April 2013 | Members

Do not risk more than 5% of your trading account on any one trade but do try to take ALL of the trades.  Please remember, ALL “Exit Targets” and “Stop Targets” are targets.  You should not have any “Hard Stops” entered to close any trades or “Exit Orders” in your brokerage account unless we list one.  We will send out a “Profit Alert” or “New Trade” if we want you to close a position OR if a new trade comes out.  Otherwise, follow instructions at all times in the 9am and 1pm updates.  Also, we will usually give you a heads-up if we think we are going to send an email outside of these time frames.  Closed Trades for 2013: 35-16, for a 69% win rate, including the Weekly Wrap that is 10-1). 

12:20pm (EST)


FedEx (FDX, $93.98, down $1.16)

Buy to OPEN May 90 puts (FDX130518P00090000, $0.95, up $0.25)

Action:  Shares appear to be headed for a test to $90, possibly $85 and the 200-day MA.  We like these options at current levels.


Freeport-McMoRan Copper & Gold (FCX, $27.81, down $1.44)

Buy to OPEN May 26 puts (FCX130518P00026000, $0.75, up $0.35)

Action:  Shares could trade down to $27, possibly $25 by mid-May.  We like these options at current levels.


Current Trades

Symantec (SYMC, $23.50, down $0.65)

May 25 calls (SYMC130518C00025000, $0.35, down $0.20)

Entry Price:  $0.60 (4/11/13)
Exit Target:  $1.20
Return:  -42%
Stop Target:  None

Action: There is risk down to $22 on further weakness.


Yahoo (YHOO, $23.58, down $0.21)

May 25 calls (YHOO130518C00025000, $0.35, down $0.20)

Entry Price:  $0.65 (4/11/13)
Exit Target:  $1.30
Return:  -46%
Stop Target:  None

Action:  We will cover the numbers tomorrow but shares are hanging in there.


Keryx Biopharmaceuticals (KERX, $7.76, down $0.10)

June 10 calls (KERX130622C00010000, $0.40, flat)

Entry Price:  $0.70 (2/12/13)
Exit Target:  $1.40
Return:  -43%
Stop Target:  None

Action:  Near-term support is at at $7.50 with $7 serving as backup.  We would like to see a close above $8 this week.


Other 2013 Portfolio OPEN positions (9):  These are trades that are still open in the portfolio but are down over 50%.  They have longer expiration dates and are on “hold” but are not worth mentioning until they turn around.  This means we would not open any new positions.  We are still keeping track of the trades and we will record the results, accordingly, when we close them or if the options expire.  Click on the 2013Portfolio link in the Members Area to view ALL open/ closed trades.

Facebook April 29 calls (from February 2013)

SonyApril 18 calls (from March 2013)

Cisco Systems April 22 calls (from March 2013)

Ironwood Pharmaceuticals April 20 calls (from March 2013)

May 20 calls (from March 2013)

Baidu April 75 puts (from March 2013)

Cyberonics April 40 puts (from February 2013)

iShares Dow Jones Transportation Average April 100 puts (from February 2013)

MGM Resorts International June 15 calls (from February 2013)

Taiwan Semiconductor April 20 calls (from January 2013)



These trades are NOT recommendations.  They are trades that we like but have not added to the portfolio as an official recommendation because of market conditions or because we are waiting for better entry prices.  We try not to have more than 12-15 open trades at any one time which is why we created a Watch List.  We will not list entry prices because these stocks are on the verge of breaking out or they could sell off but these are the trades we are watching as new candidates.

We will update this section in the morning.