Options Trading
Speculator’s Corner: Chinese Consumer Spending
China is one of the most intriguing investments around today. The fundamental catalysts are easy to see… They’re the second largest economy in the world behind the US. GDP is growing at better than 7%. And they have a huge and growing consumer base. It’s no wonder so many investors turn to China in search […]
Covered Calls: Shopping For Big Returns On Small Price Gains
Holiday shopping is in full swing… Retailers are hoping the introduction of more branded shopping days will entice consumers to spend more money than ever. It began with Black Friday, the day after Thanksgiving. Then Super Saturday, the Saturday before Christmas popped up. And then the internet gave rise to Cyber Monday, the Monday after […]
Sectors To Watch: Tech So Bad It’s Good?
Every day we’re moving one step closer to going over the fiscal cliff. It’s scary to think about the impact higher taxes and spending cuts will have on the economy. Just look at what similar austerity measures have done to heavily indebted European countries. It’s not a pretty picture… But the reality is most Americans […]
Call Options Or Put Options On Westport Innovations (WPRT)?
Westport Innovations (WPRT) is the leader in fuel system technologies that enable light, medium, heavy-duty, and high-horsepower petroleum-based fuel engines to use natural gas and alternative fuels. WPRT currently trades for $23.50 per share. The shares are up 7% from the 52-week low of $21.93. But the stock has tumbled more than 50% from the […]
Sectors To Watch: Property & Casualty Insurance
The US financial markets are closed on Monday. However, it’s anything but quiet as Hurricane Sandy bears down on the east coast. Obviously, the most important thing is ensuring the safety of the 60 million people who will be impacted by the storm. But there’s no doubt, Sandy will have a financial impact as well. […]
Technical Analysis: What A Trend Change Really Means
The S&P 500 had a great run this summer. Over a three month period from June 4th to September 15th, the large cap index shot up 16%. During that time, the S&P set a series of higher highs and higher lows. And it established a strong uptrend. But what a difference a few weeks can […]
A Simple Option Strategy To Profit From Weak 3rd Quarter Earnings
Third quarter earnings season hits full stride this week. Eight-two of the S&P 500 companies and 12 of the 30 Dow Jones stocks report earnings in the next five days. Unfortunately, this is expected to be the worst quarter for earnings since 2009. Analysts are forecasting S&P 500 earnings per share growth of -1.7% and […]
The Spread Trader: Bull Call Spread On Caterpillar (CAT)
So far the Fed’s latest action hasn’t made a big impact on stock prices. In fact, the markets have been trending modestly lower after an initial surge higher in the first days following the announcement of QE3. What’s behind the markets’ sluggish performance? Put simply, weak economic data. Despite the introduction of QE3, economic data […]
Sectors To Watch: Cash In On QE3 With Basic Materials!
Last week, Fed Chairman Ben Bernanke unleashed a third round of quantitative easing (QE3) on the US economy. The move by the central bank wasn’t unexpected. However, the magnitude of the plan has reignited investors’ animal spirits. And for good reason… the first two versions of QE had specific dollar amounts and time limits. But […]
The Spread Trader: Bull Call Spread On CBS Corp (CBS)
Fall is here. It’s a beautiful time of year here in Arizona. The temperatures are falling and it’s once again tolerable to be outside… at least without a pool or some kind of air conditioning. But it’s also a great time of year to be a couch potato. Especially, if you’re into sports or politics. […]
