In addition to tonight's new candidate, consider these stocks as possible trading ideas and watch list candidates:
(bullish candidates): APC, NKE, UTX, ULTA, AYI
NEW DIRECTIONAL CALL PLAYS
CommVault Systems - CVLT - close: 53.00 change: +1.08
Stop Loss: 49.90
Current Option Gain/Loss: Unopened
Time Frame: 3 to 6 weeks
New Positions: Yes, see below
Why We Like It:
CVLT reported earnings on February 1st. The company delivered better than expected earnings and revenues. Shares actually spiked down at first before reversing and surging on this news and broke through resistance near $50.00. The stock has since spent the last few days consolidating gains. Today's relative strength pushed CVLT to new record highs.
I am suggesting bullish positions tomorrow morning but only if both CVLT and the S&P 500 open positive. We'll use a stop loss at $49.90. Our target is $58.50.
FYI: The Point & Figure chart for CVLT is bullish with a long-term $86 target.
NOTE: We want to keep our position size small because the option spreads on CVLT are a bit wide.
Do not enter position unless CVLT and the S&P 500 are both positive at the open
- Suggested Positions - (small positions!)
buy Mar $55 call (CVLT1217C55) current ask $2.15
Entry on February xx at $ xx.xx
Earnings Date 05/10/12 (unconfirmed)
Average Daily Volume = 531 thousand
Listed on February 08, 2012