Todays news about the blocked merger between Deutsche Boerse AG (DBOEY) and NYSE Euronext (NYX) coupled with Nasdaq(NDAQ) Earnings, has given life to CME. CME reports tomorrow and think this will be the beginning of an uptrend to $270+.
Stocks Gone Wild? Well not wild, but what would you call a stock up 36% or $18+ since we spoke about it on Jan 10th, exactly 3 weeks ago? Crazy?? Insane? Amazing? Lets just keep it simple and call it a money maker. Buying and holding a stock for a 36% gain in 3 weeks is not bad, but anyone buying calls on SINA at the $48 low are extremely happy people. Check out the before and after picture. Now can we spot a nice bottom, and yes, that chart looks nice too.
Plays like SINA are why this site is called Option Millionaires. A few hundred can turn into a few thousand very quickly... and if you find the right stock, a few hundred can turn into 5-6 digits.
Just check out what SINA did on friday on the FACEBOOK IPO news. (BTW: I hate that i linked a CNBC clip). The weekly $67.50 calls were trading at .01 at high noon on friday, only to hit $3.55 a few hours later. A $100 gamble would have turned into a new SUV ($35,500)!!! Gamble?? Well isnt that what the stock market is? Legalized gambling. The house still wins (Goldman Sux, Morgan Stanley, Bank of America..ect) , while the retail trader (the gambler) gets taken to the poorhouse.
Thank you china, for giving the poor American traders a chance to make some money.. now go buy your iphone!!!
All joking aside, there are plays like SINA everyday. The challenge is finding them, and thats why we are here!
On to the next one!!
Should i have put that in capital letters, BOLDED, and in RED??
Just had to laugh when i saw this come on my phone about 5 minutes ago. It was so important they pushed it...
If CNBC was milk, I would be going to the doctor from food poisoning....
Most Banks Tightening Credit to Europe: Fed Survey CLICK HERE FOR THE EARTH SHATTERING NEWS
DMDN (Diamond Foods, inc) has been a very volatile stock over the past 12 months, trading as low as $26 and as high as $96. Its agreement with The Procter & Gamble Company (NYSE:PG ) to merge the Pringles business ("Pringles") into Diamond Foods in a transaction valued at$2.35 billion has been the catalyst for the extreme highs and lows. The stock pushed to all-time highs after the news, as the merger would triple the size of Diamonds snack business model.
Some more benefits from the filing:
- Increase scale in U.S. grocery, mass merchandise, drug and convenience channels to gain greater merchandising and distribution influence;
- Leverage Diamond's sales and distribution infrastructure through a more than doubling of snack sales in the U.S. and U.K., which are Pringles' two largest markets;
- Gain a broader global manufacturing and supply chain platform, with access into key growth markets around the world, including Asia, Latin America and Central Europe;
- Increase Diamond's geographic diversity, with international sales accounting for approximately 49 percent of total revenues on a pro forma basis.
Trading stock options provide for some amazing profit potential. In my years of trading options I've seen many option trades pass me by that would have made me a Millionaire. That's why we are all here, and that is why this site is named Option Millionaires. You can truly become a millionaire trading stock options. The gain potential is literally unlimited..... but the potential for loss is also great. RISK/REWARD.
Which brings me to my motto for out of the money stock options... "a little dab will do".
There is no need to be piling in way more than you can afford to lose. One thing is almost guaranteed with out of the money stock options.... you will lose money. It is inevitable. And if you hit a tough streak, the losses can pile up.... but all you need is one strong option trade to pull you ahead. If you make 4 $200 trades and lose on three of them, but make $1,400 on the last.... well that's why we trade option.
A little dab will do ya: