12:45(pm) EST

Dow 8,131.

That is the number bulls are looking for. After an up and down week, the Dow has a chance to extend its weekly rally to 7 if we manage to break that number. Currently, the Dow is up 131 points to 8,088. Impressive.

Tech is once again leading the way as the Nasdaq is up 38 points to 1,690.

Amazon.com (AMZN, $85.85 up $5.24) is helping push the Nasdaq higher as shares are up 6%. Despite the huge jump in the stock, the May 90 calls (ZQNER, $2.20, up $0.40) are currently trading below yesterday’s high of $2.40. I had mentioned yesterday morning to close out most of the position and here’s why.

After the close, the stock traded to a low of $76 in after-hours trading but was able to rebound and open higher this morning. That would have been scary had you not closed some of the trade. And even with today’s huge bounce, the call options had too much implied volatility to make a significant move higher.

Amazon could continue its run as one analyst came out and put a $97 price target on it. The stock has the momentum but I think we maxed the trade out and I’d rather look elsewhere. The May 90’s would be worth $5 if the stock makes a run to $95 which would be a double from current prices but I’m not feeling it.

I’ll be back Sunday night with the Weekly Wrap and an update on Dendreon (DNDN, $20.41, up $0.08) and Marvel Entertainment (MVL, $28.35, up $0.41). Have a great weekend and if you have any questions or comments, hit me up in an email.

Rick Rouse