Closing Thoughts

Still Undecided

By Bryan Bottarelli
Monday, April 07, 2008 3:41 PM EDT
Mon, 7 Apr 2008 19:41:00 GMT

Dear Bottarelli Research Member,

As the trading day comes to a close, we’re getting nothing more than “neutral” signals both on the upside and the downside. This coincides with my note this morning about the DIA sitting right in the middle of its 50-day and its 200-day moving averages. To be perfectly honest, the “ideal” technical situation would see the DIA fall back down to its 50-day moving average, successfully defend this level, and then blast higher.

DIA

This second successful test would be a confirmation of a major support level, and would give us the green light to play a series of upside calls going into May. But remember, that’s my “perfect scenario.” And as you very well know, Wall Street rarely follows scripts that precisely. Therefore, let’s continue holding our PCLN April 120 Puts (PUZ PU) and our LVS May 85 Calls (LVS EQ). Both LVS and PCLN are moving in the direction that we want today, so we’ll cover ourselves on both the upside and the downside with these two. And as always, I’ll look to take quick profits off the table at the appropriate times.

In other news, I’d love to add calls on POT if we see the stock dip back down. And I’m also following an interesting 2-day chart formation on ATI as well. Check out both charts below:

POT

ATI

Should the timing look right for entry into either of these names, you’ll be the first to know. But until then, congrats on a nice 3 for 3 trading day.

And as always…

Lock and load!

Sincerely,

Bryan Bottarelli

Bryan Bottarelli
Editor, Bottarelli Research

© 2012 CSR Group, LLC. All rights reserved. Published in USA.

Information, opinion, research, and commentary contained herein is obtained from sources believed to be reliable; their reliability, however, cannot be guaranteed. The maxim of Caveat Emptor applies — let the buyer beware. Bottarelli Research does not provide individual investment advice, act as an investment advisor, or individually advocate the purchase or sale of any security or investment.

Investments recommended in this service should be made only after consulting with your investment advisor, and only after reviewing the prospectus or financial statements of the company. Bottarelli Research reserves the right to use e-mail endorsements and/or profit claims from its subscribers for marketing purposes. All names will be kept anonymous and only subscriber’s initials will be used unless express written permission has been granted to the contrary.

CSR Group, LLC expressly forbids its writers from having a financial interest in any security recommended to readers. Furthermore, all employees and agents of CSR Group, LLC and its affiliate companies must wait 24 hours before following a published recommendation.

Bottarelli Research alerts contain time-sensitive information, and are published and distributed to members with urgency. Because of this, not all published materials can be adequately proofread, and an occasional spelling or grammar error may exist.


Other Options Alerts From April 2008