|
|
|
|
|
 |
|
|
 |
Friday, September 16th, 2011
9:45am (EST)
We were able to lock in a profit of 133% on half of our Research In Motion (RIMM, $23.20, down $6.34) put option trade this morning. We will continue to hold the other half to see if shares sink lower but more than likely we will close it as well before the weekend to lock in triple-digit profits.
Subscribers, check the Members Area for the details.
Tags: RIMM
Posted in Trade Update | Comments Off
Tuesday, June 21st, 2011
11:40am (EST)
For those of you who use our cell phone alerts or Twitter updates, we wanted to send out a Trade Alert for two of our current trades. This morning we set hard stops for LinkedIn (LNKD, $67.71, up $4.00) and Research In Motion (RIMM, $27.49, up $1.60).
We had already closed half of these trades to lock in profits and the stops on the rest of the positions have been hit. LNKD was closed for 110% return in 5 days while subscribers banked 357% on RIMM in 2 weeks.
We will be back in about an hour with a short market update and a possible NEW TRADE. Subscribers, stay locked and loaded and be sure to check the Members Area for the updates.
Tags: binary options, call options, futures options, high beta stocks, Hot stocks, LNKD, momentum options, Momentum stocks, option market, option tips, options, options mentoring, options trading, options trading course, RIMM, stock market options, weekly options, what are options
Posted in Trade Update | Comments Off
Monday, June 20th, 2011
12:35pm (EST)
The market has managed to shrug-off Greece’s financial woes by moving higher to start the week. Futures were improving as we were going to press this morning and after a lower open, the bulls are motivated.
There isn’t any economic news due out today but there are some key moving events that could have an impact on the market over the week. Tuesday is light with Existing Home Sales for May the only headline and we will talk more about Wednesday, tomorrow.
The Dow is up 82 points to 12,088 while the S&P 500 is higher by 8 points to 1,279. The Nasdaq is showing a 17 point pop and is at 2,633.
The good news is that our portfolio remains hot so the action is inside our Members Area. We closed one trade this morning for gains of over 150% and we now have another trade that is up 180% since last Thursday. The stock we have been following was at $70 last Thursday and is in a freefall. We said last week shares could test double nickels ($55) which is where we are looking to close at least half of the trade. However, due to the quick gains, we are closing HALF the trade right now.
We also have 2 NEW TRADES we are releasing today so we have to cut it short. Subscribers, check for the updates.
Tags: call options, futures options, high beta stocks, Hot stocks, momentum options, Momentum stocks, option market, option tips, options, options mentoring, options trading course, Research In Motion earnings miss, RIMM, stock market options, weekly options, what are options
Posted in Market Analysis, Market Commentary | Comments Off
Monday, June 20th, 2011
8:35am (EST)
The bulls finally got the bears off their back after scoring their first weekly win in 7 weeks as the market gained just enough on Friday to end the losing streak. However, it must be noted that Tech finished the week in negative territory so it wasn’t a clean sweep by the bulls.
We said on Friday the bulls face a crucial test as they needed to overtake a few key resistance areas and the Dow and the S&P 500 managed to do just that. The Nasdaq, on the other hand, made a brief trip into positive territory which was enough to claim a “W” but remained in a downtrend all day after the initial pop in the morning. Friday’s slight gains were fueled on hopes Greece gets a bailout but late in the day there were reports surfacing that Moody’s (MCO, $36.33, down $1.94) was putting Italy’s debt rating on review for a possible downgrade.
We will save the Moody’s story for another day but it’s hard to believe shares have managed to climb 50% this year and are up nearly 100% off their 52-week low of $19-and change.
The Dow gained 42 points on Friday and finished at 12,004 after trading to a high of 12,072 intraday. The index managed to hold the 12,000 level which we outlined as resistance followed by 12,200. If there is a break above 12,200 then the bulls will try to push 12,350 again. The bears will target 11,800 and then 11,600 which represents the March lows. For the week, the Blue-Chips added 50 points, or 0.4%, and is up 3.7% YTD.
The S&P 500 gained 4 points to settle at 1,271.50 after kissing a high of 1,279. We were looking for 1,275 to hold for a possible push to 1,300 but this area has been trouble. If there is a rally past 1,300 then 1,315-1,325 would come into play but the bears seem determined to test 1,250 over the near-term. The index started the week at 1,270 and gained a point for the week. For the year, the S&P is still up 1.1%.
The Nasdaq fell 7 points and closed at 2,616 after reaching a peak of 2,648 but failed the 2,650 level once again. This is an important area of resistance as the bulls attempt a run back to 2,700, but more importantly, they will need to hold 2,600. If this level of support is breached then it will be a quick trip down to 2,550-2,500. For the week, the Nasdaq fell 27 points, or 1%, and recorded it 5th-straight weekly loss. For 2011, Tech is down 1.4%.
Last week, we mentioned the 10% decline in the Russell 2000 from its 2011 perch of 868. The index managed to close slightly higher on Friday at 781.75 (up 0.21) and for the week (up 3). If a turnaround rally is to take place, this index will need to challenge the 800 level again. If not, the small-caps could be headed to 750, if 775 is penetrated.
The other interesting development that took place is the VIX which jumped over 20 last Thursday. The S&P 500 Volatility Index (^VIX, 21.85, down 0.88) traded to a high of 24.65 on Friday and we said a jump to 30 could be in the cards on more selling pressure. A break above 30 could put the market in a freefall.
As we look ahead to this week, we said on Friday that the week after June Quadruple Witching expiration has not been kind to the bulls over the past 2 decades. The market has dropped 1.2%, on average, during this time frame with the Dow falling 11 straight years and 18 out of the last 20. Those aren’t good odds (90% chance) for going long but anything can happen and we wouldn’t be surprised to see a rally back to resistance with so many people betting on a correction.
We could see some extra volatility this week as debt concerns around the globe continue to take center stage. Here at home, expect more water-cooler talk about QE3 with QE2 set to finish by the end of the month. We aren’t sure what could be up Ben Bernanke’s sleeve because a kitchen sink won’t fit and the money machine is running out of ink but he will come up with something.
This could give the market a lift or it could work against it. Also, we are entering a period where companies usually “pre-announce” if they are going to miss earnings which begins in July with the start of 2Q’s numbers. In any event, we expect the recent volatility to continue but we are in good shape. We have plenty of room in our portfolio for new trades and we expect to be busy this week.
Futures were weak last night and got progressively worse before we hit the rack on news that Europe has put Greece on the backburner until July. The country is looking for another $12 billion euro as part of the $110 billion euro bailout package agreed upon but must make another $28 billion euro more in spending cuts by the end of June.
As such, futures have remained weak throughout the morning. Dow futures are down 42 points to 11,896 while the S&P futures are lower by 5 points to 1,261. Nasdaq futures are off 10 points to 2,180.
We have a lot to cover this morning, including a ton of charts and some new trade ideas. We may be busy today so look for Trade Alerts. Subscribers, check the Members Area for the updates.
Tags: call options, futures options, high beta stocks, Hot stocks, momentum options, Momentum stocks, option market, option tips, options, options mentoring, options trading course, Research In Motion earnings miss, RIMM, stock market options, weekly options, what are options
Posted in Market Commentary, Mergers and Acquisitions | Comments Off
Friday, June 17th, 2011
12:20pm (EST)
After 6-staright weeks of losses, the bulls are trying to end that streak which depends on today’s rally holding. Futures were pointing towards a so-so open but
The Dow started the week at 11,951 and is currently up 83 points to 12,044. If the bulls can hold 12,000 and win the week then next week is a toss-up in what has been a down week, historically, over the past two decades. More on this in a minute…
The S&P 500 is higher by 9 points to 1,276 after starting the week at 1,270. The bears will try to keep the index below 1,275 as the bulls look to make a push back to 1,300.
The Nasdaq is showing a 8 point pop and is at 2,631. Tech started the week at 2,643 and has reached a high of 2,648 but if 2,650 is not broken, and held, then it favors the bears next week.
In IPO news, Bankrate (RATE, $14.50, down $0.50) made its debut this morning by ringing the opening bell and offering shares to the public. The company priced its offering at $15 last night which was the mid-point of the expected range but shares are down 3% on their first day of trading.
Ringing the bell hasn’t been too kind to companies trying to make a big splash this week. Pandora Media (P, $12.87, down $0.39) is still sinking after hitting a high of $26 on Wednesday in its debut. LinkedIn (LNKD, $67.06, down $1.21) is down 45% on its 1-month anniversary after hitting a high of $122.70 on its first trading day.
With all options for the month of June expiring today, we wanted to go over next week’s landscape real quick.
The week after June Quadruple Witching has produced an average loss of over 1%, on average, for the Dow over the past 11 years and 18 of the last 20 years. In other words, there is a 90% chance the market corrects further next week but nothing is a given.
As you can see, Tech is still struggling and the Financial stocks face further downside risk. However, the bulls have been known to climb a wall of worry and we are still in a “trading range” which means anything can happen.
The market is up today on hopes Greece gets a bailout and Monday will be a big day as we should get more news on the embattled country.
On the good news department, Research In Motion (RIMM, $27.42, down $7.91) continues to get spanked behind the woodshed as shares are now down over 20%. The plunge has meant a windfall for our current put option recommendation. Our subscribers are working on a 300% return…
That is all we have for today and we hate to see the week end as we are now holding 4 triple-digit winners in our portfolio. We have been making some sweet calls lately and we have been saying NOW is a great time to be putting some money to work. For those who want to take your trading to the next level, come join us.
Also, our Weekly Wrap which will be closing out another profitable trade today. Folks, this publication is quickly becoming a hit and it is hands down a bargain. If you haven’t given it a try, you should, as it is packed with trading ideas. We profile two stocks a week that could be on the verge of big moves as we do an in-depth technical and fundamental analysis of the companies we profile.
For those of you looking for a deal, if you purchase a 1-year subscription to our Weekly Wrap, we will ship you a copy of our options trading manual, How to Trade Options on Momentum Stocks, at no charge (an $895 value). The course also comes with monthly (bi-monthly videos) which show you how to find you own triple-digit winning option trades.
And one last fun factoid before we go, Krispy Kreme Doughnuts (KKD, $9.39, up $0.60) is at fresh 52-weeks highs. Imagine that. We did.
We will be back Sunday night and until then, relax, get some sun, and have a great weekend! We hope you take advantage of our offer.
Tags: call options, futures options, high beta stocks, Hot stocks, initial public offerings, IPO’s, LNKD, momentum options, Momentum stocks, option market, option tips, options, options mentoring, options trading course, P, Pandora IPO, RATE, Research In Motion earnings miss, RIMM, stock market options, weekly options, what are options
Posted in IPOs, Market Commentary, Strategies | Comments Off
|
|
|  | | | |
Get RSS Feed
Market Heads Higher Heading Into Second Half
Monday, June 20th, 2011
12:35pm (EST)
The market has managed to shrug-off Greece’s financial woes by moving higher to start the week. Futures were improving as we were going to press this morning and after a lower open, the bulls are motivated.
There isn’t any economic news due out today but there are some key moving events that could have an impact on the market over the week. Tuesday is light with Existing Home Sales for May the only headline and we will talk more about Wednesday, tomorrow.
The Dow is up 82 points to 12,088 while the S&P 500 is higher by 8 points to 1,279. The Nasdaq is showing a 17 point pop and is at 2,633.
The good news is that our portfolio remains hot so the action is inside our Members Area. We closed one trade this morning for gains of over 150% and we now have another trade that is up 180% since last Thursday. The stock we have been following was at $70 last Thursday and is in a freefall. We said last week shares could test double nickels ($55) which is where we are looking to close at least half of the trade. However, due to the quick gains, we are closing HALF the trade right now.
We also have 2 NEW TRADES we are releasing today so we have to cut it short. Subscribers, check for the updates.
Tags: call options, futures options, high beta stocks, Hot stocks, momentum options, Momentum stocks, option market, option tips, options, options mentoring, options trading course, Research In Motion earnings miss, RIMM, stock market options, weekly options, what are options
Posted in Market Analysis, Market Commentary | Comments Off