trades
Sometimes a nice gap down at the open provides some great opportunities to add calls on positions you have been waiting for nice entries on. There were two particular stocks I was watching the past few days, and saw a great entry point given the strength of the stocks on an overall weak day.
The first stock is BP Prudhoe Bay Royalty Trust (BPT), a dividend playing trust… Read More
How does that saying go? When it smells like shit, looks like shit, tastes like shit, and came out of an a^^hole… it probably is shit… right? Well yeah. So lets apply those adjectives to the world economy: little to no growth in developed economies, huge debt issues in europe, a slowing china economy, a U.S. fiscal cliff, along with political unrest and change in some of the emerging countries.… Read More
Hopefully as the ‘sheep’ retail traders/investors were changing the channel from CNBC during the last two weeks market ramp, they came upon a classic Seinfeld episode entitled “the Bizzaro Jerry”, where everything was the polar opposite… Up was down, right was left, and wrong was right. We wrote many times over the past week about the impending short-term bull market. How folks would be forced into equities, and… Read More
CME Group (CME) is a stock that has been very kind to us over the years. At the start of 2012, we were able to position ourselves with some calls into earnings and banked some serious coin. Take a look at the charts below for the call. And this was what we were saying before the stock took off: “CME GOING TO GET LEGS” ; CME GROUP
On April 4th, the market hit a 4 year high as the $SPY touched $142.21. If you had told someone last October that the market would be up nearly 40% 6 months later, they would call you crazy. But that is exactly what happened from the 107.43 low on October 4th. Amongst all the negative sentiment, the market mysteriously found a bottom and rallied furiously, squeezing all the bears…… Read More
It seems every week there is a stock in the retail sector moving 15%+. Fossil (FOSL), Deckers Outdoor Corp (DECK), and JC Penney (JCP) all saw their shares ripped to shreds on disappointing earnings and lower outlooks. Is the economy really starting to show signs of cracking? Maybe analysts had the bar set to high? I am sure its some of those reasons and more, but there are companies that… Read More
Abercrombie & Fitch Co.(ANF) reported earnings this morning that missed estimates. The stock is currently off 11.61% at $40.10. Folks selling and shorting the stock on fundamentals, will soon learn a powerful lesson. Abercrombie & Fitch Co. (ANF) has more going for it then just it’s recent earnings and we think a bounce is in the cards here intra-day.
Disclosure: We are holding $42/$43/$44/$45 May calls.
It is Mid-week, and my favorite time of the month is coming. Option Expiration! The last few weeks have been very challenging times trading options. Take a look at UPB’s video from last night: http://www.optionmillionaires.com/2012/upb-may-15th-market-recap-outlook-spy-aapl-fosl-sina-jcp-sp-futures/
He made some great points around trading options in this environment. Also, sometimes its better to sit on your hands then force a trade. There is ALWAYS money to be made in any type… Read More
Most daytraders close out their positions before the close. Making a living trading stocks is all about controlling your risks, and obviously there is more risk when you hold an equity overnight. Who knows what type of news can come out before the market opens that may impact your holdings. Better to lock-in the gain or loss before the close, and wait for the next trading day. That is, unless… Read More
Bad news can pummel a stock into submission. Take a look at the chart for SINA Corporation (SINA) below. We have made some very profitable trades on SINA Corporation (SINA) in the past, and we think it’s ready to make another move to the upside.
When SINA moves, it tends to be violent as folks chase a move they fear they are missing. Lets see if SINA starts… Read More
