MorningUpdate - Options Trading Email
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New PriceWatch Alerts for HD, AMD, CSCO, DE, and More...
January 19, 8:30 AM EST - Before the open... PriceWatch Alerts for
HD, AMD, CSCO, DE, MU, TXT, URBN, AKS, ALTR, and CSIQ, Market
Overview, News Leaders and Laggards, Today's Economic Calendar, and
Index Support & Resistance Levels.
New PriceWatch Alerts for HD, AMD, CSCO, DE, MU, TXT, URBN, AKS,
ALTR, and CSIQ
PRICEWATCH ALERTS - HIGH RETURN COVERED CALL OPTIONS--------------
-- The Home Depot, Inc. (NYSE: HD)
Last Price 28.57 - MAY 28.00 CALL OPTION@ $1.80 -> 4.6% Return
(13.6% Annualized) assigned*
-- Advanced Micro Devices Inc. (NYSE: AMD)
Last Price 8.84 - JUL 9.00 CALL OPTION@ $1.24 -> 18.4% Return
(37.6% Annualized) assigned*
-- AK Steel Holding Corp. (NYSE: AKS)
Last Price 23.66 - FEB 23.00 CALL OPTION@ $1.80 -> 5.2% Return
(59.5% Annualized) assigned*
-- Altera Corp. (Nasdaq: ALTR)
Last Price 21.40 - JUN 21.00 CALL OPTION@ $1.80 -> 7.1% Return
(17.3% Annualized) assigned*
-- Canadian Solar Inc. (Nasdaq: CSIQ)
Last Price 25.93 - FEB 25.00 CALL OPTION@ $2.45 -> 6.5% Return
(73.8% Annualized) assigned*
-- Cisco Systems, Inc. (Nasdaq: CSCO)
Last Price 24.40 - APR 24.00 CALL OPTION@ $1.41 -> 4.4% Return
(18.2% Annualized) assigned*
-- Deere & Co. (NYSE: DE)
Last Price 56.33 - MAR 55.00 CALL OPTION@ $3.80 -> 4.7% Return
(28.6% Annualized) assigned*
-- Micron Technology Inc. (Nasdaq: MU)
Last Price 10.13 - JUL 10.00 CALL OPTION@ $1.45 ->15.2% Return
(31.0% Annualized) assigned*
-- Textron Inc. (NYSE: TXT)
Last Price 21.88 - MAR 21.00 CALL OPTION@ $2.20 -> 6.7% Return
(40.8% Annualized) assigned*
-- Urban Outfitters Inc. (Nasdaq: URBN)
Last Price 32.45 - MAR 32.00 CALL OPTION@ $2.20 -> 5.8% Return
(35.2% Annualized) assigned*
*Annualized returns are shown for comparison purposes only
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NEWS LEADERS AND LAGGARDS-----------------------------------------
So far this morning, Kraft Foods (KFT), Parker-Hannifin (PH), and
McDonald's (MCD) lead the list of companies with positive news,
while TD Ameritrade (AMTD), Terra Industries (TRA), and Fastenal
Company (FAST) lead the list of companies with negative news. Ciena
(CIEN), U.S. Steel (X) and Companhia Vale do Rio (VALE) were
upgraded this morning, while Sprint Nextel(S), Burger King (BKC),
and StatoilHydro (STO) received downgrades.
MARKET OVERVIEW---------------------------------------------------
Overseas trading is in bad shape this morning, as only two of the
10 foreign indexes that we track are in positive territory. The
cumulative average return on the collective stands at a loss of
0.48%. In Asia, most of the markets closed in the red, with
regional chip makers dropping sharply on worries about recent
declines in memory-chip prices. Turning to Europe, banks led losses
for European shares, offsetting deal-inspired gains for chocolate
maker Cadbury.
Crude oil notched another negative finish on Friday, extending its
week-long swoon. Traders continued to consider the bearish
implications of mild winter weather, as well as Wednesday's bloated
inventories report from the Energy Information Administration. To
make matters worse, the International Energy Agency today lowered
its global oil demand forecast for 2010 by 200,000 barrels per day.
The final nail in the coffin for crude was a bounce in the U.S.
dollar amid decent economic data. By the close, crude oil for March
delivery shed $1.51, or 1.89%, to finish at $78.37 per barrel. For
the week, crude gave up 5.7%.
PUT/CALL RATIO ---------------------------------------------------
Equity option activity on the Chicago Board Options Exchange (CBOE)
saw 2,276,531 call contracts traded on Friday, compared to
1,357,994 put contracts. The resultant single-session put/call
ratio arrived at 0.60, while the 21-day moving average held at
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 $46.55.
TODAY'S ECONOMIC CALENDAR ----------------------------------------
9:00 a.m. Nov Net Long-Term TIC Flows
EARNINGS EXPECTED TODAY (w/current estimates) --------------------
C -0.33
CSX 0.76
FAST 0.31
FHN -0.21
FRX 0.86
HBHC 0.44
IBM 3.47
LPL 0.36
MMR -0.26
PH 0.35
AMTD 0.26
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