MORNING UPDATE: PriceWatch Alerts for MXWL and More... for 2014-03-05 |
| ------------------------------------------------------------------ MORNING UPDATE: PriceWatch Alerts for BIDU, GILD, MXWL and More... March 5, 9:00 AM ET - PriceWatch Alerts for BIDU, GILD, DE, ALXN, F, MXWL, ULTA, CTRP, YY, GPC, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. PriceWatch Alerts for BIDU, GILD, DE, ALXN, F, MXWL, ULTA, CTRP, YY, GPC. Baidu.com (NASDAQ: BIDU) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $172.42 while selling the April $170.00 call will produce a new covered call with a break-even point around $162.32. At that price, this position has a target return of 4.7%. This trade will have roughly 5.9% downside protection, while still aiming for a 4.7% return in 45 days. It will lock in that return as long as Baidu.com is above $170.00 on 4/19/2014. For comparison purposes only, this BIDU covered call aims for an annualized return rate of 38.4%. Gilead Sciences (NASDAQ: GILD) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $82.94 while simultaneously selling the April $82.50 call will result in a new position with a target return of 4.2%. Based on recent prices, this position will cost about $79.19, which is also the trade?s breakeven point. At that level, this covered call has 4.5% downside protection, while still providing a 4.2% return in 45 days as long as GILD is above $82.50 on 4/19/2014. For comparison purposes only, this Gilead Sciences covered call aims for an annualized return rate of 33.8%. Deere (NYSE: DE) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $86.63 while selling the June $87.50 call will produce a new covered call with a break-even point around $84.03. At that price, this position has a target return of 4.1%. This trade will have roughly 3.0% downside protection, while still aiming for a 4.1% return in 108 days. It will lock in that return as long as Deere is above $87.50 on 6/21/2014. For comparison purposes only, this DE covered call aims for an annualized return rate of 13.9%. Alexion Pharmaceuticals (NASDAQ: ALXN) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the April $170.00 call while at the same time buying ALXN stock for $173.44 will produce a new covered call with a target return of 4.7%. Based on recent data, this trade will cost about $162.34, which is also the covered call?s breakeven point. At that price, this covered call has 6.4% downside protection, while seeking an assigned return of 4.7% return in 45 days. If ALXN is higher than $170.00 on 4/19/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 38.2%. Ford Motor (NYSE: F) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the January $15.00 call while simultaneously buying F stock for $15.37 will result in a new position with a break-even point around $13.96. At that price, this position has a target return of 7.4%. This trade has 9.2% downside protection, while still providing a 7.4% return in 318 days as long as F is above $15.00 on 1/17/2015. For comparison purposes only, this Ford Motor covered call targets an annualized return rate of 8.5%. Maxwell Technologies (NASDAQ: MXWL) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $12.23 while selling the June $12.50 call will produce a new covered call with a break-even point around $10.88. At that price, this position has a target return of 14.9%. This trade will have roughly 11.0% downside protection, while still aiming for a 14.9% return in 108 days. It will lock in that return as long as Maxwell Technologies is above $12.50 on 6/21/2014. For comparison purposes only, this MXWL covered call aims for an annualized return rate of 50.3%. Ulta Salon Cosmetics (NASDAQ: ULTA) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $89.06 while simultaneously selling the April $87.50 call will result in a new position with a target return of 5.9%. Based on recent prices, this position will cost about $82.66, which is also the trade?s breakeven point. At that level, this covered call has 7.2% downside protection, while still providing a 5.9% return in 45 days as long as ULTA is above $87.50 on 4/19/2014. For comparison purposes only, this Ulta Salon Cosmetics covered call aims for an annualized return rate of 47.5%. Ctrip.com (NASDAQ: CTRP) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $53.14 while selling the April $50.00 call will produce a new covered call with a break-even point around $47.61. At that price, this position has a target return of 5.0%. This trade will have roughly 10.4% downside protection, while still aiming for a 5.0% return in 45 days. It will lock in that return as long as Ctrip.com is above $50.00 on 4/19/2014. For comparison purposes only, this CTRP covered call aims for an annualized return rate of 40.6%. YY (NASDAQ: YY) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $87.18 while simultaneously selling the May $75.00 call will result in a new position with a target return of 8.4%. Based on recent prices, this position will cost about $69.18, which is also the trade?s breakeven point. At that level, this covered call has 20.6% downside protection, while still providing a 8.4% return in 73 days as long as YY is above $75.00 on 5/17/2014. For comparison purposes only, this YY covered call aims for an annualized return rate of 42.1%. Genuine Parts (NYSE: GPC) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the May $90.00 call while simultaneously buying GPC stock for $87.93 will result in a new position with a break-even point around $86.33. At that price, this position has a target return of 4.3%. This trade has 1.8% downside protection, while still providing a 4.3% return in 73 days as long as GPC is above $90.00 on 5/17/2014. For comparison purposes only, this Genuine Parts covered call targets an annualized return rate of 21.3%. *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. 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. NEWS LEADERS AND LAGGARDS Kinder Morgan (KMI), Arrowhead Research (ARWR) and Ballard Power Systems (BLDP) are climbing, while Canadian Solar (CSIQ), Bob Evans Farms (BOBE) and Acadia Pharmaceuticals (ACAD) are sinking. Ericson (ERIC) was upgraded by analysts today, while Staples (SPLS), Tallgrass Energy Partners LP (TEP) and Summit Midstream Partners (SMLP) were downgraded. MARKET OVERVIEW Asian markets moved higher overnight, as yesterday's easing of tensions in Ukraine came right at the end of the Asian trading session. In overnight action, the Japanese Nikkei 225 rose 1.2%, the Taiwan TSEC gained 0.9%, and India's Sensex added 0.3%. Chinese servicesector growth was reported to be slowing, which caused concern in Shanghai, where the SEC Index fell 0.9%. In Hong Kong, the Hang Seng lost 0.3%. Turning to Europe, economic data took center stage again, with stronger-than-expected January retail sales in the region and faster PMI growth than was anticipated. Continental markets are taking a bit of a breather after making strong gains on Tuesday. At last check this morning, the Euronext 100, French CAC 40 and German DAX were all down by just 0.2%. Energy futures are sliding lower this morning with West Texas Intermediate down by 0.3% to $103.00. Heating oil, natural gas, and gasoline are also all in negative territory. Gold is relatively steady, nearly unchanged at $1,337 but platinum has added 1.2%. The U.S. Dollar is stronger against the Euro and the Yen, but weaker versus some of the smaller world currencies, including the Canadian Dollar, the Mexican Peso, and the Australian Dollar. The Bitcoin global average is at $660 at last check. PUT/CALL RATIO Yesterday, 1, 293,919 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 617,979 put contracts. The single-session put/call was 0.48, while the 20-day moving average is now at 0.59. 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 07:00 AM 3/01 MBA Mortgage 08:15 AM Feb ADP Employment Change 10:00 AM Feb ISM Services 10:30 AM 3/01 Crude Inventories 02:00 PM Mar Fed's Beige Book EARNINGS EXPECTED TODAY BF-B BYD CSIQ GA LEAP PETM RPTP 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 |
