MORNING UPDATE: PriceWatch Alerts for PG and More... for 2014-03-07 |
| ------------------------------------------------------------------ MORNING UPDATE: PriceWatch Alerts for PG, NUAN, UNH and More... March 7, 9:00 AM ET - PriceWatch Alerts for PG, CERN, RL, CHRW, NUAN, UNH, SYY, NKE, ED, MYGN, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. PriceWatch Alerts for PG, CERN, RL, CHRW, NUAN, UNH, SYY, NKE, ED, MYGN. Procter and Gamble (NYSE: PG) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $78.06 while selling the July $80.00 call will produce a new covered call with a break-even point around $76.45. At that price, this position has a target return of 4.6%. This trade will have roughly 2.1% downside protection, while still aiming for a 4.6% return in 134 days. It will lock in that return as long as Procter and Gamble is above $80.00 on 7/19/2014. For comparison purposes only, this PG covered call aims for an annualized return rate of 12.6%. Cerner (NASDAQ: CERN) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $60.67 while simultaneously selling the June $60.00 call will result in a new position with a target return of 5.9%. Based on recent prices, this position will cost about $56.67, which is also the trade?s breakeven point. At that level, this covered call has 6.6% downside protection, while still providing a 5.9% return in 106 days as long as CERN is above $60.00 on 6/21/2014. For comparison purposes only, this Cerner covered call aims for an annualized return rate of 20.2%. Polo Ralph Lauren (NYSE: RL) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $162.16 while selling the July $160.00 call will produce a new covered call with a break- even point around $151.76. At that price, this position has a target return of 5.4%. This trade will have roughly 6.4% downside protection, while still aiming for a 5.4% return in 134 days. It will lock in that return as long as Polo Ralph Lauren is above $160.00 on 7/19/2014. For comparison purposes only, this RL covered call aims for an annualized return rate of 14.8%. CH Robinson Worldwide (NASDAQ: CHRW) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $52.45 while selling the August $52.50 call will produce a new covered call with a break- even point around $49.45. At that price, this position has a target return of 6.2%. This trade will have roughly 5.7% downside protection, while still aiming for a 6.2% return in 162 days. It will lock in that return as long as CH Robinson Worldwide is above $52.50 on 8/16/2014. For comparison purposes only, this CHRW covered call aims for an annualized return rate of 13.9%. Nuance Communications (NASDAQ: NUAN) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the July $15.00 call while simultaneously buying NUAN stock for $15.48 will result in a new position with a break-even point around $13.88. At that price, this position has a target return of 8.1%. This trade has 10.3% downside protection, while still providing a 8.1% return in 134 days as long as NUAN is above $15.00 on 7/19/2014. For comparison purposes only, this Nuance Communications covered call targets an annualized return rate of 22.0%. UnitedHealth Group (NYSE: UNH) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $77.64 while selling the June $77.50 call will produce a new covered call with a break-even point around $74.24. At that price, this position has a target return of 4.4%. This trade will have roughly 4.4% downside protection, while still aiming for a 4.4% return in 106 days. It will lock in that return as long as UnitedHealth Group is above $77.50 on 6/21/2014. For comparison purposes only, this UNH covered call aims for an annualized return rate of 15.1%. Sysco (NYSE: SYY) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $36.29 while simultaneously selling the August $37.00 call will result in a new position with a target return of 4.8%. Based on recent prices, this position will cost about $35.29, which is also the trade?s breakeven point. At that level, this covered call has 2.8% downside protection, while still providing a 4.8% return in 162 days as long as SYY is above $37.00 on 8/16/2014. For comparison purposes only, this Sysco covered call aims for an annualized return rate of 10.9%. Nike (NYSE: NKE) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the July $77.50 call while at the same time buying NKE stock for $78.22 will produce a new covered call with a target return of 5.0%. Based on recent data, this trade will cost about $73.82, 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 5.0% return in 134 days. If NKE is higher than $77.50 on 7/19/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 13.6%. Consolidated Edison (NYSE: ED) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $55.29 while selling the January $57.50 call will produce a new covered call with a break- even point around $53.79. At that price, this position has a target return of 6.9%. This trade will have roughly 2.7% downside protection, while still aiming for a 6.9% return in 316 days. It will lock in that return as long as Consolidated Edison is above $57.50 on 1/17/2015. For comparison purposes only, this ED covered call aims for an annualized return rate of 8.0%. Myriad Genetics (NASDAQ: MYGN) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the April $37.00 call while simultaneously buying MYGN stock for $37.40 will result in a new position with a break-even point around $34.40. At that price, this position has a target return of 7.6%. This trade has 8.0% downside protection, while still providing a 7.6% return in 43 days as long as MYGN is above $37.00 on 4/19/2014. For comparison purposes only, this Myriad Genetics covered call targets an annualized return rate of 64.1%. *Annualized returns are shown for comparison purposes only 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. 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MARKET OVERVIEW Asian stock markets advanced overnight for the most part. The Nikkei 225 rose by 0.9% as the Yen fell to its weakest value against the U.S. Dollar in more than a month. The Indian Sensex added 1.9% and the Australian All-Ordinaries rose 0.3%. China's SEC Index, Hong Kong's Hang Seng and The Taiwan TSEC were all either unchanged or just slightly in the red. In Europe, most indices are moving lower in early action. The only significant economic data coming from the continent is German industrial output, which rose slightly more than expected in January, assisted by mild winter weather. The German DAX is down 0.6% this morning while the Euronext 100 and the French CAC 40 are both down 0.3%. Oil futures rebounded during Thursday's session, reversing early losses with West Texas Intermediate rising to $101.50. This morning, the front-month WTI contract is up another 0.3% to $101.85. Natural gas is down by 1.0% while heating oil and gasoline are pretty much unchanged. Gold and other precious metals are down slightly, while copper is off by 2.6% at $3.13. The U.S. Dollar is weaker against almost all world currencies including both the Yen and the Euro. The Bitcoin global average has dropped about 3% from yesterday morning to $641. PUT/CALL RATIO Yesterday, 1,337,040 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 703,345 put contracts. The single-session put/call was 0.53, while the 20-day moving average is now at 0.58. SUPPORT & RESISTANCE LEVELS The S&P 500 Depository Receipts (SPY) ETF has support at $182.50 and is above resistance. The Nasdaq 100 (QQQ) has support at $87.50 and is above resistance. TODAY'S ECONOMIC CALENDAR 08:30 AM Feb Nonfarm Payrolls 08:30 AM Feb Nonfarm Private Payrolls 08:30 AM Feb Unemployment Rate 08:30 AM Feb Hourly Earnings 08:30 AM Feb Average Workweek 08:30 AM Jan Trade Balance 03:00 PM Jan Consumer Credit EARNINGS EXPECTED TODAY BIG BRK-A FL YPF This Morning Update was prepared with data and information provided by: PowerOptionsPlus.com - The Best Way To Find, Compare, Analyze, and Make Money On Option Investments - Forbes Best of the Web Winner. InvestorsObserver -- Better Strategies for Making Money in Up, Down, and Flat Markets -> Get Started with InvestosObserver's 100% Free Essentials Service: http://www.poweropt.com/io All stocks and options shown are examples only. These are not recommendations to buy or sell any security and they do not represent in any way a positive or negative outlook for any security. Potential returns do not take into account your trade size, brokerage commissions, taxes or our subscription fees which will affect actual investment returns. Stocks and options involve risk and are not suitable for all investors and investing in |
