Options Trading
Supervalu Options (SVU): Unusual Trading Activity
Options on retail grocer Supervalu (SVU) are experiencing unusual activity today. Supervalu doesn’t normally trade many option contracts. With a stock price under $5 per share, it’s a name most option traders don’t pay a lot of attention to. But that could be about to change… and not in a good way! You see, SVU […]
The Spread Trader: Bear Put Spread On United Parcel Service (UPS)
Last week we got more bad news on the state of the US economy. Five of the nine economic indicators came in weaker than expected. For instance, initial jobless claims and continuing claims both came in higher than expected… while housing starts and existing home sales fell short of expectations. But the one that was […]
Sectors To Watch: Health Care Stocks Paying Big Dividends
Health care stocks are hanging tough in a volatile market. So far this year, the Health Care Select Sector SPDR (XLV) is up nearly 8%. And the ETF has tacked on 4.5% in the month of June alone. The strong performance isn’t a recent development. XLV has been trending steadily higher for more than three […]
Speculator’s Corner: Get In On Oil’s Next Surge
Oil speculators are nearly universally despised for their perceived role in soaring oil prices. But if you can’t beat them, you might as well join them. As you know, hedge funds and other institutional investors place huge bets on oil prices in the futures markets. But they don’t actually own any oil. They’re simply hoping […]
Use Options To Cash In On The Next Selloff
Stocks have been bruised and battered by a barrage of negative news lately. The S&P 500 is down 10% from the bull market high of 1,422. And it’s in danger of falling much lower. You see, the S&P closed below a key technical support on Friday. And the last time the large cap index fell […]
Stock Options To The Rescue! Hewlett-Packard (HPQ)
Today we’re going to look at a stock replacement strategy on Hewlett-Packard. It allows you to reduce your risk and gives you upside potential. Here’s what happened… Hewlett-Packard (HPQ) shares opened up more than 7% today after reporting earnings after the market closed yesterday. In their latest quarter HPQ beat analyst’s earnings estimates. And they announced […]
The Spread Trader: Triple Your Money On Chipotle Mexican Grill (CMG)
You’ve probably noticed investor sentiment has taken a bearish turn of late. The bullish momentum that carried the Dow 25% higher from around 10,500 in October to over 13,000 earlier this year is gone. It’s been washed away by the problems in Europe and weaker than expected economic data in the US and China. Obviously, […]
Triple Your Money On JP Morgan’s (JPM) Downfall
Last week Jamie Dimon, the CEO of JPMorgan Chase (JPM), revealed the bank had suffered a massive $2 billion loss on a bad trade. The stunning revelation has shaken investor confidence in JPM and the financial industry as a whole. No doubt about it, this is a major blunder for JPM and their previously untarnished […]
The Spread Trader: Bear Put Spread On Morgan Stanley (MS)
Here we go again… Investors are once again hitting the sell button in May. It looks like the old Wall Street maxim, ‘sell in May and go away’ is proving to be true once again. Just last week, the S&P 500 had a bullish breakout from its April trading range. And the large cap index […]
Stock Options To The Rescue! Qualcomm (QCOM)
Today we’re going to look at Qualcomm and how you can use options to reduce your cost basis and profit from the recent decline in the stock. Here’s what happened… Qualcomm (QCOM) shares dropped more than 4% from $66.50 to around $64 per share after its quarterly revenue and earnings beat estimates, but their forecast […]