Tag Archives: puts

5-14-2013 Watch List

 

Yesterday was a slightly mixed trading session as the market pulled mostly into the green. We had retail sales numbers yesterday, and import numbers today. Nothing that should move the market much. The number I am looking forward to is the CPI number released thursday at 8:30am. I am still a bear on Silver and Gold, and still hold my 22.50 puts that expire this week. Why am I holding them even when i could have locked them in for 50%+ profit 2 times over the past week? I think Silver and Gold will have another ‘down the rabbit hole’moment, where we see a serious 5-10% decline over  24-48 hours. That is what I am holding for.

The WSJ had two articles about possible inflation worries... well actually the lack thereof. Where worldwide inflation levels have dropped the most in many years. Here are the articles although you probably need a WSJ subscription:

 

http://online.wsj.com/article/SB10001424127887324031404578481263524848442.html

 

 

http://blogs.wsj.com/economics/2013/05/13/retail-data-highlight-fed-inflation-dilemma/

 

There has been many rumbling over the past week on the Feds plan to scale back QE. I think thats more of a need for news outlets to lure readers in. We shall see. Possible deflation can be devastating to the recovery and the CPI number on thursday will be a great indicator on what more measures the Fed may need to take to get things back on track.

 

There have been some monster moves in some individual equities over the years, but this move in TSLA has to take one of the top spots. The stock move up another double digits yesterday, and is up again pre-market. Believing the unthinkable on a momentum play like this can yield gigantic returns on options, so congrats to anyone who bought early and is still holding!

 

I like quite a few stocks this week, but like WYNN and NFLX to really breakout. Here is my write-up from last night(gold and above) : http://www.optionmillionaires.com/2013/two-stocks-on-the-move/

 

Here are some of the analyst changes of note today:

 

 

YHOO Yahoo price target raised to $30 from $27 at Goldman
Goldman raised Yahoo estimates to account for Alibaba, continued growth acceleration, and appreciation in Yahoo! Japan shares. The firm rates Yahoo1 Conviction Buy.

 

SODA SodaStream price target raised to $68 from $60 at Oppenheimer
After SodaStream introduced a target of $1B in sales by 2016 at its Analyst Day, Oppenheimer thinks that the company's growth strategy is just getting started, and should lead to continued meaningful improvement in financial results for the foreseeable future. The firm keeps an Outperform rating on the stock.

 

FOSL Fossil initiated with an Equal Weight at Stephens
Target $115.

 

TSLA Tesla price target raised to $103 from $47 at Morgan Stanley
Morgan Stanley believes the market is starting to realize Tesla's competency in technology, engineering, marketing, and manufacturing. The firm expects shares to continue to move higher driven by funding through regulatory credits, leasing program affordability, opportunistic capital raises given high share price, and model introductions, among other reasons. Shares are Overweight rated.

 

SSYS Stratasys price target raised to $94 from $80 at Needham
Needham raised its price target for Stratasys citing the company's solid Q1 results and reiterates a Buy rating on the stock.

 

YHOO Yahoo price target raised to $30 from $26 at Cantor
Cantor increased its price target on Yahoo, citing Alibaba's revenue growth acceleration in Q4 and improvements in Yahoo's unique visitor levels since Marissa Mayer became its CEO. The firm keeps a Buy rating on Yahoo.

 

SCTY SolarCity downgraded to Neutral from Buy at Roth Capital
Roth Capital downgraded SolarCity citing valuation. Price target raised to $30 from $20

 

V Visa price target raised to $196 from $177 at Deutsche Bank
Deutsche Bank raised its price target for Visa after meeting with the company's CEO Charlie Scharf and keeps a Buy rating on the stock

 

 

 

Here are the strikes I am looking at this morning:

 

 

Stock Ticker Call/Put Strike Expiration Closing Price Entry Price
WYNN CALL $145.00 Weekly 0.26 0.20
NFLX CALL $260.00 Weekly 0.30 0.26
DE CALL $97.50 Weekly 0.32 0.30

 

 

 

Will look to possibly add to my WYNN and NFLX position, while also adding some DE calls for earnings tomorrow AM.

 

Lets have a great day folks!

 

- JB