In addition to tonight's new candidate(s), consider these stocks as possible trading ideas and watch list candidates. Some of these stocks may need to see a break past key support or resistance:
FANG, CXO, PPG, CP, HP, ZMH, CR, DE, TFX, QCOR, TECH, CNC,
PBYI, LL, TXI, ISRG, CSGP, ASPS, PSMT
NEW DIRECTIONAL CALL PLAYS
3M Company - MMM - close: 141.14 change: +1.85
Stop Loss: 138.45
Target(s): to be determined
Current Option Gain/Loss: Unopened
Time Frame: 4 to 8 weeks
New Positions: Yes, see below
Why We Like It:
MMM is in the industrial goods sector. The company operates multiple business segments from the industrials, safety and graphics, electronics and energy, and more. The stock is part of the 30 Dow Jones Industrial Average components and big blue chips names have been outperforming the broader market.
The company's most recent earnings results were only ho-hum but management said MMM saw organic growth in all business groups and across all geographic areas. The company hit record sales last quarter. Investors have approved by lifting shares to all-time highs.
The stock was showing relative strength today with a +1.3% gain. We want to see confirmation. Tonight we're suggesting a trigger to open bullish positions at $142.00. If triggered we'll start with a stop loss at $138.45.
We're not setting an exit target yet but the Point & Figure chart for MMM is bullish with a $174 target.
Trigger @ $142.00
- Suggested Positions -
Buy the Jun $140 call (MMM1421F140) current ask $3.00
Entry on May -- at $---.--
Average Daily Volume = 2.65 million
Listed on May 07, 2014