MORNING UPDATE: PriceWatch Alerts for COP and More... for 2016-01-28 |
| PriceWatch Alerts for COP, PFE, BIIB, COH, LVS ,CHK, NRG, TWTR, JNJ and JBLU. ConocoPhillips (NYSE: COP) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $36.21 while selling the February $36.00 call will produce a new covered call with a break-even point around $34.02. At that price, this position has a target return of 5.8 %. This trade will have roughly 6.0 % downside protection, while still aiming for a 5.8 % return in 22 days. It will lock in that return as long as ConocoPhillips is above $36.00 on 2/19/2016. For comparison purposes only, this COP covered call aims for an annualized return rate of 96.6 %. Pfizer (NYSE: PFE) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $30.65 while simultaneously selling the September $30.00 call will result in a new position with a target return of 4.6 %. Based on recent prices, this position will cost about $28.67, which is also the trade?s breakeven point. At that level, this covered call has 6.5 % downside protection, while still providing a 4.6 % return in 232 days as long as PFE is above $30.00 on 9/16/2016. For comparison purposes only, this Pfizer covered call aims for an annualized return rate of 7.3 %. Biogen Idec (NASDAQ: BIIB) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the March $270.00 call while at the same time buying BIIB stock for $273.26 will produce a new covered call with a target return of 4.6 %. Based on recent data, this trade will cost about $258.06, which is also the covered call?s breakeven point. At that price, this covered call has 5.6 % downside protection, while seeking an assigned return of 4.6 % return in 50 days. If BIIB is higher than $270.00 on 3/18/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 33.7 %. Coach (NYSE: COH) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the May $34.00 call while at the same time buying COH stock for $34.19 will produce a new covered call with a target return of 7.3 %. Based on recent data, this trade will cost about $31.69, which is also the covered call?s breakeven point. At that price, this covered call has 7.3 % downside protection, while seeking an assigned return of 7.3 % return in 108 days. If COH is higher than $34.00 on 5/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 24.6 %. Las Vegas Sands (NYSE: LVS) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the February $41.00 call while simultaneously buying LVS stock for $41.20 will result in a new position with a break-even point around $38.95. At that price, this position has a target return of 5.3 %. This trade has 5.5 % downside protection, while still providing a 5.3 % return in 22 days as long as LVS is above $41.00 on 2/19/2016. For comparison purposes only, this Las Vegas Sands covered call targets an annualized return rate of 87.3 %. Chesapeake Energy (NYSE: CHK) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $3.28 while selling the July $3.00 call will produce a new covered call with a break-even point around $2.38. At that price, this position has a target return of 26.1 %. This trade will have roughly 27.4 % downside protection, while still aiming for a 26.1 % return in 169 days. It will lock in that return as long as Chesapeake Energy is above $3.00 on 7/15/2016. For comparison purposes only, this CHK covered call aims for an annualized return rate of 56.3 %. NRG Energy (NYSE: NRG) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $9.89 while simultaneously selling the September $9.00 call will result in a new position with a target return of 14.1 %. Based on recent prices, this position will cost about $7.89, which is also the trade?s breakeven point. At that level, this covered call has 20.2 % downside protection, while still providing a 14.1 % return in 232 days as long as NRG is above $9.00 on 9/16/2016. For comparison purposes only, this NRG Energy covered call aims for an annualized return rate of 22.1 %. Twitter (NYSE: TWTR) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the February $16.50 call while at the same time buying TWTR stock for $16.85 will produce a new covered call with a target return of 8.8 %. Based on recent data, this trade will cost about $15.17, which is also the covered call?s breakeven point. At that price, this covered call has 10.0 % downside protection, while seeking an assigned return of 8.8 % return in 22 days. If TWTR is higher than $16.50 on 2/19/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 145.3 %. Johnson and Johnson (NYSE: JNJ) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the July $105.00 call while at the same time buying JNJ stock for $102.20 will produce a new covered call with a target return of 5.7 %. Based on recent data, this trade will cost about $99.35, which is also the covered call?s breakeven point. At that price, this covered call has 2.8 % downside protection, while seeking an assigned return of 5.7 % return in 169 days. If JNJ is higher than $105.00 on 7/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 12.3 %. JetBlue Airways (NASDAQ: JBLU) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the February $21.00 call while simultaneously buying JBLU stock for $21.18 will result in a new position with a break-even point around $20.08. At that price, this position has a target return of 4.6 %. This trade has 5.2 % downside protection, while still providing a 4.6 % return in 22 days as long as JBLU is above $21.00 on 2/19/2016. For comparison purposes only, this JetBlue Airways covered call targets an annualized return rate of 76.0 %. 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Back test over 20 different options strategies using your personal search criteria. Check out PowerOptions SmartHistoryXL (http://www.poweropt.com/optionsbacktesting-instructions.asp) and start back testing today! NOTE: All stocks and options shown are examples only. These are not recommendations to buy or sell any security. STOCKS ON THE MOVE Kinder Morgan (KMI), Hologic (HOLGX) and EMC (EMC) were upgraded by analysts this morning while Western Gas Partners (WES), Sunoco Logistics (SXL) and DCP Midstream (DPM) were downgraded. Facebook, Inc. (FB), Under Armour, Inc. (UA), and Caterpillar Inc. (CAT) are early risers, while eBay Inc. (EBAY), Oasis Petroleum Inc. (OAS) and 3D Systems Corporation (DDD) are down. INTERNATIONAL MARKETS Asian markets finished mixed Thursday with Chinese stocks finishing at their lowest point since 2014. The Shanghai Composite ended down 2.92%, and the Nikkei was up 0.73%. European stocks are moving lower today after the U.S. Federal Reserve expressed concern over the global economy. The FTSE is down 0.78%, while the DAX is down 1.56%. FUTURES & CURRENCIES Energy futures are mixed today. The price for West Texas Intermediate crude oil is up $0.38 to $32.68 per barrel, while natural gas is down $0.05 t o $2.10. Metals prices are up. Gold is up $3.10 to $1,118.90 per ounce and platinum is up $0.30 to $882.40 an ounce. The Dollar is down versus the Euro and up against the Yen. PUT/CALL RATIO Yesterday, 865712 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 613916 put contracts. The single-session put/call was 0.7091457667 while the 20-day moving average is now at 0.75. TODAY'S ECONOMIC CALENDAR Initial Claims 01/23 08:30 Continuing Claims 01/23 08:30 Durable Orders Dec 08:30 Durable Goods ?ex transportation Dec 08:30 Pending Home Sales Dec 10:00 Natural Gas Inventories 01/23 10:30 EARNINGS EXPECTED TODAY: FLWS ABT ARAY ARG BABA ALGN MO AMZN AEP ACAT AN BHI BLL BMS BX BMY BRCM BC CAT CELG CY EMN EA LLY FICO FII F GNTX HOG HAR HP HSY HGG JBLU JCI KLAC LLL LEA MTW MKC MJN MSFT NDAQ NOC NUE OSK PHM DGX RDN RTN SWI SWK TROW TMO TWC UA VLO XEL |
