9:00am (EST)

Nasdaq OMX Group (NDAQ, $29.25, down $0.23)

June 30 calls (NDAQ130622C00030000, $0.80, down $0.10)

Entry Price:  $0.70 (4/29/13)
Exit Target:  $1.40
Return:  14%
Stop Target:  None

Action:  We have a near-term target of $32.  Support is at $27.50.

 

Solazyme (SZYM, $8.90, down $0.20)

June 10 calls (SZYM130622C00010000, $0.30, down $0.10)

Entry Price:  $0.35 (4/25/13)
Exit Target:  $0.70
Return:  -14%
Stop Target:  None

Action:  Earnings are due out on May 8 and a close above $9.50 would be bullish heading into the event.  Short-term support is at $9.

 

SAIC (SAI, $14.71, down $0.23)

June 15 calls (SAI130622C00015000, $0.40, down $0.10)

Entry Price:  $0.25 (4/24/13)
Exit Target:  $0.75
Return:  60%
Stop Target:  None

August 15 calls (SAI130817C00015000, $0.55, down $0.10)

Entry Price:  $0.40 (4/24/13)
Exit Target:  $1.20
Return:  63%
Stop Target:  None

Action:  If shares fall below $14.45, close both option trades.

We will send out a Trade Alert if triggered but we are hoping $15 cracks after shares reached $14.99 yesterday.  A move above $15 would be bullish but resistance is choppy up to $17 on the longer-term chart.

 

Symantec (SYMC, $24.35, up $0.05)

May 25 calls (SYMC130518C00025000, $0.45, flat)

Entry Price:  $0.60 (4/11/13)
Exit Target:  $1.20
Return:  -25%
Stop Target:  None

Action:  Support is at $24 followed by $22and we would like for a close above $25.  If cleared, the stock could run to $27-$28 by mid-May

 

Keryx Biopharmaceuticals (KERX, $7.81, down $0.34)

June 10 calls (KERX130622C00010000, $0.30, down $0.10)

Entry Price:  $0.70 (2/12/13)
Exit Target:  $1.40
Return:  -57%
Stop Target:  None

Action:  If shares close below $8 there is risk back down to $7.50.  A close above $8.50 should get $9 in play and a possible push to $10.

 

MGM Resorts International (MGM, $13.80, down $0.32)

June 15 calls (MGM130622C00015000, $0.30, down $0.10)

Entry Price:  $0.40 (1/2/13)
Exit Target:  $0.80
Return:  -25%
Stop Target:  None

Action:  Earnings are due out today.

 

Other 2013 Portfolio OPEN positions (5):  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.

Ironwood Pharmaceuticals May 20 calls (from March 2013)

Spider S&P 500 May 150 puts (from April 2013)

Powershares QQQ May 66 puts (from April 2013)

ADT May 46 calls (from April 2013)

Clorox May 90 calls (from April 2013)

 

WATCH LIST SECTION

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 candidate.

 

Regeneron Pharmaceuticals (REGN, $237.29, up $22.15)

May 260 calls (REGN130518C00260000, $3.00, up $2.75)

May 270 calls (REGN130518C00270000, $1.00, up $0.75)

Thoughts:  The May 260 calls opened at 80 cents yesterday and were up 1,100% after closing Tuesday at 25 cents.  They traded to a high of $8.70!  The May 270’s were up 300% after also closing at a quarter on Tuesday and reached a peak of $3.80.

Earnings are due out tomorrow and shares could explode to $300 or easily fall back below $200.  We may take a half position on the 270’s if they remain near a buck today.

 

SolarCity (SCTY, $28.00, up $0.98)

May 30 calls (SCTY130518C00030000, $1.00, up $0.35)

Thoughts:  We are still expecting a run to $30

 

Walter Energy (WLT, $17.66, down $0.26)

June 25 calls (WLT130622C00025000, $0.40, down $0.10)

Thoughts:  It has been a rough 52-weeks for Walter Energy as shares have fallen from a 52-week high of $69.41 to a low of $16.24.   There is a chance shares hold current levels but here is risk down to $16, or worse, on continued weakness.  A close above $18 and then $20 would be super bullish but these calls are expensive.

 

Vertex Pharmaceuticals (VRTX, $76.83, up $0.01)

June 87.50 calls (VRTX130622C00087500, $1.20, flat)

July 95 calls (VRTX130720C00095000, $1.00, flat)

Action:  We believe shares are on their way to par which is Wall Street gibberish for $100.  Support is at $77.50 but a break below this level would be short-term bearish following the surge from $55.  We could go long on a move back above $85.

 

Cyberonics(CYBX, $43.04, down $0.38)

May 40 puts (CYBX130518P00040000, $0.45, up $0.05)

June 40 puts (CYBX130622P00040000, $1.60, up $0.10)

Thoughts:  Resistance is at $45 and we are expecting a drop below $40 over the next month.

 

Bank of America (BAC, $12.14, down $0.17)

June 12 calls (BAC130622C00012000, $0.60, down $0.05)

Action:  Resistance is at $12.75.  Support is at $12.