MORNING UPDATE: PriceWatch Alerts for TSLA and More... for 2015-07-31 |
| PriceWatch Alerts for TSLA, KMI, MRVL, MBLY, SCTY ,AMBA, SVU, BP, WYNN, ABMD, , , , , and . Tesla (NASDAQ: TSLA) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $265.77 while selling the September $265.00 call will produce a new covered call with a break-even point around $249.02. At that price, this position has a target return of 6.4 %. This trade will have roughly 6.3 % downside protection, while still aiming for a 6.4 % return in 49 days. It will lock in that return as long as Tesla is above $265.00 on 9/18/2015. For comparison purposes only, this TSLA covered call aims for an annualized return rate of 47.7 %. Kinder Morgan (NYSE: KMI) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $35.03 while simultaneously selling the December $35.00 call will result in a new position with a target return of 4.8 %. Based on recent prices, this position will cost about $33.39, which is also the trade?s breakeven point. At that level, this covered call has 4.7 % downside protection, while still providing a 4.8 % return in 140 days as long as KMI is above $35.00 on 12/18/2015. For comparison purposes only, this Kinder Morgan covered call aims for an annualized return rate of 12.6 %. Marvell Technology (NASDAQ: MRVL) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $12.00 call while at the same time buying MRVL stock for $12.65 will produce a new covered call with a target return of 7.7 %. Based on recent data, this trade will cost about $11.14, which is also the covered call?s breakeven point. At that price, this covered call has 11.9 % downside protection, while seeking an assigned return of 7.7 % return in 168 days. If MRVL is higher than $12.00 on 1/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 16.8 %. Mobileye (NYSE: MBLY) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $60.00 call while at the same time buying MBLY stock for $60.22 will produce a new covered call with a target return of 10.5 %. Based on recent data, this trade will cost about $54.32, which is also the covered call?s breakeven point. At that price, this covered call has 9.8 % downside protection, while seeking an assigned return of 10.5 % return in 168 days. If MBLY is higher than $60.00 on 1/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 22.7 %. SolarCity (NASDAQ: SCTY) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the January $57.50 call while simultaneously buying SCTY stock for $59.50 will result in a new position with a break-even point around $52.65. At that price, this position has a target return of 9.2 %. This trade has 11.5 % downside protection, while still providing a 9.2 % return in 168 days as long as SCTY is above $57.50 on 1/15/2016. For comparison purposes only, this SolarCity covered call targets an annualized return rate of 20.0 %. Ambarella (NASDAQ: AMBA) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $115.80 while selling the January $115.00 call will produce a new covered call with a break-even point around $99.00. At that price, this position has a target return of 16.2 %. This trade will have roughly 14.5 % downside protection, while still aiming for a 16.2 % return in 168 days. It will lock in that return as long as Ambarella is above $115.00 on 1/15/2016. For comparison purposes only, this AMBA covered call aims for an annualized return rate of 35.1 %. Supervalu (NYSE: SVU) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $9.19 while simultaneously selling the January $9.00 call will result in a new position with a target return of 9.9 %. Based on recent prices, this position will cost about $8.19, which is also the trade?s breakeven point. At that level, this covered call has 10.9 % downside protection, while still providing a 9.9 % return in 168 days as long as SVU is above $9.00 on 1/15/2016. For comparison purposes only, this Supervalu covered call aims for an annualized return rate of 21.5 %. BP (NYSE: BP) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $38.00 call while at the same time buying BP stock for $37.68 will produce a new covered call with a target return of 5.1 %. Based on recent data, this trade will cost about $36.14, which is also the covered call?s breakeven point. At that price, this covered call has 4.1 % downside protection, while seeking an assigned return of 5.1 % return in 168 days. If BP is higher than $38.00 on 1/15/2016, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 11.2 %. Wynn Resorts (NASDAQ: WYNN) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the September $100.00 call while at the same time buying WYNN stock for $104.12 will produce a new covered call with a target return of 4.0 %. Based on recent data, this trade will cost about $96.17, which is also the covered call?s breakeven point. At that price, this covered call has 7.6 % downside protection, while seeking an assigned return of 4.0 % return in 49 days. If WYNN is higher than $100.00 on 9/18/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 29.6 %. Abiomed (NASDAQ: ABMD) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the September $75.00 call while simultaneously buying ABMD stock for $76.17 will result in a new position with a break-even point around $70.27. At that price, this position has a target return of 6.7 %. This trade has 7.7 % downside protection, while still providing a 6.7 % return in 49 days as long as ABMD is above $75.00 on 9/18/2015. For comparison purposes only, this Abiomed covered call targets an annualized return rate of 50.1 %. 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'. 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STOCKS ON THE MOVE Molina Healthcare (MOH), Under Armour (UA) and Nationstar Mortgage (NSM) were upgraded by analysts this morning, while Norfolk Southern (NSC) and Computer Programs & Systems (CPSI) were downgraded. Coca-Cola Enterprises Inc. (CCE), Royal Caribbean Cruises Ltd. (RCL) and Expedia Inc. (EXPE) are early risers, while Ocwen Financial Corp. (OCN), Vanguard Natural Resources, LLC (VNR) and FireEye, Inc. (FEYE) are down. INTERNATIONAL MARKETS Asian markets finished mixed Thursday as Chinese stocks continued lower despite government attempts to bolster markets. The Shanghai Composite fell 1.13%, while the Nikkei was up 0.30%. European markets are mixed this morning with data indicating that eurozone July consumer prices are up 0.2% over last year. The FTSE is down 0.10% and the DAX is up 0.15%. FUTURES & CURRENCIES Energy futures are mixed. The price for West Texas Intermediate crude oil is down $0.87 to $47.65 per barrel, while natural gas is unchanged to $2.84. Metals prices are mixed this morning. Gold is down $5.90 to $1,082.80 per ounce and platinum is down $12.60 at $977.60 an ounce. The Dollar is up versus the Euro and the Yen. PUT/CALL RATIO Yesterday, 931,308 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 468,036 put contracts. The single-session put/call was 0.50 while the 20-day moving average is now at 0.67. TODAY'S ECONOMIC CALENDAR 08:30 AM Q2 Employment Cost Index 09:45 AM Jul Chicago PMI 10:00 AM Jul Michigan Sentiment - Final EARNINGS EXPECTED TODAY: CVX DSX ENB GIL HMC IMGN NWL PSX RCL STX TYC XOM |
