April 29th, 2014 Watch List

It was another volatile session, as the opening gap was filled, and equities came under pressure, before rebounding in the afternoon and closing in the green. Despite the large swings, the VIX closed in the red, mostly a result of all the big cap/blue chip stocks logging some nice gains, and seemed unaffected by the mid-day sell-off. Stocks like IBM, K, XOM, CVX, V, and others led the charge. And then of course there was AAPL, which is single-handily helping my account recover from the last few weeks of futility. AAPL looks set to test $600 possibly.

BIDU faded right at the open yesterday, and i went in some puts as I saw the volume hitting the bid.. it was not a trade i had planned but you have to be flexible. Those puts paid off handsomely and I was able to close them all out before the bounce. Still think BIDU may come under pressure in the coming days, and will keep an eye on it for other opportunities - of course if the market rallies from here I may flip sides and go calls.

Europe markets are up sharply and U.S. futures are following. The Nasdaq will need a strong day or two to erase the possible head and shoulder pattern from the charts. We also had Gartman come out and say he is neutral stocks last night.. folks come to his defense for his flip-flopping but to me it’s an embarrassment - all this means is the market goes higher from here...(sense the sarcasm).

Today we have earnings from TWTR, TRLA, and PNRA after hours - to name a few. BWLD reported a strong Q yesterday, and the stock is up nicely. Will need a nice move from the open to put a bid in my 165 calls.

Tomorrow will be a big day, with the FOMC statement at 2pm. Three things I like from the past 24 hours: Gold selling off, the USD getting a bid nearing $80, and TLT selling off a bit - all three bode well for the markets...

Here are the (few) analyst changes of note for today:

OUTR Outerwall revenue outlook may miss consensus, says Piper Jaffray

Piper Jaffray expects Outerwall to report solid Q1 results on Thursday but thinks the company's Q2 revenue outlook could fall slightly below consensus given the "lackluster" Redbox title slate for the quarter. Piper believes Outerwall remains positioned to materially exceed consensus earnings expectations in 2014 and 2015. It keeps an Overweight rating on the stock with an $86 price target

CHTR Charter price target raised to $160 from $150 at Jefferies

Jefferies raised its price target for Charter (CHTR) shares to $160 citing the company's transaction with Comcast (CMCSA) and "solid" Q1 results. The firm remains positive on the stock with a Buy rating

IRBT IRobot upgraded to Neutral from Underweight at JPMorgan

JPMorgan upgraded iRobot to Neutral citing a balanced risk/reward following the recent pullback in shares. The firm keeps a $33 price target for the name

ISRG Intuitive Surgical upgraded to Neutral from Underperform at Sterne Agee

Sterne Agee upgraded Intuitive Surgical citing balanced risk/reward

HPQ HP upgraded to Outperform from Sector Perform at Pacific Crest

Pacific Crest upgraded HP (HPQ) to Outperform citing increased confidence in the company's profit recovery due to expanding margins, enterprise share gains and stabilizing PC trends. Pacific Crest set a $37 price target for shares

YHOO Yahoo added to US Key Call List at UBS

UBS added Yahoo to the US Key Call List based on discounted sum-of-the-parts valuation. The analyst said the Alibaba stake is worth $26.32 per shares and Yahoo Japan stake is worth $5.33 per share, leaving the core trading at a significant discount to peers. Shares are Buy rated

NFLX Netflix an attractive potential acquisition target, says Pacific Crest

Pacific Crest believes the current value of Netflix shares undervalues its growth potential. As such, the firm views Netflix as an attractive potential acquisition target for mega-cap technology companies and network operators. Pacific Crest recommends buying the stock with a $520 price target. It believes the company's strategic value should limit share downside, but it does not expect an acquisition in the near future

Here are my current positions: 

TRACKER 4-29-14 TRACKER 4-29-14

I dont want to promise I will have that everyday, but I can promise it will be on the Week Ahead Webinar everytime I do it. Please give me some feedback so i can continue doing it on a daily basis. Just like the daily recaps I was trying to do, sometimes it takes up too much time.. time i need to be allocating somewhere else.. but if it adds value to anyone here, i need to know that. (send email to optionmillionaires@gmail.com ) THANKS!!

I am not a TWTR bull but I am also not an AAPL bull and went calls. Think too many folks are expecting a huge disappointment from TWTR and the options are only pricing in a $5 move. I will look to get some May 17th calls. I am also going to get into my call position for Boston Beer earnings Weds ah’s:

Stock Ticker




Closing Price

Possible Entry Price




May 17th

.30 x .35





May 17th

.50 x .80






.45 x .75


Lets have a great day!!!

- JB

JimmyBob (Scott)has been trading equities for over 15 years, a majority of which were OTC micro-cap stocks. He started trading high risk stock options over the past 7 years, and has proven winning trades in excess of 15,000%.

As one of the Co-Founders of optionmillionaires.com, Scott enjoys sharing his knowledge with other investors through timely blog posts, daily watch lists in the forum, weekly webinars, and helpful advice within the chatroom.

More Posts by JB: View All | Private Twitter Feed: Access Now! (For Diamond Members)

Leave a Reply