TAKING PARTIAL PROFITS ON MCDONALD’S
June 8, 2011
We are taking partial profits on McDonald’s (MCD) at $81.11.
Proven Track Record of Most Accurate Analysis
Proven Track Record
of Most Accurate Analysis
We are taking partial profits on McDonald’s (MCD) at $81.11.
We are lowering the stop zone on one-quarter of our McDonald’s Corp (MCD) position to $81.42 to $81.62
McDonald’s Corp (MCD) reported below expectation same store sales. McDonald’s opened lower. Now McDonald’s is undergoing a massive short squeeze. We will start scaling in shorts on the exhaustion of current upspike. Please use your technical indicators to determine the exhaustion. Suggested entry zone is $81.20 to $82.50. Stop zone $82.61 to $83.26. Obviously the higher the entry the better. Target zone is $78. to $79.26. Those not experienced in determining exhaustion of an upspike may consider attending one of our coaching seminars on the subject. There is a waiting list.
We are taking partial profits on Ulta Salon (ULTA) right here at $53.31.
Ciena (CIEN) reported terrible earnings. Further analysis of the earnings report shows that the optical market is deteriorating. Ciena is down over $3.00 in the premarket. At The Arora Report, we were expecting this down draft in Ciena as is evidenced by our past writings. Our analysis shows that the optical business may soon reach a trough. When all six screens of the ZYX Change Method are meet, we will be looking to buy Ciena. Any actionable signal will be provided on the Real Time Feed of the ZYX Buy Change Alert.
Acorda Therapeutics (ACOR) rumor spreaders are out in force. They are misleading the uninformed investors about a statement Biogen (BIIB) just made at a conference. We have taken partial profits on Acorda at $30.20. Our highest short tranche in Acorda is from $33.48. The rumor related to Biogen buying Acorda is proven false. However, we are exiting Acorda with profit at $31.16 in the interest of defensive trading. With this cover, we will exit the position completely. If there are new actionable signals on Acorda, we will provide those in real-time to subscribers. 30 day free trial
Ulta Salon, Cosmetics (ULTA) runs health and beauty retail stores. This has been a fast growing chain. After the close Ulta Salon reported earnings of $0.37 per share $0.06 more than the consensus. Revenues rose 20.5% to $386 million vs $372 million. The Ulta Salon has high short interest and thus a pop on these earnings is reasonable. Our issue is with the headlines describing Ulta Salon’s guidance. Headlines are screaming ‘upside guidance’. Ulta Salon’s guidance is $0.31 to $0.33 vs. $0.30 for the earnings. Revenue guidance is $378 – $384
Temple-Inland (TIN) bid by International Paper (IP) has antitrust risk. In some segments, the combined company will have over 30% market share. Such market share will invite scrutiny of Temple-Inland and International Paper by the Department of Justice. The possibility of the Department of Justice rejecting the bid by International Paper for Temple-Inland is real. Even without the antitrust risk, if Temple-Inland decides to fight the bid by International Paper, Temple-Inland can delay any acquisition by almost a year. Those holding Temple-Inland stock may consider taking profits right here and focusing on other stocks in