Tag Archives: CME


CME broke out yesterday after reporting earnings that missed revenue and eps estimates(excluding items). Technically speaking, they did beat the EPS estimate from a one time tax gain(thanks chicago) with an $11.25 EPS. The MF global cost CME 30 million, so not bad considering the scale of that mess. The stock was sitting near multi-year lows a few weeks back when we put it on watch here(read). It has now broken out and looks ready to retest $280.


Goldman Sacks kept their neutral rating on the stock, and raised their price target to $270 from $250 this morning. Goldman has been wrong about this stock for the past few years, one time adding it to it's conviction buy list. With more exchanges reportiing earnings next week, like ICE (Intercontinental exchange), CME could keep moving to the upside.

CME has been an option traders wet dream, as the $270/$280 FEB 18th strikes have returned over 1000% in the past 24 hours of trading. Lets see if it keeps its momentum, and keep your eyes on ICE for possible breakout next week.




CME (CME Group) – Going to Get Some Legs?

One of the best way's to make money trading options, is buying when a stock is cold...when noone is paying attention. Stocks with high beta(volatility), have higher option premiums. Stocks under the radar with low beta, have cheaper options.

CME is one of those stocks. We wrote about her January 12th, in which the options we mentioned, were a 500% gain a week later.

CME reports earnings February 2nd before the bell, and we think CME will get some legs leading up to the report, as well as after.

CME is a market leading clearing house, and the stock used to trade over $700. Lower exchange volumes and the 2008 downturn, has had a big impact on the stock price. Couple that with the MF global fiasco, and you have an oversold stock. It finally looks like CME is ready to turn back to the upside and head over $300.

Right now we are positioning ourselves with the $270 and $280 FEB 18th Calls currently at .65 and .30 respectively.


The Chase is ON!

The chase is on.... for  performance that is. Now that the SPY has closed above $130, folks are rushing into stocks as the potential to miss the rally, outweighs the possible downside risks.

Now is the time to turn to those old stocks, still fundamentally sound, but beaten down.

Stocks to watch the next few days: PCLN CME ICE CRM.

We are also watching BLK for a bounce on Earnings this morning.




CME (CME Group) stock has been ripped to shreds the past few weeks, on the MF global disaster. Rumors out there that CME will be on the hook for some of the losses.

I dont think that will be the case. Either way, CME looks ready to bounce from the $220 level. $240 should come in short order on the $230 break.

Huge volume this morning. Playing the JAN 21st $240 calls currently asking .75.