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 “Trade Update” 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 but it is rare that we do.
1:15pm (EST)
Aflac (AFL, $48.48, down $0.59)
February 48 calls (AFL120218C00048000, $1.75, down $0.10)
Entry Price: $0.75 (1/19/12)
Exit Target: $1.50 (closed half at $1.35 on 1/20/2012)
Return: 110%
Stop Target: $1.40 (HARD STOP)
Action: Close the other half of the trade at current levels to lock-in triple-digits.
Scientific Games (SGMS, $11.35, down $0.10)
February 12.50 calls (SGMS120218C00012500, $0.20, down $0.05)
Entry Price: $0.20 (1/18/12)
Exit Target: $0.40
Return: 0%
Stop Target: None
July 15 calls (SGMS120721C00015000, $0.45, down $0.05)
Entry Price: $0.35 (1/18/12)
Exit Target: $0.70
Return: 29%
Stop Target: None
Action: Close HALF of the July calls at current prices.
Carrizo Oil & Gas (CRZO, $25.33, up $0.45)
April 30 calls (CRZO120421C00030000, $1.10, up $0.15)
Entry Price: $1.20 (1/17/12)
Exit Target: $2.40
Return: -8%
Stop Target: None
Action: Continue to hold.
Vivus (VVUS, $12.12, up $0.26)
February 14 calls (VVUS120218C00014000, $0.40, flat)
Entry Price: $0.70 (1/12/12)
Exit Target: $1.40
Return: -43%
Stop Target: None
Action: Vivus expects to hear word from an advisory panel on Qnexa in mid-February which could give us clues on if the FDA’s will approve the obesity drug or not. A decision is expected by mid-April but we are hoping to hear good news before then.
Westport Innovations (WPRT, $37.90, down $0.16)
April 40 calls (WPRT120421C00040000, $2.45, flat)
Entry Price: $1.30 (1/12/12)
Exit Target: $2.60 (closed half at $1.45 on 1/24/2012)
Return: 42%
Stop Target: $1.75 (HARD STOP)
Action: Continue to hold the other half.
Solazyme (SZYM, $11.75, down $0.05)
March 15 calls (SZYM120317C00015000, $0.40, flat)
Entry Price: $0.45 (1/10/12)
Exit Target: $1.00
Return: -11%
Stop Target: None
Action: Continue to hold.
Microsoft (MSFT, $29.47, up $0.13)
July 30 calls (MSFT120721C00030000, $1.30, up $0.05)
Entry Price: $0.75 (1/6/12)
Exit Target: $1.50+ (closed half at $1.35 on 1/24/2012)
Return: 77%
Stop Target: $1.10 (HARD STOP)
Action: The low on the calls has been $1.18 today. Continue to hold the other half.
MGM Resorts (MGM, $13.16, flay)
June 14 calls (MGM120616C00014000, $1.15, flat)
Entry Price: $0.48 (1/6/12)
Exit Target: $1.00 (closed half at $1.00 on 1/18/2012)
Return: 124%
Stop Target: $1.05 (HARD STOP)
Action: Continue to hold.
Newpark Resources (NR, $9.53, up $0.11)
March 10 calls (NR120317C00010000, $0.70, flat)
Entry Price: $0.95 (1/3/12)
Exit Target: $1.90 (closed half at $1.20 on 1/10/2012)
Return: 0%
Stop Target: 50 cents
Action: We would love to see a close above $10 this week. The 52-week high is $10.62 which was set 2 weeks ago.
Chesapeake Energy (CHK, $22.95, up $0.46)
April 25 calls (CHK120421C00025000, $0.90, up $0.10)
Entry Price: $1.25 (12/21/11)
Exit Target: $2.50
Return: -28%
Stop Target: 60 cents
Action: Continue to hold.
Other 2012 Portfolio OPEN positions (2): These are trades that are still open in the portfolio that have longer expiration dates or 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 the options expire. Click on the 2012 Portfolio link in the Members Area to view ALL open/ closed trades.
OCZ Technology Group February 9 calls (from January 2012) HOLD
Coach February 55 puts (from January 2012) HOLD
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.
We will update this section in the morning.