|
|
|
|
|
 |
|
|
 |
Thursday, March 11th, 2010
1:00pm (EST)
The bulls are taking the bears best blows but they ain’t backing down. We have so much to talk about and there are so many moving parts right now that we don’t know where to begin.
First, the market.
The Dow is down 7 points to 10,560 while the S&P 500 is off by 2 and is trading at 1,143. The Nasdaq, which continues to be our hero, is slightly lower by 3 points at 2,355.
Our short-term hurdles are Dow 10,800 and the S&P 500 needs to bust through 1,150. Next week is option expiration and if we stay below these levels the action will be intense as both sides battle over strike prices.
We are still in the bulls camp and anything can happen which is what makes option trading so great. We have been aggressive this week and our trading instincts tell us we are going higher. We also realize that we are facing serious headwinds but nervous money doesn’t make money.
We are seeing the IPO market show signs of life again.
Sensata Technologies (ST, $18.85, flat), a leading global supplier of sensors and controls went public today. The market capitalization for the company is a little over $3 billion, which makes it the largest U.S. company to go public in 2010 to date. There are no listed options on the stock, yet, but we will do some more research to see if there is a trade here when the options do list.
Another story we want to talk about is Imax (IMAX, $16.65, up $0.63) which reported earnings this morning. All we can say is the company is in a groove.
Shares have hit another 52-week high of $17.60 after reporting a profit of $4 million, or $0.06 a share versus a year-earlier net loss of $9 million, or $0.21 a share. Revenue rose nearly 100% to a record $54 million.
The boys on the Street were looking for earnings of $0.07 a share on revenue of $45 million. We had a few emails trickle in today as some of our subscribers choose to keep their March call options open.
We profiled a trade on Imax at the beginning of February that we felt really good about but the market was still finding its way and we were a little early.
If you look at our current 2010 portfolio, you will see we were stopped out for a 50% loss which is one of our trading rules for higher priced options, but man, have they rebounded.
The March 12.50 calls (IMQ100320C00012500, $4.00, up $0.50) were profiled at $1.05 and are showing a 220% return from those levels.
Our target for Imax has been $20 since early October and we told you the momentum was there. Unfortunately, we were just a little early in our portfolio but we are glad it worked out for some of you.
Of course, we have a few trades in our Members Area that we think can replicate those returns. One of our trades that we released Monday just hit a triple-digit return yesterday and we think there may be a little more left in the tank. We also entered two more trades today and we are looking at another as “protection” as we head into Friday and next week.
The action could get intense as the March options expire. Current subscribers, check for the updates.
Tags: Imax, option picks, option signals, options alerts, sensata technologies, st, stock options trading
Posted in Company Commentary, Market Commentary | Comments Off
Monday, March 8th, 2010
12:50pm (EST)
The bulls are taking a breather as they prepare to take the market higher over the next few weeks. Of course, the bears are still playing and they are getting a little action today but we think the trend is still up.
The Dow is currently down 20 points to 10,545 while the S&P has slipped 2 points and is at 1,137. The Nasdaq, however, is also showing a slight gain and is higher by 4 points to 2,330.
We got some more rhetoric from the President concerning HealthCare which could be weighing on the market. He also took another shot at Goldman Sachs (GS, $169.57, up $2.39) but the stock has been rallying lately off the $165 level.
Imax (IMAX, $14.92, up $1.20) is at fresh 52-week highs after taking in record sales for the opening of Alice in Wonderland. The movie was shown in 188 domestic Imax theaters which contributing $12 million of the film’s overall opening gross of $116 million.
These numbers represent over 10% of the overall domestic box revenues but the kicker is that Imax was only on 3% of the total screens. The company’s average screening was a whopping per $64,362 joint. Overseas, they made another $3 million on 53 screens. Wow.
Imax is a story we have been covering for 3 years and some of our subscribers have been loading up on this stock when it was under $4. We don’t buy stock but we have profiled several call options trades over the past few years that have done well.
The company announces earnings this Thursday.
We have a lot to cover in the Members Area so we want to get our subscribers inside. We also have NEW TRADE we cover in today’s update.
Tags: Goldman Sachs, GS, Imax, option picks, option signals, options alerts, stock options trading
Posted in Company Commentary, Hot Stocks, Market Analysis, Market Commentary, Option Trades | Comments Off
Wednesday, March 3rd, 2010
9:05am (EST)
The Dow managed to squeak out a small gain of 2 points yesterday and closed at 10,405 after dipping into negative territory in the final hour. Despite Tuesday’s choppy action, the Dow managed to stay above 10,400 for the second consecutive day, something that hasn’t happened since mid-January.
Meanwhile, the S&P 500 also added a couple of points and finished at 1,118 while the Nasdaq closed at 2,280, up 7 points.
Walt Disney (DIS, $31.88, up $0.34) led the Dow higher and looks like it wants to challenge its 52-week high of $32.75. We have followed Disney for years and we usually have pretty good success playing call options on the stock. In September 2009, we grabbed our subscribers 72% on a call option trade and we recently closed out another trade for a small 12% win. In other words, there could be a trade here if Disney continues higher.
Another stock perched at a 52-week high is Imax (IMAX, $14.25, up $0.76). For those who have followed us for a couple of years know we frequently talk about the company as well and have been pounding the table on this stock since it was under $3.
The 52-week low for Imax is $3.90 and if you just do the math just from this level you get a return of 265%. So even if you don’t trade options, it just goes to show that if you aren’t a premium subscriber there are stories out there worth following which is why you should still read us every day.
Imax reports earnings NEXT Thursday, March 11, and we think they are going to knock the cover off the ball.
We have a lot to cover in the Members Area this morning and we have another new trade. As we head to press, Dow futures are up 2 points to 10,401 while the S&P 500 futures are higher by a point to 1,118. Nasdaq 100 futures are up 2 points to 1,854.
Tags: DIS, Imax, option picks, option signals, options alerts, stock options trading, Walt Disney
Posted in Company Commentary, Entertainment Stocks, Market Analysis, Market Commentary | Comments Off
Tuesday, January 5th, 2010
1:10pm (EST)
Our trades are hotter than a James Bond Girl…
Folks, the market is slightly lower today but we have got our subscribers into some good trades. The Dow is currently down 34 points to 10,549 as the bulls seem a little tired after yesterday’s huge rally.
The S&P 500 is up a half point and is trading at 1,133 while the Nasdaq is lower by 3 points to 2,305. Although the market is lower we think the rally continues for at least another week.
Imax (IMAX, $14.02, up $0.72) has hit another 52-week high today and we have updated our current option position. We also have another scorcher with our Las Vegas Sands (LVS, $17.99, up $1.37) trade which is up nearly 50% from this morning.
Subscribers, check the Members Area for the updates…
Tags: alternative investments, asset management, blog Wall Street, buying call options, buying put options, call option trading, Casino stocks, chicken option trades, Covered Calls, financial, financial investment, funds, future option trading, futures trading, gold investing, guide to investment, guide to options, guide to options trading, hedge fund, hedge funds, how to invest, Imax, income, index funds, index options, invest, invest money, investing for dummies, investing market, investment, investment advisor, investment management, investment services, investment strategy, investments, journal Wall Street, Las Vegas Sands, momentum stock option trading, mutual investing, new Wall Street, on Wall Street, online option trading, online trading system, option call, option exchange, option investment, option price, option selling, option trade, option trade picks, option trading online, options, options blog, options expiration, options mentoring, options newsletters, options track record, options trade, options trading, options trading strategies, private equity, put option trading, Rick Rouse, software options, stock, stock exchange, stock investment, stock market, stock market options, stock option trade pick service, stock option trading, stock price, stock quotes, stock share, stock trading, straddle option trades, strangle option trades, strategies options, support and resistance levels, the Wall Street, trading, trading option, trading options, triple-digit option trades, wall st, Wall Street, Wall Street article, Wall Street blog, Wall Street history, Wall Street online, wealth management
Posted in Company Commentary, Hot Stocks, Market Commentary | Comments Off
Tuesday, December 15th, 2009
9:00am (EST)
The bulls got some good news yesterday in the form of the Dubai $10 billion “bailout” package and the Dow’s advance could have been more if Exxon Mobil (XOM, $69.69, down $3.14) didn’t drop 4%. The company said it would acquire XTO Energy (XTO, $47.86, up $6.37) for $30 billion or so and Exxon’s Dow impact accounted for 23 negative points.
Still, the Dow rose 29 points to close at 10,501, its highest close since October 1st, 2008. The S&P 500 added 7 points and closed at 1,114, while the Nasdaq gained 21 to finish at 2,212.
We would love to see Exxon drop to $66-$67 this week or next.
The Financial sector got a small lift after Citigroup (C, $3.70, down $0.25) said it would repay the $20 billion of the $45 billion it received last year from the government’s bailout package. Citigroup tanked of course, but JPMorgan (JPM, $41.77, up $0.81), Goldman Sachs (GS, $166.10, up $0.10) and Morgan Stanley (MS, $30.17, up $0.39) got small pops. Note: The government also will sell its 35% stake in Citigroup.
Wells Fargo (WFC, $25.49, up $0.08) must have felt left out because after the bell yesterday they announced they were repaying $25 billion. Both Citigroup and Wells have followed Bank of America’s (BAC, $15.63, flat) lead as they recently announced they were repaying the $45 billion in bailout money it owed taxpayers.
Well, well, well…Apollo Group (APOL, $62.06, up $5.48) has agreed to settle a lawsuit over how it paid recruiters for its University of Phoenix subsidiary. The company said it expects to pay $80 million in the settlement. Wow! Somebody didn’t want somebody talking. We covered the firm’s shady practices and mentioned this “boiler room” atmosphere in our October 28th write-up “Apollo Group Has A Skeleton Or Two“.
Ahead of the opening bell, Dow futures are lower by 45 points to 10,392, while the S&P 500 futures are off 6 to 1,102. The Nasdaq futures are down 9 to 1,799. Stock futures got worse after the release of the producer price index report. The index increased 1.8% versus the expected increase of 0.8%.
Before we go, we continue to notice the gains in Imax (IMAX, $12.93, up $0.35) which hit another 52-week high yesterday. We have been pounding the table on this stock and we have been recommending different options trades on this one all year long. In case you haven’t heard, Avatar is opening up this Friday.
Tags: Apollo Group, call option trading, chicken option trades, Citigroup, Covered Calls, Exxon Mobil, Imax, JPMorgan, momentum stock option trading, option trade picks, option trading online, options blog, options mentoring, options newsletters, options track record, put option trading, Rick Rouse, stock option trade pick service, straddle option trades, strangle option trades, support and resistance levels, triple-digit option trades, XTO Energy
Posted in Economic News, Financial Stocks, Hot Stocks, Option Trades, Watch Lists | Comments Off
|
|
|  | | | |
Get RSS Feed
Imax (IMAX) Rocks The Box (Office)
Thursday, March 11th, 2010
1:00pm (EST)
The bulls are taking the bears best blows but they ain’t backing down. We have so much to talk about and there are so many moving parts right now that we don’t know where to begin.
First, the market.
The Dow is down 7 points to 10,560 while the S&P 500 is off by 2 and is trading at 1,143. The Nasdaq, which continues to be our hero, is slightly lower by 3 points at 2,355.
Our short-term hurdles are Dow 10,800 and the S&P 500 needs to bust through 1,150. Next week is option expiration and if we stay below these levels the action will be intense as both sides battle over strike prices.
We are still in the bulls camp and anything can happen which is what makes option trading so great. We have been aggressive this week and our trading instincts tell us we are going higher. We also realize that we are facing serious headwinds but nervous money doesn’t make money.
We are seeing the IPO market show signs of life again.
Sensata Technologies (ST, $18.85, flat), a leading global supplier of sensors and controls went public today. The market capitalization for the company is a little over $3 billion, which makes it the largest U.S. company to go public in 2010 to date. There are no listed options on the stock, yet, but we will do some more research to see if there is a trade here when the options do list.
Another story we want to talk about is Imax (IMAX, $16.65, up $0.63) which reported earnings this morning. All we can say is the company is in a groove.
Shares have hit another 52-week high of $17.60 after reporting a profit of $4 million, or $0.06 a share versus a year-earlier net loss of $9 million, or $0.21 a share. Revenue rose nearly 100% to a record $54 million.
The boys on the Street were looking for earnings of $0.07 a share on revenue of $45 million. We had a few emails trickle in today as some of our subscribers choose to keep their March call options open.
We profiled a trade on Imax at the beginning of February that we felt really good about but the market was still finding its way and we were a little early.
If you look at our current 2010 portfolio, you will see we were stopped out for a 50% loss which is one of our trading rules for higher priced options, but man, have they rebounded.
The March 12.50 calls (IMQ100320C00012500, $4.00, up $0.50) were profiled at $1.05 and are showing a 220% return from those levels.
Our target for Imax has been $20 since early October and we told you the momentum was there. Unfortunately, we were just a little early in our portfolio but we are glad it worked out for some of you.
Of course, we have a few trades in our Members Area that we think can replicate those returns. One of our trades that we released Monday just hit a triple-digit return yesterday and we think there may be a little more left in the tank. We also entered two more trades today and we are looking at another as “protection” as we head into Friday and next week.
The action could get intense as the March options expire. Current subscribers, check for the updates.
Tags: Imax, option picks, option signals, options alerts, sensata technologies, st, stock options trading
Posted in Company Commentary, Market Commentary | Comments Off