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Wednesday, September 23rd, 2009
9:20am (EST)
Futures are slightly higher this morning as Wall Street awaits the Federal Reserve’s decision on interest rates. Dow futures are up 11 to 9,782. S&P 500 futures are higher by 2 to 1,069 while the Nasdaq 100 futures are up 7 to 1,740.
The U.S. central bank is expected to keep interest rates at a record low of near zero, but the Street will be looking for an indication of when the Fed may raise rates in the future. Look for fireworks at 2:15pm.
There are a few movers and shakers before the bell…AutoZone (AZO, $152.92) is down $4.50 in pre-market trading after it missed Wall Street’s estimates. For the quarter, the company said it earned $236 million, or $4.33 per share, down from $244 million, or $3.88 per share, a year ago. Analysts were expecting a profit of $4.45 per share for the latest quarter.
Dendreon (DNDN, $28.87) is back near $30 and Citigroup (C, $4.65) is also up before the bell. I’ll be back at 1pm with the mid-day update. Subscribers, check the Members Area for the trade updates.
Rick@MomentumOptionsTrading.com
Tags: AutoZone, AZO, c, Citigroup, Dendreon, dndn, options picks, options trading strategies Posted in Hot Stocks | Comments Off
Tuesday, September 22nd, 2009
12:40pm (EST)
Dendreon (DNDN, $29.83, up $0.37) popped over $30 again this morning after an analyst initiated coverage of the biotech company with an “Outperform” rating and a $40 price target…
It looks like we left some on the table with First Solar (FSLR, $160.63, up $3.38). The October 165 calls (HJQJM, $7.10, up $1.40) were profiled at $2.00 on 9/10 in the Members Area and we were out at $3.20 on half and $1.95 on the other half by 9/14. We cleared 30% but those of you who went for gold despite the volatility are up a whopping 250%…
Fairchild Semiconductor (FCS, $11.39, up $0.34) has made a huge run since we last visited the stock in July. At the time, shares were going for $8-and-change I was wrong on the August 10 calls at the time. Sometime we are off by thismuch when it comes to finding great option trades and this appears to be the case with this one.
AutoZone (AZO, $152.64, down $0.91) is slightly lower today. The company will report earnings on Wednesday and this is always a fun one to watch after they report.
There are no new trade recommendations today. We are holding what we got…
Rick@MomentumOptionsTrading.com
Tags: AutoZone, Dendreon, Fairchild Semiconductor, First Solar, options picks, options trading strategies Posted in BioTech, Earnings, Hot Stocks, Market Analysis, Option Trades | Comments Off
Tuesday, September 22nd, 2009
8:45am (EST)
Futures are steam-rolling higher this morning, pointing towards a nice open as the market tries to rebound from yesterday’s losses. It looks like the bulls are ready to run once we open but will it be enough to get the Dow to 10,000?
Ahead of the bell, Dow futures are up 47, to 9,765. S&P 500 futures are higher by 6, to 1,066, while the Nasdaq 100 futures have climbed 11, to 1,739.
The first hurdle to clear this morning will be the housing price numbers which are due out at 10am. The Federal Reserve also kicks off its two-day interest rate meeting today, and although they don’t comment on the first day, interest rates are expected to remain unchanged when they announce Wednesday. Also, the U.S. Treasury is selling $45 billion in two-year notes so we will have to see what impact this could have on the market.
It looks like the cruise industry is enjoying better times…Carnival (CCL, $32.00) is trading higher by $1.65, to $33.65, after reporting better-than-expected earnings this morning. Ditto for ConAgra Foods (CAG, $22.33) as it reported 1Q results that topped Wall Street’s expectations.
As far as stocks we are watching, Citigroup (C, $4.43) is up 14 cents, Research In Motion (RIMM, $84.16) is trading near $85, and Dendreon (DNDN, $29.46) is up 44 cents to $29.90. Subscribers, check the Members Area for the trade updates…
Rick@MomentumOptionsTrading.com
Tags: ChangeYou.com, Citigroup, Dendreon, Dendreon Blog, IBM, Imax, momentum options trading, Momentum stocks, options blog, options trade picks, Research in Motion Posted in Apple, Earnings, Financial Stocks, Market Commentary, Option Trades | Comments Off
Monday, September 21st, 2009
12:05pm (EST)
The market took a hit this morning (as it seems to do every Monday morning) but has bounced off its lows of the session. The futures were pointing towards a nasty open after the Asian markets sold-off slightly but the bulls are focused on Dow 10,000.
Currently the Dow is down 32 points to 9,788. The Nasdaq is up 4 points to 2,137 while the S&P 500 is lower by 3 to 1,063.
Two stocks going in different directions today…Research In Motion (RIMM, $84.12, up $0.49) which reports earnings on Thursday is up while Apple (AAPL, $182.89, down $2.13) is rolling over. The drop in Apple has taken us out of October 200 calls (APVJT, $1.54, down $0.48) but not before we booked a 100% return. These call options were going for 85 cents when we sent out a News Flash alerting you of another possible move to the upside when the stock was at $178. Subscribers, check the Members Area for the trade updates on RIMM and Changeyou.com (CYOU, $38.03, down $0.72).
Rick@MomentumOptionsTrading.com
Tags: Apple, ChangeYou.com, options track record, options trading blog, Research in Motion Posted in Apple, Hot Stocks, Market Analysis, Option Trades | Comments Off
Monday, September 21st, 2009
8:55am (EST)
There have been 16 IPO’s (initial public offerings) this year but things are picking as a number of companies are striking the iron before it gets really hot. The Nasdaq and NYSE have each had 8 U.S. IPOs so far this year and companies are looking to take advantage of the market’s rebound. Here is a few set to make their debut:
Anthera Pharmaceuticals (ANTH)
KAR Holdings (KAR)
Rue21
Asian Financial (DYP)
Cobalt International Energy (CIE)
A recent IPO I profiled in the blog a little over a week ago had doubled before slipping 7% Friday. Since I don’t do stocks and IPOs do not trade options when they first come out, it’s rare I participate in this market but I have in the past (anyone remember Rain Forest Cafe?) with some good results.
Eventually IPOs do trade options but they carry more risk because Wall Street is still trying to figure out the company. One recent IPO I did mention recently, Tri-Tech Holding (TRIT, $14.60, down $1.07) opened at $7.80 on 9/10…
From the 9/11/09 Blog:
“Welcome Tri-Tech (TRIT, $8.75, up $2.00) to the investing community. The Chinese company had its Initial Public Offering (IPO) yesterday after pricing 1.7 million shares at $6.75 apiece. Tri-Tech’s forte is designing and customizing sewage treatment and control systems in China but it is a tiny company. The stock can be added to your “China Watch List” but there are no options (yet) on the stock.” (END)
For you stock traders, that one was on the house…
Another IPO set to hit the market is…Subscribers, check the members Area to get the scoop and a possible option trade in another company in the same hot sector…
Earnings for the week:
Monday: Diedrich Coffee (DDRX, $24.84, up $1.18), Lennar (LEN, $16.54, down $0.06) and Synnex (SNX, $31.34, down $0.47).
Tuesday: CarMax (KMX, $19.06, up $0.27), Carnival (CCL, $32.26, down $0.60), ConAgra Foods (CAG, $22.32, up $0.17), FactSet Research Systems(FDS, $62.17, down $0.18), Financial Federal (FIF, $23.76, down $0.32), FreightCar America (RAIL, $20.01, down $0.16), H.B. Fuller (FUL, $20.99, up $0.16) and Progress Software (PRGS, $22.68, down $0.37).
Wednesday: AutoZone (AZO, $152.09, up $4.72), Bed Bath & Beyond (BBBY, $39.28, up $0.47), Cintas (CTAS, $29.77, up $0.31), General Mills (GIS, $60.31, up $0.25), Paychex (PAYX, $29.68, down $0.06) and Red Hat (RHT, $25.84, up $0.38).
Thursday: American Greetings (AM, $14.94, up $0.32), Analogic (ALOG, $36.16, down $1.60), Finish Line (FINL, $9.34, down $0.16), McCormick & Company (MKC, $35.04, up $1.17) and Research In Motion Limited (RIMM, $83.62, up $0.92).
Friday: AZZ (AZZ, $37.42, down $1.03) and KB Home (KBH, $20.21, up $0.52).
I’ll be back at 1pm with the afternoon update…
Tags: IPOs, options blog, options track record, options trade picks, Tri-Tech Holding Posted in Company Commentary, Hot Stocks, IPOs | Comments Off
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Futures Pointing Towards Higher Open
Tuesday, September 22nd, 2009
8:45am (EST)
Futures are steam-rolling higher this morning, pointing towards a nice open as the market tries to rebound from yesterday’s losses. It looks like the bulls are ready to run once we open but will it be enough to get the Dow to 10,000?
Ahead of the bell, Dow futures are up 47, to 9,765. S&P 500 futures are higher by 6, to 1,066, while the Nasdaq 100 futures have climbed 11, to 1,739.
The first hurdle to clear this morning will be the housing price numbers which are due out at 10am. The Federal Reserve also kicks off its two-day interest rate meeting today, and although they don’t comment on the first day, interest rates are expected to remain unchanged when they announce Wednesday. Also, the U.S. Treasury is selling $45 billion in two-year notes so we will have to see what impact this could have on the market.
It looks like the cruise industry is enjoying better times…Carnival (CCL, $32.00) is trading higher by $1.65, to $33.65, after reporting better-than-expected earnings this morning. Ditto for ConAgra Foods (CAG, $22.33) as it reported 1Q results that topped Wall Street’s expectations.
As far as stocks we are watching, Citigroup (C, $4.43) is up 14 cents, Research In Motion (RIMM, $84.16) is trading near $85, and Dendreon (DNDN, $29.46) is up 44 cents to $29.90. Subscribers, check the Members Area for the trade updates…
Rick@MomentumOptionsTrading.com
Tags: ChangeYou.com, Citigroup, Dendreon, Dendreon Blog, IBM, Imax, momentum options trading, Momentum stocks, options blog, options trade picks, Research in Motion
Posted in Apple, Earnings, Financial Stocks, Market Commentary, Option Trades | Comments Off