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.
12:45pm (EST)
Pepsico (PEP, $62.51, up $0.23
July 65 calls (PEP120721C00065000, $1.00, up $0.05)
Entry Price: $0.95 (3/6/12)
Exit Target: $1.50-$2.00
Return: 5%
Stop Target: 50 cents
Action: There is risk down to $60 if current levels do not hold and where we may add to the position. Of course, we are hoping support sticks as we wait for a run past $65 by July. We have traded Pepsi numerous times over the years and we often do well with the call options. We feel this is a low risk/ high reward trade which will have plenty of time to play out.
Clean Energy Fuels (CLNE, $19.91, up $0.65)
June 25 calls (CLNE120616C00025000, $0.60, up $0.05)
Entry Price: $0.50 (3/6/12)
Exit Target: $1.00
Return: 20%
Stop Target: None
Action: Shares have reached a peak of $20.19 today. The 52-week high is $20.98 set last week and we there could be risk down to $17 on a pullback if $18.50 doesn’t hold. Longer-term, we have a $30 price target for the stock.
Silver Wheaton (SLW, $35.41, up $0.44)
April 42 calls (SLW120421C00042000, $0.35, up $0.05)
Entry Price: $1.00 (3/1/12)
Exit Target: $1.50-$2.00
Return: -58%
Stop Target: 50 cents
Action: Continue to hold.
Adobe Systems (ADBE, $32.42, up $0.42)
April 35 calls (ADBE120421C00035000, $0.55, up $0.05)
Entry Price: $0.75 (2/28/12)
Exit Target: $1.50
Return: -27%
Stop Target: None
July 38 calls (ADBE120721C00038000, $0.65, up $0.05)
Entry Price: $0.70 (2/28/12)
Exit Target: $1.40
Return: -7%
Stop Target: None
Action: Drum roll for Apple…
Sony (SNE, $20.36, flat)
April 22 calls (SNE120421C00022000, $0.35, flat)
Entry Price: $0.90 (2/27/12)
Exit Target: $1.60
Return: -61%
Stop Target: None
Action: Yesterday’s low was $20.22 and we have cautioned there could be a test to $20. We are still expecting shares to push double-deuces by the end of the month which should get shares to $25 by mid-April.
U.S. Oil Fund (USO, $40.52, up $0.39)
April 45 calls (USO120421C00045000, $0.45, up $0.05)
Entry Price: $0.80 (2/24/12)
Exit Target: $1.60
Return: -44%
Stop Target: None
Action: We expect shares to make a run past $45 by mid-April and the high last week was $42.30 but we need these level to hold or we face risk down to $38.
magicJack VocalTec (CALL, $23.80, up $0.67)
June 22.50 calls (CALL120616C00022500, $3.50, up $0.50)
Entry Price: $1.10 (2/15/12)
Exit Target: $2.20 (closed quarter position at $2.10 on 3/1/12, closed quarter position at $3.40 on 3/2/12)
Return: 184%
Stop Target: $2.00 (HARD STOP on other half)
Action: Shares have reached a high of $24. Continue to hold the other half.
Our average closing price on the two quarters we closed is $2.75 ($3.40 + $2.10/ 2). The current price on our other half is $3.50 which gives us our total return.
ValueClick (VCLK, $20.80, up $0.38)
June 23 calls (VCLK120616C00023000, $0.60, up $0.10)
Entry Price: $0.40 (2/15/12)
Exit Target: $0.80 (closed half position at $0.70 on 2/29/12)
Return: 63%
Stop Target: 40 cents
Action: Support is at $20 and we will close the other half of the trade if this level fails to hold.
Other 2012 Portfolio OPEN positions (10): 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.
PowerShares QQQ Trust March 60 puts (from February 2012) HOLD –
Abercrombie & Fitch March 39 puts (from February 2012) HOLD –
Polypore International March 60 calls (from January 2012) HOLD – Ask 10 cents. Close this trade today for 10 cents or better.
iRobot March 40 calls (from February 2012) HOLD – Ask 5 cents. Close this trade today for 5 cents or better.
Newpark Resources March 10 calls (from January 2012) HOLD – Ask 5 cents. Half closed at $1.20, entry 95 cents.
Dendreon May 22 calls (from January 2012) HOLD – Ask 10 cents. Dendreon is a takeover target at these levels.
OCZ Technology Group March 10 calls (from February 2012) HOLD – Ask 10 cents, entry 65 cents. A short-squeeze is still possible.
Acme Packet March 37.50 calls, April 40 calls (from February 2012) HOLD
Freeport McMoRan March 45 calls (from February 2012) HOLD
Solazyme April 15 calls, March 15 calls (from January and February 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.