK - close: 35.81 change: +1.15

Stop Loss: 34.75
Target(s): 39.90
Current Gain/Loss: unopened
Time Frame: up to the late Feb. earnings report
New Positions: Yes, see below

Company Description

Why We Like It:
ADSK has been making gains on strong volume, which is normally a good sign. Shares appear to be breaking out of a short-term bull-flag pattern with today's rally. Yet I still see some resistance near $36.00. I am suggesting we use a trigger at $36.50 to open bullish positions with a stop at $34.75. Our target is $39.90 but more aggressive traders could definitely aim higher. We do not want to hold over the late February earnings report. FYI: The Point & Figure chart for ADSK is bullish with a long-term $49.00 target.

Trigger to open positions @ 36.50

Suggested Position: buy ADSK stock @ 36.50

- or -

buy the Feb $37 call (ADSK1218B37)

Annotated chart:

Entry on January xx at $ xx.xx
Earnings Date 02/23/12 (unconfirmed)
Average Daily Volume = 2.5 million
Listed on January 24, 2011