Best Energy Stocks To Buy For 2014

There is hardly another horizontal oil play in North America that would have caused so much controversy and polarized opinions as the Mississippian Lime. In the latest development this week, an Associated Press article (which was widely re-printed by regional and oil & gas-related publications) reported another high-profile departure from the play by a major exploration company. According to AP, Royal Dutch Shell's (RDS.A, RDS.B) spokesman confirmed that the company is selling off its vast 600,000-acre Mississippian Lime position in nine Kansas counties, including 45 producing wells, after the company's strategic review concluded in July that the assets do not meet its targets. The acreage is located in Barber, Harper, Kingman, Pratt, McPherson, Sedgwick, Sumner, Rice and Reno counties in Kansas.

Mississippian Lime Play Limits (Per SandRidge Energy)

(click to enlarge)
Shell's acreage includes areas that would be considered part of the play's "traditional core" (acreage in Barber, Harper and Sumner counties adjacent to the Kansas-Oklahoma state line) as well as areas located in the play's "extension" to the north (including McPherson, Rice, Reno, Pratt, and Sedgwick counties). Shell's departure continues the consolidation trend in this enormous play, with activity clustering around select areas that are better understood from a geophysical perspective, have demonstrated higher rates of drilling success, and have critical mass of production infrastructure.

Best Energy Stocks To Buy For 2014: DAQQ New Energy Corp.(DQ)

Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon in China. The company sells its polysilicon to photovoltaic product manufacturers for use in the processing of ingots, wafers, cells and modules for solar power solutions. It also produces and sells mono-crystalline and multi-crystalline modules to photovoltaic system integrators and distributors in China and internationally under its Daqo brand. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp. in August 2009. Daqo New Energy Corp. was founded in 2006 and is headquartered Wanzhou, the People?s Republic of China.

Best Energy Stocks To Buy For 2014: Samson Oil and Gas Ltd (SSN)

Samson Oil & Gas Limited (Samson), incorporated on April 6, 1979, is engaged in exploration and development of oil and natural gas properties in the United States. Samson owns a working interest in each of its three material producing properties, through which it has entered into operating agreements with third parties under which the oil and gas are produced and sold. The Company also has 100% working interest in one exploration property and 50% to 100% in a second property. As of June 30, 2012, the Company�� properties included North Stockyard Project; State GC Oil and Gas Field, New Mexico; Davis Bintliff (Sabretooth Prospect), Brazoria County, Texas; Hawk Springs Project, Goshen County, Wyoming, and Roosevelt Project, Roosevelt County, Montana. As of June 30, 2012, the Company along with its subsidiaries produced approximately 87,956 barrels of oil and 214,463 thousand cubic feet of gas.

North Stockyard Project -Williston Basin, North Dakota

Samson has 34.5% working interest in 3,303 acres adjacent to the North Stockyard Oil Field, which is located in the Williston Basin in North Dakota and is operated by Zavanna LLC. Together with the Company�� working interest owners, it has drilled seven wells in this field, six in the Bakken formation and one in the Mission Canyon formation. During July 2012, the Harstad #1-15H well averaged 15 barrels of oil per day (BOPD). The Leonard-23H (10% working interest, 37.5% after non-consent penalty) is a Mississippian Middle Bakken Formation. In July 2011, this well averaged 46 barrels of oil per day. The Company drilled its third Bakken well in the North Stockyard Field, the Gary-24H (37% working interest). During July 2012, this well averaged 75 BOPD. It drilled its fourth Bakken well in the North Stockyard Field, the Rodney-14H (27% working interest). In July 2011, this well averaged 92 BOPD. It drilled its fifth Bakken well in the North Stockyard Field in Williams County, North Dakota, the Earl 1-13H (32% working interest). In Jul! y 2011, the well averaged 193 BOPD. In June 2011, it drilled its sixth Mississippian Bakken well in the North Stockyard field in Williams County, North Dakota, the Everett 1-15H (26% working interest). As of June 30, 2012, the North Stockyard project had net proved reserves of 598,500 barrels of oil and 757,800 thousand cubic feet (of natural gas).

State GC Oil and Gas Field, New Mexico

The State GC oil and gas field is located in Lea County, New Mexico, and covers approximately 600 acres. As of June 30, 2012, the field had two wells, the State GC#1 and State GC#2. Average daily production during the year ended June 30, 2012 from the State GC oil and gas field was approximately 43 BOPD and 37 million standard cubic feet per day. As of June 30, 2012, the State GC oil and gas field had net proved reserves of 65,500 barrels of oil and 87,300 thousand cubic feet (of natural gas).

Davis Bintliff #1 Well (Sabretooth Prospect), Brazoria County, Texas

The Davis Bintliff #1 well is operated by Davis Holdings. During the year ended June 30, 2012, this well averaged 29 BOPD and 2.61million cubic feet per day. As of June 30, 2012, the Davis Bintliff well had net proved reserves of 700 barrels of oil and 66,400 Thousand cubic feet (of natural gas).

Hawk Springs Project, Goshen County, Wyoming

The Company has 37.5%-100% working interest in Hawk Springs Project. The Spirit of America 1 replacement well, Spirit of America 2, was successfully drilled to a total depth of 10,634 feet during the fiscal year ended June 30, 2012 (fiscal 2012).

Roosevelt Project, Roosevelt County, Montana

The well was drilled to a total measured depth of 14,972 feet with the horizontal lateral remaining within the target zone for the entire lateral length. approximately 3,425 barrels of oil have been produced.

Advisors' Opinion:

• [By James E. Brumley]

  Had Samson Oil & Gas Limited (NYSEMKT:SSN) made the late-July surge and subsequent early-August pullback and then gotten stuck in the mud again, I might not even bother taking a look at it. That's not how it happened though. Since the pullback, SSN has perked up again, perhaps not as hot as it was with the initial rally at the end of last month, but more than hot enough to get my attention. I suspect another surge - perhaps a longer-lasting surge - is in the cards.

Top Small Cap Stocks To Watch For 2014: Airgas Inc.(ARG)

Airgas, Inc., through its subsidiaries, distributes industrial, medical, and specialty gases, as well as hardgoods in the United States. The company offers various gases, including nitrogen, oxygen, argon, helium, and hydrogen; welding and fuel gases, such as acetylene, propylene, and propane; and carbon dioxide, nitrous oxide, ultra high purity grades, special application blends, and process chemicals. Its hardgoods products comprise welding consumables and equipment, safety products, and construction supplies, as well as maintenance, repair, and operating supplies. The company also engages in the rental of gas cylinders, cryogenic liquid containers, bulk storage tanks, tube trailers, and welding and welding related equipment. In addition, the company manufactures and distributes liquid carbon dioxide, dry ice, nitrous oxide, ammonia, refrigerant gases, and atmospheric merchant gases. It serves repair and maintenance, industrial manufacturing, energy and infrastructure co nstruction, medical, petrochemical, food and beverage, retail and wholesale, analytical, utilities, and transportation industries. The company operates an integrated network of approximately 1100 locations, including branches, retail stores, packaged gas fill plants, specialty gas labs, production facilities, and distribution centers. Additionally, it provides retail solutions to retail customers, such as florists, grocers, restaurants and bars, tire and automotive service centers, and others. The company markets its products through multiple sales channels, including branch-based sales representatives, retail stores, strategic customer account programs, telesales, catalogs, e-business, and independent distributors. Airgas, Inc. was founded in 1982 and is based in Radnor, Pennsylvania.

Advisors' Opinion:

• [By Monica Gerson]

  Airgas (NYSE: ARG) is expected to report its Q2 earnings at $1.22 per share on revenue of $1.28 billion.

  The Boeing Company (NYSE: BA) is estimated to report its Q3 earnings at $1.55 per share on revenue of $21.68 billion.

Best Energy Stocks To Buy For 2014: Solazyme Inc (SZYM)

Solazyme, Inc. (Solazyme), incorporated on March 31, 2003, makes oil. The Company�� technology transforms a range of plant-based sugars into oils. Its renewable products can replace or enhance oils derived from the world�� three existing sources-petroleum, plants and animal fats. The Company is focused on commercializing its products into three target markets: fuels and chemicals, nutrition, and skin and personal care. In 2010, the Company launched its products, the Golden Chlorella line of dietary supplements. In March 2011, the Company launched its Algenist brand for the luxury skin care market through marketing and distribution arrangements with Sephora S.A. (Sephora International), Sephora USA, Inc. (Sephora USA), and QVC, Inc. (QVC).

The Company is engaged in development activities with multiple partners, including Chevron U.S.A. Inc., through its division Chevron Technology Ventures (Chevron), The Dow Chemical Company (Dow), Ecopetrol S.A. (Ecopetrol), Qantas Airways Limited (Qantas) and Conopoco, Inc., doing business as Unilever (Unilever).

In 2010, the Company entered into a 50/50 joint venture with Roquette Freres, S.A. (Roquette). In November 2010, the Company entered into a joint venture and operating agreement for Solazyme Roquette Nutritionals with Roquette. In December 2010, the Company entered into an exclusive distribution relationship with Sephora International, and in January 2011, the Company entered into a distribution relationship with Sephora USA. Under the arrangements, each of Sephora International and Sephora USA will distribute the Algenist product line in their respective territories.

In Fuels and Chemicals market its renewable oils can be refined and sold as drop-in replacements for marine, motor vehicle and jet fuels, as well as replacements for chemicals that are traditionally derived from petroleum or other conventional oils. The Company work with its refining partner Honeywell UOP to produce Soladiesel (renewable diesel), So! ladiesel renewable diesel for United States Naval vessels, and Solajet renewable jet fuel for both military and commercial application testing. In nutrition market the Company has developed microalgae-based food ingredients, including oils and powders that enhance the nutritional profile and functionality of food products while reducing costs for consumer packaged goods (CPG) companies. In Skin and Personal Care market the Company hs developed a portfolio of branded microalgae-based products. Its ingredient is Alguronic Acid, which the Company has formulated into a range of skin care products with anti-aging benefits. The Company is also developing algal oils as replacements for the oils used in skin and personal care products.

The Company competes with BP p.l.c., Royal Dutch Shell plc, and Exxon Mobil Corporation, jatropha, camelina, SALOV North America Corporation, Archer Daniels Midland Company, Cargill, Incorporated, DSM Food Specialties and Danisco A/S

Advisors' Opinion:

• [By Maxx Chatsko]

  Synthetic biology and renewable oils manufacturer�Solazyme� (NASDAQ: SZYM  ) announced that it successfully conducted multiple initial fermentations in 500,000 liter fermentors in December 2012. While it was a big step forward in the right direction, I think the announcement was a bit premature. By "multiple," the company meant two and by "commercial scale production metrics," the company meant that only partial data had been collected. By reading SEC filings, investors can learn that the company has yet to prove microbial productivity at volumes greater than 128,000 liters. Not at all a nail in the coffin, but since the company believes it needs to reach 625,000 liter fermentors to be profitable, it is clear that engineers have plenty of work ahead of them.

• [By Maxx Chatsko]

  Synthetic biology company and renewable oils manufacturer Solazyme (NASDAQ: SZYM  ) reported earnings after the market closed on Wednesday. Investors worried about a quiet start to the year were reminded that the company remains occupied preparing its three commercial-scale facilities for operations and developing oil profiles. The waiting game isn't quite over for investors, but management announced one major event that should keep investors happy. Here is a recap of recent developments at Solazyme.

Best Energy Stocks To Buy For 2014: Southern Union Company(SUG)

Southern Union Company, together with its subsidiaries, engages in the gathering, processing, transportation, storage, and distribution of natural gas in the United States. It operates in three segments: Transportation and Storage, Gathering and Processing, and Distribution. The Transportation and Storage segment engages in the interstate transportation and storage of natural gas in the Midwest and from the Gulf Coast to Florida. It also provides liquefied natural gas (LNG) terminalling and regasification services. The Gathering and Processing segment involves in gathering, treating, processing, and redelivering natural gas and natural gas liquids (NGLs) in Texas and New Mexico. It operates a network of approximately 5,500 miles of natural gas and NGL pipelines, 4 cryogenic processing plants with a combined capacity of 415 MMcf/d, and 5 natural gas treating plants with a combined capacity of 585 MMcf/d. The Distribution segment engages in the local distribution of natural gas in Missouri and Massachusetts. This segment serves residential, commercial, and industrial customers through local distribution systems. The company was founded in 1932 and is based in Houston, Texas.

Best Energy Stocks To Buy For 2014: PROS Holdings Inc.(PRO)

PROS Holdings, Inc. provides pricing and margin optimization software worldwide. It offers PROS Pricing Solution Suite, a set of integrated software products that enables enterprises to apply pricing and margin optimization science to determine, analyze, and execute optimal pricing strategies through the aggregation and analysis of enterprise application data, transactional data, and market information. The PROS Pricing Solution Suite consists of Scientific Analytics to gain insight into pricing performance; Price Optimizer to institute control of pricing policies; and Deal Optimizer to provide guidelines, additional context, and information to sales force. Its products also include PROS Revenue Management Solution Suite, a suite of industry specific revenue management software products for the enterprises in travel target markets. The PROS Revenue Management Solution Suite comprises PROS Analytics to identify hidden revenue leaks and opportunities, PROS Revenue Management product to manage passenger demand with leg- or segment-based revenue optimization, PROS O&D products to manage passenger demand with passenger name record or PNR based revenue optimization, PROS Real-Time Dynamic Pricing product to determine the optimal prices, PROS Group Revenue Management product to manage group request and booking revenues, PROS Network Revenue Planning product to deliver network-oriented fare class segmentation, PROS Cruise Pricing and Revenue Optimization for customers to understand consumers price sensitivities and track competitor behavior, PROS Hotel Revenue Optimization product that helps customers to enhance pricing decision. In addition, the company provides pricing and implementation professional, and ongoing support and maintenance services. It serves customers in the manufacturing, distribution, services, hotel and cruise, and airline industries primarily through its direct sales force. The company was founded in 1985 and is headquartered in Houston, Texas.

Best Energy Stocks To Buy For 2014: BlueFire Equipment Corp (BLFR)

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Advisors' Opinion:

• [By CRWE]

  Today, BLFR surged (+8.91%) up +0.049 at $.599 with 202,607 shares in play thus far (ref. google finance Delayed: 12:28PM EDT July 15, 2013).

  BlueFire Equipment Corporation previously reported field testing of its proprietary polycrystalline diamond cutter (PDC) drill bits has exceeded company expectations.

  BlueFire�� exclusive technology provides the potential for higher rates of penetration (ROP) and longer bit runs in hard rock formations and shales.

  BlueFire Equipment Corporation Chairman and CEO William A. Blackwell said, ��.S. drilling companies continue to seek out and employ new technologies to improve performance and effectiveness. Culminating years of research and development, BlueFire has taken a ground up approach to redesigning the PDC bit to help meet these needs.��/p>

Best Energy Stocks To Buy For 2014: Vantage Drilling Company(VTG)

Vantage Drilling Company, through its subsidiaries, provides offshore contract drilling services to oil and natural gas companies in the United States and internationally. The company offers drilling units, related equipment, and work crews under contract to drill oil and natural gas wells; construction supervision services; and operates and manages drilling units owned by others. Its customers primarily include multinational oil and natural gas companies, government owned oil and natural gas companies, and independent oil and natural gas producers. The company owns and manages four jackup rigs and three drillships. Vantage Drilling Company was founded in 2007 and is based in Houston, Texas.

5 Stocks Set to Soar on Bullish Earnings

DELAFIELD, Wis. (Stockpickr) -- Short-sellers hate being caught short a stock that reports a blowout quarter. When this happens, we often see a tradable short squeeze develop as the bears rush to cover their positions to avoid big losses. Even the best short-sellers know that it's never a great idea to stay short once a bullish earnings report sparks a big short-covering rally.

>>5 Stocks Ready to Break Out

This is why I scan the market for heavily shorted stocks that are about to report earnings. You only need to find a few of these stocks in a year to help enhance your portfolio returns -- the gains become so outsized in such a short time frame that your profits add up quickly.

That said, let's not forget that stocks are heavily shorted for a reason, so you have to use trading discipline and sound money management when playing earnings short-squeeze candidates. It's important that you don't go betting the farm on these plays and that you manage your risk accordingly. Sometimes the best play is to wait for the stock to break out following the report before you jump in to profit off a short squeeze. This way, you're letting the trend emerge after the market has digested all of the news.

>>5 Big Stocks to Trade for Big Gains

Of course, sometimes the stock is going to be in such high demand that you risk missing a lot of the move by waiting. That's why it can be worth betting prior to the report -- but only if the stock is acting technically very bullish and you have a very strong conviction that it is going to rip higher. Just remember that even when you have that conviction and have done your due diligence, the stock can still get hammered if The Street doesn't like the numbers or guidance.

If you do decide to bet ahead of a quarter, then you might want to use options to limit your capital exposure. Heavily shorted stocks are usually the names that make the biggest post-earnings moves and have the most volatility. I personally prefer to wait until all the earnings-related news is out for a heavily shorted stock and then jump in and trade the prevailing trend.

>>5 Stocks Under $10 Set to Soar

With that in mind, here's a look at several stocks that could experience big short squeezes when they report earnings this week.

Herbalife

My first earnings short-squeeze play is network marketing and personal products player Herbalife (HLF), which is set to release numbers on Monday after the market close. Wall Street analysts, on average, expect Herbalife to report revenue of $1.19 billion on earnings of $1.14 per share.

If Herbalife can report a 10% growth in earnings for the third quarter, that would extended its streak of double-digit growth for a 16th consecutive quarter. Revenue is projected to rise by 19%, which would be also mark the 16th consecutive quarter of double-digit sales growth.

>>5 Rocket Stocks Worth Buying This Week

The current short interest as a percentage of the float for Herbalife is extremely high at 21.1%. That means that out of the 84.19 million shares in the tradable float, 30.21 million shares are sold short by the bears. If the bulls get the earnings news they're looking for, then this stock could easily see a monster short-squeeze develop post-earnings.

From a technical perspective, HLF is currently trending well below its 200-day moving average and just below its 50-day moving average, which is bearish. This stock has been uptrending modestly for the last month, with shares moving higher from its low of $61.70 to its recent high of $68.60 a share. During that uptrend, shares of HLF have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of HLF within range of triggering a near-term breakout trade post earnings.

If you're bullish on HLF, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance at $68.60 a share with high volume. Look for volume on that move that hits near or above its three-month average action of 3.31 million shares. If that breakout hits, then HLF will set up to re-test or possibly take out its 52-week high at $74.94 a share. Any high-volume move above that level will then give HLF a chance to tag $80 to $90 a share post-earnings.

I would simply avoid HLF or look for short-biased trades if after earnings it fails to trigger that breakout and then drops back below some key near-term support levels at $63.07 to $61.70 a share with high volume. If we get that move, then HLF will set up to re-test or possibly take out its next major support levels at $57 to $50 a share.

Questcor Pharmaceuticals

Another potential earnings short-squeeze trade idea is biopharmaceuticals player Questcor Pharmaceuticals (QCOR), which is set to release its numbers on Tuesday after the market close. Wall Street analysts, on average, expect Questcor Pharmaceuticals to report revenue of $199.70 million on earnings of $1.29 per share.

>>5 Biotech Stocks Under $10 for Your Watch List

The current short interest as a percentage of the float for Questcor Pharmaceuticals is very high at 22.3%. That means that out of the 54.61 million shares in the tradable float, 13.05 million shares are sold short by the bears. The bears have also been increasing their bets from the last reporting period by 12.6%, or by about 1.45 million shares. If the bears are caught pressing their bets into a bullish quarter, then shares of QCOR could rip sharply higher post-earnings as the bears rush to cover some of their bets.

From a technical perspective, QCOR is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending strong for the last month, with shares moving higher from its low of $53.09 to its intraday high of $69.40 a share. During that uptrend, shares of QCOR have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of QCOR within range of triggering a near-term breakout trade.

If you're in the bull camp on QCOR, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance at $69.40 a share, and then once it clears its 52-week high at $74.76 a share with high volume. Look for volume on that move that hits near or above its three-month average action of 1.94 million shares. If that breakout triggers, then QCOR will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $85 to $90 a share.

I would simply avoid QCOR or look for short-biased trades if after earnings it fails to trigger that breakout and then drops back below its 50-day moving average of $63.32 a share with high volume. If we get that move, then QCOR will set up to re-test or possibly take out its next major support levels at $58 to $53 a share.

Blue Nile

One potential earnings short-squeeze candidate is online retailer of diamonds and jewelry Blue Nile (NILE), which is set to release numbers on Thursday before the market open. Wall Street analysts, on average, expect Blue Nile to report revenue of $99.82 million on earnings of 16 cents per share.

>>4 Big Stocks to Trade (or Not)

The current short interest as a percentage of the float for Blue Nile is very high at 17.8%. That means that out of the 11.58 million shares in the tradable float, 2.18 million shares are sold short by the bears. This is a large short interest on a stock with a very low tradable float. Any bullish earnings news could easily spark a big short-squeeze for shares of NILE post-earnings.

From a technical perspective, NILE is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending for the last few weeks, with shares moving high from its low of $36.56 to its recent high of $40.99 a share. During that uptrend, shares of NILE have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of NILE within range of triggering a near-term breakout trade.

If you're bullish on NILE, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance levels at $40.99 to $42.34 a share to its 52-week high at $43 a share with high volume. Look for volume on that move that hits near or above its three-month average action of 116,368 shares. If that breakout triggers, then NILE will set up enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $50 to $60 a share.

I would avoid NILE or look for short-biased trades if after earnings it fails to trigger that move, and then drops back below its 50-day moving average of $38.73 a share with high volume. If we get that move, then NILE will set up to re-test or possibly take out its next major support levels at its 200-day moving average of $35.86 a share to $34 to $33 a share.

Walter Energy

Another earnings short-squeeze prospect is coal producer and exporter Walter Energy (WLT), which is set to release numbers on Wednesday before the market open. Wall Street analysts, on average, expect Walter Energy to report revenue of $454.81 million on a loss of $1.02 per share.

>>5 Stocks Insiders Love Right Now

The current short interest as a percentage of the float for Walter Energy is extremely high at 33.9%. That means that out of the 59 million shares in the tradable float, 21.06 million shares are sold short by the bears. The bears have also been increasing their bets from the last reporting period by 2.1%, or by about 436,000 shares. If the bears are caught pressing their bets into a strong quarter, then shares of WLT could easily rip sharply higher post-earnings as the shorts rush to cover some of their bets.

From a technical perspective, WLT is currently trending above its 50-day moving average and below its 200-day moving average, which is neutral trendwise. This stock has been uptrending strong for the last two months and change, with shares moving higher from its low of $9.96 to its recent high of $16.30 a share. During that uptrend, shares of WLT have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of WLT within range of triggering a big breakout trade post-earnings.

If you're bullish on WLT, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance levels at $16.29 to $16.30 a share with high volume. Look for volume on that move that hits near or above its three-month average action of 7.77 million shares. If that breakout triggers, then WLT will set up to re-test or possibly take out its next major overhead resistance levels at $20 to $22.50 a share.

I would simply avoid WLT or look for short-biased trades if after earnings it fails to trigger that breakout, and then drops back below its 50-day moving average at $14.24 a share to more support at $13.50 a share with high volume. If we get that move, then WLT will set up to re-test or possibly take out its next major support levels at $12 to $11.50 a share.

WebMD Health

My final earnings short-squeeze play is online health care information services player WebMD Health (WBMD), which is set to release numbers on Tuesday after the market close. Wall Street analysts, on average, expect WebMD Health to report revenue of $129.74 million on earnings of 9 cents per share.

>>Do You Own These Blue-Chips? Sell Them!

The current short interest as a percentage of the float for WebMD Health is pretty high at 9.7%. That means that out of the 42.26 million shares in the tradable float, 4.26 million shares are sold short by the bears. If the bulls get the earnings news they're looking for, then shares of WBMD could spike sharply higher post-earnings as the bears jump to cover some of their bets.

From a technical perspective, WBMD is currently trending above both its 50-day and 200-day moving averages, which is bullish. This stock has been uptrending strong for the last month and change, with shares moving higher from its low of $28.03 to its recent high of $36.22 a share. During that move, shares of WBMD have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of WBMD within range of triggering a big breakout trade post-earnings.

If you're in the bull camp on WBMD, then I would wait until after its report and look for long-biased trades if this stock manages to break out above its 52-week high at $36.22 a share (or Tuesday's intraday high if greater), and then above some past resistance at $40.24 a share with high volume. Look for volume on that move that hits near or above its three-month average volume of 841,772 shares. If that breakout triggers, then WBMD will set up to enter new 52-week high territory, which is bullish technical price action. Some possible upside targets off that breakout are $48 to $50 a share.

I would avoid WBMD or look for short-biased trades if after earnings it fails to trigger that breakout, and then drops back below some near-term support at $34 a share with high volume. If we get that move, then WBMD will set up to re-test or possibly take out its next major support levels at its 50-day moving average of $31.65 a share to $30 to $28 a share.

To see more potential earnings short squeeze plays, check out the Earnings Short-Squeeze Plays portfolio on Stockpickr.

-- Written by Roberto Pedone in Delafield, Wis.

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Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.

Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including

CNBC.com and Forbes.com. You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.

Barilla exec apologizes for remarks on gays

Bowing to continuing criticism of his controversial remarks about gays, Guido Barilla has pledged to meet with groups "that best represent the evolution of the family, including those who have been offended by my words."

The concession, posted in a video apology on the website of his family-owned pasta giant, came as the company tried to calm the boycott calls and criticism ignited last week when Barilla said he would not show gay families in company ads.

"I would never make a spot with a homosexual family," Barilla said Thursday on the Italy radio program La Zanzara (The Mosquito), according to Italian news agency ANSA. "Not out of a lack of respect but because I do not see it like they do. (My idea of) family is a classic family where the woman has a fundamental role."

ANSA reported that when the show's hosts noted that gays and lesbians eat pasta, Barilla responded, "That's fine if they like our pasta and our communication, they can eat them. Otherwise, they can eat another pasta."

Barilla also said, "I respect everyone who does what they want to do without bothering others," ANSA reported. He said he supported gay marriage "but not adoption in gay families."

"As a father of multiple children, I believe it's very hard to raise kids in a same-sex couple," Barilla said, according to ANSA.

The remarks drew an unwelcome spotlight to the Barilla Group, the private Italian company founded in 1877 where Guido Barilla and his brothers, Luca and Paolo, represent the fourth generation of family-owned leadership. According to the firm's website, Barilla employs more than 8,000 workers, owns 30 production sites and each year produces 1.7 million tons of food products distributed to 100 countries.

Guido Barilla, the company's chairman, initially issued a written apology on his firm's website, saying that while his comments were hurtful "they are not a genuine view of my opinion." But the comments did little to ease rising calls for boycotts and petitions that drew thousand! s of signatures from angry protesters around the world.

"We accept his invitation to not eat his pasta," said Aurelio Mancuso, president of gay-rights group Equality Italia, ANSA reported

"Here we have another example of homophobia, Italian style," said Alessandro Zan, an Italian parliament member with the left-wing SEL party, ANSA reported.

The furor spread internationally via Twitter, where the hashtags #boicottabarilla and #boycottbarilla prompted numerous tweets.

"Now that we know pasta CEO G. Barilla is homophobic, it's a good day to say DeCecco is far better anyway," tweeted actress Mia Farrow.

Barilla pasta product competitors Bertolli and San Remo used the controversy to post social media advertising messages that stressed support for families of all types. "Pasta for all," proclaimed a similar Buitoni ad posted on Facebook.

Even Dario Fo, the Nobel Prize winner and Italian actor and playwright who once appeared in a Barilla ad, issued an open letter asking the executive to reconsider his wounding of the lesbian, gay, bisexual and transgender community.

A Change.org petition posted by Fo had drawn more than 52,000 supporting signatures as of Monday. That represents "a clear indicator that consumers are still pretty upset. If anything, it appears these campaigns are gaining momentum, not slowing down," Change.org spokesman Mark Anthony Dingbaum said Monday.

So Barilla ate crow in the new video apology, saying the reaction to his comments "depressed and saddened me."

"It is clear that I have a lot to learn about the lively debate concerning the evolution of the family," said Barilla. "In the coming weeks, I pledge to meet representatives of the groups that best represent the evolution of the family, including those who have been offended by my words."

GLAAD, a U.S. advocacy group for the LGBT community that had started asking officials at U.S. supermarket chains to speak out against Barilla's comments, on Monday called Barilla's pledge to! meet wit! h his critics a "good first step."

But the pasta executive should go further, by taking steps to ensure that same-sex couples in Italy receive equal benefits and are protected against job discrimination, said Rich Ferraro, GLAAD's vice president of communications. Ferraro also suggested that Barilla provide financial help to Italy-based LGBT organizations that combat prejudice.

"I think the public backlash shows that homophobia is bad for business today because we're living in a world where LGBT people are respected and accepted," said Ferraro. "That wasn't the case five years ago."

The Barilla controversy comes three months after Dan Cathy, president of Atlanta-based food chain Chick-fil-A, used Twitter to voice his opposition to the U.S. Supreme Court ruling that struck down the Defense of Marriage Act.

"Sad day for our nation; founding fathers would be ashamed of our gen. to abandon wisdom of the ages re: cornerstone of strong societies," Cathy wrote in a tweet that was later deleted.

USA TODAY reported earlier this month that Chick-fil-A appeared to be offering a moderated view.

"Our intent is not to support political or social agendas," said Steve Robinson, the firm's executive vice president for marketing. He added that the company's culture "is to treat every person with honor, dignity and respect — regardless of their belief, race, creed, sexual orientation or gender."

In a separate gay rights victory, Exxon Mobil said Friday it would provide health insurance and other worker benefits to married same-sex couples starting Oct. 1. The decision, which reversed years of the oil giant's opposition to such a policy, came in response to new federal government guidelines prompted by Ju! ne's Supr! eme Court ruling.

Top Stocks To Buy 2016

Top Stocks To Buy 2016