Editor's Note:
The market looks vulnerable with traders selling in front of the weekend. Friday's weakness could be investors squaring positions ahead of the U.S. presidential election on Tuesday.

Our play list is abnormally small at the moment but we'll remedy that with new trading ideas this weekend and throughout next week.

Current Portfolio:

BULLISH Play Updates

Ryland Group - RYL - close: 33.99 change: -1.35

Stop Loss: 32.90
Target(s): 39.50
Current Gain/Loss: - 1.5%

Entry on October 31 at $34.50
Listed on October 27, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.3 million
New Positions: see below

11/03/12: Ouch! There were a lot of bearish reversals across the market on Friday and RYL happens to be one of them. Shares hit a new multi-year high at $35.84 on Friday morning and quickly reversed lower. Not only did RYL give back nearly all of Thursday's gains but Friday's session has painted a bearish engulfing candlestick (one day) reversal pattern. Technically these patterns need to see confirmation. However, if RYL does produce a confirming move lower odds are good it will hit our stop loss at $32.90.

If we do get stopped out, watch for a dip toward $30 and its 50-dma, which may be a new bullish entry point.

The plan was to keep our position size small to limit our risk.

current Position: Long RYL stock @ 34.50

11/02/12 RYL has produced a potential bearish reversal pattern
11/01/12 new stop loss @ 32.90
10/31/12 triggered @ 34.50


Symantec Corp. - SYMC - close: 18.80 change: +0.09

Stop Loss: 17.99
Target(s): 19.95
Current Gain/Loss: - 0.3%

Entry on November 2 at $18.85
Listed on November 1, 2012
Time Frame: 3 to 6 weeks
Average Daily Volume = 8.6 million
New Positions: see below

11/03/12: The good news here is that SYMC bucked the market's down trend on Friday by posting a gain. The bad news here is that most of Friday's gain came on the gap open higher. Our trade opened on Friday morning at $18.85. SYMC essentially spent the whole session vacillating on either side of the $18.80 mark. I now suspect that shares will dip and retest the $18.50 level soon. Readers could wait for that dip to $18.50 as an alternative entry point to open bullish positions.

Earlier Comments:
I do consider this a slightly more aggressive trade so we will want to limit our position size.

*Small Positions*

current Position: Long SYMC stock @ $18.85

- (or for more adventurous traders, try this option) -

Long DEC $19 call (SYMC1222L19) entry $0.71

11/02/12 SYMC gapped open at $18.85 (our entry point)


BEARISH Play Updates

Hewlett-Packard - HPQ - close: 13.76 change: -0.24

Stop Loss: 14.51
Target(s): 11.50
Current Gain/Loss: + 0.9%

Entry on November 01 at $13.88
Listed on October 31, 2012
Time Frame: exit prior to the Nov. 20th earnings report
Average Daily Volume = 35.7 million
New Positions: see below

11/03/12: HPQ saw its Friday morning rally fail at the $14.20 level. Shares reversed to close down -1.7% and set a new multi-year low. The move on Friday can be used as a new bearish entry point. More conservative traders might want to adjust their stop loss closer to Friday's high. Our target is $11.50 but we will exit prior to the Nov. 20th earnings report.

current Position: Short HPQ stock @ $13.88

- (or for more adventurous traders, try this option) -

Long DEC $13 PUT (HPQ1222x13) Entry $0.47