MORNING UPDATE: PriceWatch Alerts for CHK and More... for 2015-09-25 |
| PriceWatch Alerts for CHK, EXAS, NXPI, ULTA, ARWR ,FEYE, MRTX, AXON, SHAK and NBR . Chesapeake Energy (NYSE: CHK) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $7.76 while selling the November $7.00 call will produce a new covered call with a break-even point around $6.45. At that price, this position has a target return of 8.5 %. This trade will have roughly 16.9 % downside protection, while still aiming for a 8.5 % return in 56 days. It will lock in that return as long as Chesapeake Energy is above $7.00 on 11/20/2015. For comparison purposes only, this CHK covered call aims for an annualized return rate of 55.5 %. Exact Sciences (NASDAQ: EXAS) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $19.01 while simultaneously selling the November $19.00 call will result in a new position with a target return of 11.0 %. Based on recent prices, this position will cost about $17.11, which is also the trade?s breakeven point. At that level, this covered call has 10.0 % downside protection, while still providing a 11.0 % return in 56 days as long as EXAS is above $19.00 on 11/20/2015. For comparison purposes only, this Exact Sciences covered call aims for an annualized return rate of 72.0 %. NXP Semiconductors (NASDAQ: NXPI) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the November $85.00 call while at the same time buying NXPI stock for $85.68 will produce a new covered call with a target return of 7.8 %. Based on recent data, this trade will cost about $78.88, 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 7.8 % return in 56 days. If NXPI is higher than $85.00 on 11/20/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 50.5 %. Ulta Salon Cosmetics (NASDAQ: ULTA) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the December $165.00 call while at the same time buying ULTA stock for $168.01 will produce a new covered call with a target return of 5.5 %. Based on recent data, this trade will cost about $156.41, which is also the covered call?s breakeven point. At that price, this covered call has 6.9 % downside protection, while seeking an assigned return of 5.5 % return in 84 days. If ULTA is higher than $165.00 on 12/18/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 23.9 %. Arrowhead (NASDAQ: ARWR) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the December $7.00 call while simultaneously buying ARWR stock for $7.12 will result in a new position with a break-even point around $6.07. At that price, this position has a target return of 15.3 %. This trade has 14.7 % downside protection, while still providing a 15.3 % return in 84 days as long as ARWR is above $7.00 on 12/18/2015. For comparison purposes only, this Arrowhead covered call targets an annualized return rate of 66.6 %. FireEye (NASDAQ: FEYE) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $33.60 while selling the November $33.00 call will produce a new covered call with a break-even point around $30.35. At that price, this position has a target return of 8.7 %. This trade will have roughly 9.7 % downside protection, while still aiming for a 8.7 % return in 56 days. It will lock in that return as long as FireEye is above $33.00 on 11/20/2015. For comparison purposes only, this FEYE covered call aims for an annualized return rate of 56.9 %. Mirati Therapeutics (NASDAQ: MRTX) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $35.15 while simultaneously selling the November $35.00 call will result in a new position with a target return of 8.2 %. Based on recent prices, this position will cost about $32.35, which is also the trade?s breakeven point. At that level, this covered call has 8.0 % downside protection, while still providing a 8.2 % return in 56 days as long as MRTX is above $35.00 on 11/20/2015. For comparison purposes only, this Mirati Therapeutics covered call aims for an annualized return rate of 53.4 %. Axovant (NYSE: AXON) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the November $15.00 call while at the same time buying AXON stock for $15.33 will produce a new covered call with a target return of 13.0 %. Based on recent data, this trade will cost about $13.28, which is also the covered call?s breakeven point. At that price, this covered call has 13.4 % downside protection, while seeking an assigned return of 13.0 % return in 56 days. If AXON is higher than $15.00 on 11/20/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 84.4 %. Shake Shack (NYSE: SHAK) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the November $50.00 call while at the same time buying SHAK stock for $50.94 will produce a new covered call with a target return of 7.0 %. Based on recent data, this trade will cost about $46.74, which is also the covered call?s breakeven point. At that price, this covered call has 8.2 % downside protection, while seeking an assigned return of 7.0 % return in 56 days. If SHAK is higher than $50.00 on 11/20/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 45.4 %. Nabors Industries (NYSE: NBR) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the November $9.00 call while simultaneously buying NBR stock for $9.75 will result in a new position with a break-even point around $8.34. At that price, this position has a target return of 7.9 %. This trade has 14.5 % downside protection, while still providing a 7.9 % return in 56 days as long as NBR is above $9.00 on 11/20/2015. For comparison purposes only, this Nabors Industries covered call targets an annualized return rate of 51.6 %. 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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 Box (BOX), Autoliv (LIV) and Bed Bath and Beyond (BBBY) were upgraded by analysts this morning, while Emerge Energy Services (EMES), Virgin America (VA) and Atlas Air Worldwide (AAWW). Alnylam Pharmaceuticals, Inc. (ALNY), NIKE, Inc. (NKE) and Exelixis, Inc. (EXEL) are early risers, while Office Depot, Inc.(ODP), BlackBerry Limited (BBRY) and Finish Line Inc. (FINL) are down. INTERNATIONAL MARKETS Asian stocks finished mixed Friday as Japanese markets rose in response to Prime Minister Shinzo Abe?s promise to strengthen the economy. The Shanghai Composite was down 1.60%, while the Nikkei was up 1.76%. European markets are on the rise today after investors found encouragement in comments by U.S. Federal Reserve Chairwoman Janet Yellen. The FTSE is up 2.60% while the DAX is up 3.09%. FUTURES & CURRENCIES Energy futures are mixed today. The price for West Texas Intermediate crude oil is up $0.45 to $45.36 per barrel, while natural gas is down $0.02 to $2.64. Metals prices are lower this morning. Gold is down $10.60 to $1,143.20 per ounce and platinum is down $6.60 at $949.20 an ounce. The Dollar is up versus the Euro and the Yen. PUT/CALL RATIO Yesterday, 647,767 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 559,508 put contracts. The single-session put/call was 0.86 while the 20-day moving average is now at 0.76. TODAY'S ECONOMIC CALENDAR GDP Third Estimate Q2 8:30 Michigan Sentiment - Final 9/12 8:30 EARNINGS EXPECTED TODAY: FINL OSN RLGT |
