12:10pm (EST)

It’s been another boring day on Wall Street but an exciting one for our portfolio.  As the tight trading range continues, we will have to entertain ourselves with earnings and economic news until Big Ben speaks on Friday.

Joy Global (JOY, $50.78, down $2.29) is down 4% after reporting earnings that missed Wall Street’s expectations.  The company reported a profit of $194 million, or $1.82 a share, on revenue of $1.39 billion.  The suit-and-ties were looking for $1.88 a share on $1.42 billion in sales.  The company also lowered its outlook for the rest of the year. 

We talk about gold and silver from time to time and this month both metals have surged to possible new breakout levels.  Gold did a great job in holding the $1,550 level all summer and has broken through its downtrend line from 2011 as it pushes $1,700 an ounce.  This could be a false breakout but if support holds there could be a run to $1,800 coming.  Watch the $1,650 level for a possible reversal signal and a move below $1,600 again would be bearish.  Gold is currently down $11 to $1,658 an O.    

Here is the chart for silver which has made a strong recovery off the $26 lows which has served as solid support.  As you can see from the 2-tear chart, a move to $34 appears to be in the cards over the near-term but the pullback in February is also reminding us silver could be topping.  Silver is currently down 15 cents to $30.73.

We have a lot more stuff to talk about but we are more interested in our option trades so we will leave it there for now.

The Dow is up 4 points to 13,107 while the S&P 500 is higher by a point to 1,410.  The Nasdaq is lower by a half-point to 3,076.

Our subscribers locked-in huge profits this morning on our current WellPoint (WLP, $61.90, up $4.51) call option trade which is showing a gain of nearly 250%.  We also have another trade that is pushing an 80% profit as well.  Although we have targeted a 100% return for this blue-chip trade, we also want to lock-in HALF profits on our Caterpillar (CAT, $84.73, down $1.28) put options as shares have slipped below $85.

Subscribers, check the Members Area for the updates.