MorningUpdate - Options Trading Email
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New PriceWatch Alerts for T, MRK, FSLR, MOT, and More...
January 14, 8:30 AM EST - Before the open... PriceWatch Alerts for
T, MRK, FSLR, MOT, UAUA, RCL, CIT, HAL, ERTS, NTAP, CBS, SLB, PALM,
TWC, and QLGC, Market Overview, News Leaders and Laggards, Today's
Economic Calendar, and Index Support & Resistance Levels.
New PriceWatch Alerts for T, MRK, FSLR, MOT, UAUA, RCL, CIT, HAL,
ERTS, NTAP, CBS, SLB, PALM, TWC, and QLGC
PRICEWATCH ALERTS - HIGH RETURN COVERED CALL OPTIONS--------------
-- AT&T, Inc. (NYSE: T)
Last Price 26.64 - JUL 27.00 CALL OPTION@ $1.23 -> 6.3% Return
(12.4% Annualized) assigned*
-- Schlumberger Limited (NYSE: SLB)
Last Price 70.85 - MAY 70.00 CALL OPTION@ $5.65 -> 7.4% Return
(21.0% Annualized) assigned*
-- Palm, Inc. (Nasdaq: PALM)
Last Price 12.36 - MAY 11.00 CALL OPTION@ $2.70 -> 13.9% Return
(39.6% Annualized) assigned*
-- Time Warner Cable Inc. (NYSE: TWC)
Last Price 44.44 - JUL 45.00 CALL OPTION@ $3.30 -> 9.4% Return
(18.6% Annualized) assigned*
-- QLogic Corp. (Nasdaq: QLGC)
Last Price 20.15 - APR 20.00 CALL OPTION@ $1.40 -> 6.7% Return
(26.2% Annualized) assigned*
-- Merck & Co. Inc. (NYSE: MRK)
Last Price 38.93 - JUL 38.00 CALL OPTION@ $2.95 -> 5.6% Return
(11.1% Annualized) assigned*
-- Halliburton Company (NYSE: HAL)
Last Price 34.05 - APR 34.00 CALL OPTION@ $2.27 -> 7.0% Return
(27.4% Annualized) assigned*
-- Electronic Arts Inc. (Nasdaq: ERTS)
Last Price 17.17 - MAR 17.00 CALL OPTION@ $1.17 -> 6.2% Return
(35.1% Annualized) assigned*
-- NetApp, Inc. (Nasdaq: NTAP)
Last Price 33.73 - MAR 33.00 CALL OPTION@ $2.40 -> 5.3% Return
(29.9% Annualized) assigned*
-- CBS Corporation (NYSE: CBS)
Last Price 13.99 - MAR 14.00 CALL OPTION@ $1.00 -> 7.8% Return
(43.7% Annualized) assigned*
-- First Solar, Inc. (Nasdaq: FSLR)
Last Price 132.12 - FEB 130.00 CALL OPTION@ $8.95 -> 5.5% Return
(54.7% Annualized) assigned*
-- Motorola Inc. (NYSE: MOT)
Last Price 7.60 - JUL 7.00 CALL OPTION@ $1.26 -> 10.4% Return
(20.7% Annualized) assigned*
-- UAL Corporation (Nasdaq: UAUA)
Last Price 13.95 - MAR 12.50 CALL OPTION@ $2.55 -> 9.6% Return
(54.2% Annualized) assigned*
-- Royal Caribbean Cruises Ltd. (NYSE: RCL)
Last Price 26.54 - MAR 26.00 CALL OPTION@ $2.10 -> 6.4% Return
(35.8% Annualized) assigned*
-- CIT Group, Inc. (NYSE: CIT)
Last Price 32.76 - APR 32.00 CALL OPTION@ $3.55 -> 9.6% Return
(37.5% Annualized) assigned*
*Annualized returns are shown for comparison purposes only
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SELECT 10 STRATEGIES FOR TODAY -----------------------------------
Every trading day our Special Daily Select 10 Hedged Strategies
service points out 10 covered call trades and 10 hedged trades
normally requiring much less capital. The goal is for each trade to
generate at least a 5% return over 60 to 180 days. Using our
sophisticated computer models we hunt down the trades with the
highest return and the lowest risk. This is a great way see the
types of trades that can rely on solid stocks to produce double-
digit annual returns while reducing overall risk of holding the
stock and conserving your investment funds.
Today our Select 10 picks include strategies, tactics and trade
ideas for IBM (IBM), Capital One (COF), and Corning (GLW) with up
to 83% targeted annualized return and 17.2% downside protection.
See the Select 10 Hedged Strategies list for all the details.
NEWS LEADERS AND LAGGARDS-----------------------------------------
So far this morning, Williams-Sonoma (WSM), Rio Tinto (RTP), and
Sealy Corp. (ZZ) lead the list of companies with positive news,
while FPL Group (FPL) and Toll Brothers (TOL) lead the list of
companies with negative news. Tyson Foods (TSN), Lennar (LEN) and
Chipotle Mexican Grill (CMG) were upgraded this morning, while
Alcon (ACL), Cree (CREE), and Becton Dickinson (BDX) received
downgrades.
MARKET OVERVIEW---------------------------------------------------
Overseas trading is in fine form this morning, as eight of the 10
foreign indexes that we track are in positive territory. The
cumulative average return on the collective stands at a gain of
0.63%. In Asia, the various markets finished mainly higher, buoyed
by a rally on Wall Street as concerns over further monetary
tightening in China eased. Stronger-than-expected jobs data also
lifted shares in Sydney. Turning to Europe, shares rallied for the
second session in a row Thursday, as investors bought into mining
companies after Rio Tinto reported strong production figures.
Energy stocks were a drag on the broader equities market yesterday,
thanks to a big jump in domestic supplies of crude and refined oil
products. The Energy Information Administration reported that crude
stockpiles swelled by 3.7 million barrels last week, while gasoline
inventories climbed by 3.8 million barrels. Both figures exceeded
analysts' expectations by more than 2 million barrels, suggesting
that demand is still weak among consumers. Crude oil for February
delivery finished the day on a drop of $1.13, or 1.39%, at $80.04
per barrel.
PUT/CALL RATIO ---------------------------------------------------
Equity option activity on the Chicago Board Options Exchange (CBOE)
saw 1,747,717 call contracts traded on Wednesday, compared to
997,962 put contracts. The resultant single-session put/call ratio
arrived at 0.57, while the 21-day moving average slipped lower to
0.58.
SUPPORT & RESISTANCE LEVELS --------------------------------------
The S&P Depository Receipts (SPY) show support in the neighborhood
of $113.20 and resistance around $115.15. For the Nasdaq 100
(QQQQ), support is near $45.50 and resistance is around $46.65.
TODAY'S ECONOMIC CALENDAR ----------------------------------------
8:30 a.m. 1/9 Initial Claims
8:30 a.m. 1/2 Continuing Claims
8:30 a.m. Dec Retail Sales
8:30 a.m. Dec Import & Export Prices
10:00 a.m. Nov Business Inventories
EARNINGS EXPECTED TODAY (w/current estimates) --------------------
BGG 0.06
CRAI 0.31
INTC 0.30
SEED -0.07
SHFL 0.09
SJR 0.38
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