Elliott Gue remains bearish on the overall market and suggests several short sales and puts. On the other hand, David Fried remains bullish and recommends a package of stocks undergoing share repurchases. Larry McMillan offers both bullish and bearish picks, recommending both puts and calls on specific stocks. (For more information on these advisors, click on their photos.)

McMillan, Lawrence

For those familiar with the complexities of options, Larry McMillan, editor of The Option Strategist, offers the following suggestion: we have a new sell signal in IBM (IBM NYSE). In our portfolio, we will buy three IBM September 85 puts at a price of 5.50 or less. Stop yourself out on a close above 84. On the upside, we are close to a buy signal in Johnson & Johnson (JNJ NYSE). We have a conditional ‘buy’ for JNJ, but only on a close above 53. In that case, we would buy four JNJ October 50 calls .

Fried, DavidDavid Fried, editor of The Buyback Letter , focuses on companies that are repurchasing their own shares. His Buyback Premium Portfolio is beating the S&P 500 by over 119% since its inception on August 2, 2000. Says Fried, "We recommend buying equal amounts of the following four stocks at market. Ryland Group (RYL NYSE), a national homebuilder; Indymac Bancorp (NDE NYSE), a mortgage banker; AutoNation (AN NYSE), a nationwide auto retailer; and Principal Financial (PFG NYSE), which provides financial services."

Gue, ElliottElliott Gue, in his trading-oriented service, Trading Floor Pros , has recently increased his short positions in two stocks. "We recommend that traders take short positions in Centex (CTX NYSE), the residential homebuilder. Short above $71 - with a stop at $79.27. We also short Morgan Stanley (MWD NYSE). We initially took a short position in MWD at $44.58 and increased this position at $46.29. Keep a stop at $50. In his Wall Street Winners , Gue adds, "Capital One (COF NYSE) has more room to fall due to its previous meteoric rise. Buy Capital One Dec. Puts  below $5.50  We don’t see a bounce much past 48; the downside is in the low 40s, if not worse."