MORNING UPDATE: PriceWatch Alerts for UA and More... for 2016-01-13 |
| PriceWatch Alerts for UA, BABA, SINA, MU, CAT ,SBUX, GWPH, CTSH, NXPI, GE, GPRO, VRX, AMAT, SWKS, and GLW. Under Armour (NYSE: UA) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $70.87 while selling the February $70.00 call will produce a new covered call with a break-even point around $65.67. At that price, this position has a target return of 6.6 %. This trade will have roughly 7.3 % downside protection, while still aiming for a 6.6 % return in 37 days. It will lock in that return as long as Under Armour is above $70.00 on 2/19/2016. For comparison purposes only, this UA covered call aims for an annualized return rate of 65.0 %. Alibaba (NYSE: BABA) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $71.82 while simultaneously selling the February $72.50 call will result in a new position with a target return of 7.3 %. Based on recent prices, this position will cost about $67.57, which is also the trade?s breakeven point. At that level, this covered call has 5.9 % downside protection, while still providing a 7.3 % return in 37 days as long as BABA is above $72.50 on 2/19/2016. For comparison purposes only, this Alibaba covered call aims for an annualized return rate of 71.9 %. SINA com (NASDAQ: SINA) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the February $45.00 call while at the same time buying SINA stock for $46.39 will produce a new covered call with a target return of 4.8 %. Based on recent data, this trade will cost about $42.94, which is also the covered call?s breakeven point. At that price, this covered call has 7.4 % downside protection, while seeking an assigned return of 4.8 % return in 37 days. If SINA is higher than $45.00 on 2/19/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 47.3 %. Micron Technology (NASDAQ: MU) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the April $12.00 call while at the same time buying MU stock for $12.72 will produce a new covered call with a target return of 8.3 %. Based on recent data, this trade will cost about $11.08, which is also the covered call?s breakeven point. At that price, this covered call has 12.9 % downside protection, while seeking an assigned return of 8.3 % return in 93 days. If MU is higher than $12.00 on 4/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 32.6 %. Caterpillar (NYSE: CAT) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the March $60.00 call while simultaneously buying CAT stock for $60.97 will result in a new position with a break-even point around $57.12. At that price, this position has a target return of 5.0 %. This trade has 6.3 % downside protection, while still providing a 5.0 % return in 65 days as long as CAT is above $60.00 on 3/18/2016. For comparison purposes only, this Caterpillar covered call targets an annualized return rate of 28.3 %. Starbucks (NASDAQ: SBUX) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $59.01 while selling the April $57.50 call will produce a new covered call with a break-even point around $54.91. At that price, this position has a target return of 4.7 %. This trade will have roughly 6.9 % downside protection, while still aiming for a 4.7 % return in 93 days. It will lock in that return as long as Starbucks is above $57.50 on 4/15/2016. For comparison purposes only, this SBUX covered call aims for an annualized return rate of 18.5 %. GW Pharmaceuticals (NASDAQ: GWPH) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $59.68 while simultaneously selling the February $55.00 call will result in a new position with a target return of 7.3 %. Based on recent prices, this position will cost about $51.28, which is also the trade?s breakeven point. At that level, this covered call has 14.1 % downside protection, while still providing a 7.3 % return in 37 days as long as GWPH is above $55.00 on 2/19/2016. For comparison purposes only, this GW Pharmaceuticals covered call aims for an annualized return rate of 71.5 %. Cognizant Technology (NASDAQ: CTSH) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the April $57.50 call while at the same time buying CTSH stock for $59.65 will produce a new covered call with a target return of 4.6 %. Based on recent data, this trade will cost about $54.95, which is also the covered call?s breakeven point. At that price, this covered call has 7.9 % downside protection, while seeking an assigned return of 4.6 % return in 93 days. If CTSH is higher than $57.50 on 4/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 18.2 %. NXP Semiconductors (NASDAQ: NXPI) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $77.77 while simultaneously selling the February $77.50 call will result in a new position with a target return of 5.8 %. Based on recent prices, this position will cost about $73.27, which is also the trade?s breakeven point. At that level, this covered call has 5.8 % downside protection, while still providing a 5.8 % return in 37 days as long as NXPI is above $77.50 on 2/19/2016. For comparison purposes only, this NXP Semiconductors covered call aims for an annualized return rate of 56.9 %. General Electric (NYSE: GE) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the June $28.00 call while simultaneously buying GE stock for $28.60 will result in a new position with a break-even point around $26.81. At that price, this position has a target return of 4.4 %. This trade has 6.3 % downside protection, while still providing a 4.4 % return in 156 days as long as GE is above $28.00 on 6/17/2016. For comparison purposes only, this General Electric covered call targets an annualized return rate of 10.4 %. GoPro (NASDAQ: GPRO) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $14.60 while selling the February $14.00 call will produce a new covered call with a break-even point around $12.60. At that price, this position has a target return of 11.1 %. This trade will have roughly 13.7 % downside protection, while still aiming for a 11.1 % return in 37 days. It will lock in that return as long as GoPro is above $14.00 on 2/19/2016. For comparison purposes only, this GPRO covered call aims for an annualized return rate of 109.6 %. Valeant Pharmac. (NYSE: VRX) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $86.93 while simultaneously selling the February $85.00 call will result in a new position with a target return of 8.5 %. Based on recent prices, this position will cost about $78.33, which is also the trade?s breakeven point. At that level, this covered call has 9.9 % downside protection, while still providing a 8.5 % return in 37 days as long as VRX is above $85.00 on 2/19/2016. For comparison purposes only, this Valeant Pharmac. covered call aims for an annualized return rate of 84.0 %. Applied Materials (NASDAQ: AMAT) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the April $16.00 call while at the same time buying AMAT stock for $16.75 will produce a new covered call with a target return of 4.3 %. Based on recent data, this trade will cost about $15.34, which is also the covered call?s breakeven point. At that price, this covered call has 8.4 % downside protection, while seeking an assigned return of 4.3 % return in 93 days. If AMAT is higher than $16.00 on 4/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 16.9 %. Skyworks Solutions (NASDAQ: SWKS) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the February $66.50 call while at the same time buying SWKS stock for $66.63 will produce a new covered call with a target return of 8.1 %. Based on recent data, this trade will cost about $61.53, which is also the covered call?s breakeven point. At that price, this covered call has 7.7 % downside protection, while seeking an assigned return of 8.1 % return in 37 days. If SWKS is higher than $66.50 on 2/19/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 79.6 %. Corning (NYSE: GLW) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the March $17.00 call while simultaneously buying GLW stock for $17.34 will result in a new position with a break-even point around $16.30. At that price, this position has a target return of 4.3 %. This trade has 6.0 % downside protection, while still providing a 4.3 % return in 65 days as long as GLW is above $17.00 on 3/18/2016. For comparison purposes only, this Corning covered call targets an annualized return rate of 24.1 % Are you looking for a more conservative strategy that solves the pitfalls that come with covered calls investing? Check out our RadioActive Home Study Kit (http://www.poweropt.com/psDetails.asp?pid=25)! Learn how to limit your risks in any trade and keep your upside open ? 'Cut your losers short and let your winners run'. These limited risk techniques have saved investors thousands of dollars during unexpected market downturns and Black Swan events. The RadioActive Home Study Kit teaches the proper limited risk trade setup and the 10 different Income Methods that are used to lower the initial risk, potentially bulletproof your stock positions and earn extra income. The RadioActive Home Study Kit comes with a money back guarantee and a free month of access to the patented PowerOptions Suite of Tools! Can you back test these strategies? Yes, you can! PowerOptions offers a full back testing screener, SmartHistoryXL, to its subscribers. 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 Five Below (FIVE), PrivateBancorp (PVTB) and Escalade (ESCA) were upgraded by analysts this morning while Plains GP Holdings (PAGP) and Conn's (CONN) were downgraded. CyberArk Software, Ltd.(CYBR), Acorn International, Inc. (ATV), and Synchrony Financial (SYF) are early risers, while Anavex Life Sciences Corp(AVXL), Ford Motor Co. (F) and Qorvo, Inc.(QRVO) are down. INTERNATIONAL MARKETS In Asia, stocks finished mixed Wednesday with Chinese stocks sliding at the end of the day. The Shanghai Composite was down 2.42%, and the Nikkei was up 2.89%. European stocks are climbing today after data showed Chinese exports rising last month. The FTSE is up 1.07%, while the DAX is up 1.03%. FUTURES & CURRENCIES Energy futures are higher today. The price for West Texas Intermediate crude oil is up $0.71 to $31.15 per barrel, while natural gas is up $0.04 to $2.29. Metals prices are mixed today. Gold is down $2.80 to $1,182.40 per ounce and platinum is up $7.70 to $846.30 an ounce. The Dollar is up versus the Euro and the Yen. PUT/CALL RATIO Yesterday, 726,015 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 625,189 put contracts. The single-session put/call was 0.86 while the 20-day moving average is now at 0.72. TODAY'S ECONOMIC CALENDAR MBA Mortgage Index 01/09 07:00 Crude Inventories 01/09 10:30 Fed's Beige Book Jan 14:00 Treasury Budget Dec 14:00 EARNINGS EXPECTED TODAY: SKY SVU |
