Tag Archives: calls

SodaStream International (SODA)

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We wrote about SodaStream International last week, and it's quite easy to figure out where we think this stock is going. Thinking is one thing, but actually going? Well thats where Option Traders make their money. Sometimes folks relate the stock market to a casino, where folks place bets in the hopes of getting some return on their investment.

And just like a craps table, you are able to see bets placed on stocks. Are they going up? Check the open interest on the calls. Are they going down? Check the open interest on the puts. Now there are other factors that can have an impact on open interest, like folks buying some calls to hedge their short position, and vice versa. But odds are, if the open interest in the calls far exceed the open interest in the puts, folks are betting on a stock going higher.

And there is no better measurement then the current months options.

Look below to see the March Calls/Puts for SodaStream International(SODA). I am not a brain surgeon nor a rocket scientist, but i do think the rocket scientist may agree on where folks are betting SodaStream International(SODA) moves in the next few weeks.

And i don't want to flatter myself or the site in saying we brought folks into the call side.

 

GOOG (GOOGLE)

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People always try the short cut. Its the lazy way. The short cut was buying LNKD SINA RENN and other stocks based on the Facebook IPO.

 

If Facebook is valued possibly at 100 billion, then how can you say Google is only worth 157 billion? Make no sense, and thats why she goes $640+ short term as folks start chasing the trade(Right now she is at $610)

We bought the $625 FEB 10th weekly calls this morning at .55.

 

Happy Trading!

Stocks Gone Wild…

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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.

 

Before:

AFTER:

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!!

Option Millionaires? Not Yet, but getting there…

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We wrote about PCLN on December 14th, 2011, as a bounce play and continued to like it going into 2012, as Cramer added it to his "Pigs gets slaughtered list"(We wrote about that here). Going against Cramer is like bagging the promo queen... We wish we could do it, and when we finally do, didn't realize it would be that easy!

PCLN has ERUPTED from its 445.73 "Cramer Bottom" and hit $526 last week, an $80+ move. Even more spectacular, is the potential profits one can make on a move like this trading the options. We recommended the  $505 JAN 21st calls asking  .85 on Tuesday Jan 17th(READ HERE). Those calls hit a high of $22. So $85 into $2200 potential for each call purchased. Can we thank you enough Cramer?

Check it out as we brought this to out chat room first and we were the first on the planet to buy those calls on Jan 17th:

This is why we trade options, and hope we can continue bringing this type of trading opportunities to our trading community!

Some of our trades this past week

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We had a phenomenal week at option millionaires, with many alerts and trades providing opportunities for huge returns.

The week started with our call of SINA at the open on Tuesday. Noticing the pre-market volume, and the action on all the China ADR's, we thought SINA provided a great risk vs reward opportunity and brought the $55 weekly calls to our chat rooms attention at .40. As SINA started to break out, we also brought the $60 Weekly calls to the chatrooms attention at .08. You can see out chart below after the alerts. The stock had moved up from $50 open to $51.57. We still felt SINA would test $55 in short order, and felt if it broke $55, $60 had a shot before the week was out.

 

Sure enough, SINA broke $60 by Thursday on a JPM upgrade, and the $55 calls hit a high of $6.50 and the $60 calls hit a high of 2.12. So both alerts returned over 1600% from the alerts. If you bought $80 of the $60 calls, you could have sold for $2k 3 days later.

 

DECK was another play we have been screaming about, and liked the $90 Jan 21st calls, which we brought to our chat at .60. They hit over $2.00 on Wednesday, as the stock finally hit the $90 target we thought it would hit in short term. Check out the call.

Check out the chart we posted:

Only a few days later DECK hit out short term target to the penny at $90, and has since retreated.

We wrote about PRX, a generic pharma company, on JAN 6th, when the stock was trading at $33.90. We brought the $35 calls currently asking .35, to the attention of our chat room based on some news of possible upside revisions to its performance. Those calls have now hit $1.50 for almost a 500% gain, and should be an even bigger gainer before expiry on friday.

There were many other calls in the chat room. Make sure you check us out this week, as there is only TWO MORE WEEKS until out free trial ends.