MORNING UPDATE: PriceWatch Alerts for REGN and More... for 2014-02-27 |
| ------------------------------------------------------------------ MORNING UPDATE: PriceWatch Alerts for MSFT, SUNE, REGN and More... February 27, 9:00 AM ET - PriceWatch Alerts for MSFT, GSK, SUNE, ACAD, FDO, WLT, REGN, BIIB, RHT, LVLT, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. PriceWatch Alerts for MSFT, GSK, SUNE, ACAD, FDO, WLT, REGN, BIIB, RHT and LVLT. Microsoft (NASDAQ: MSFT) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $37.47 while selling the July $37.00 call will produce a new covered call with a break-even point around $35.44. At that price, this position has a target return of 4.4%. This trade will have roughly 5.4% downside protection, while still aiming for a 4.4% return in 142 days. It will lock in that return as long as Microsoft is above $37.00 on 7/19/2014. For comparison purposes only, this MSFT covered call aims for an annualized return rate of 11.3%. GlaxoSmithKline PLC (NYSE: GSK) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $56.22 while selling the August $57.50 call will produce a new covered call with a break- even point around $54.77. At that price, this position has a target return of 5.0%. This trade will have roughly 2.6% downside protection, while still aiming for a 5.0% return in 170 days. It will lock in that return as long as GlaxoSmithKline PLC is above $57.50 on 8/16/2014. For comparison purposes only, this GSK covered call aims for an annualized return rate of 10.7%. SunEdison (NYSE: SUNE) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $18.56 while selling the April $18.00 call will produce a new covered call with a break-even point around $16.65. At that price, this position has a target return of 8.1%. This trade will have roughly 10.3% downside protection, while still aiming for a 8.1% return in 51 days. It will lock in that return as long as SunEdison is above $18.00 on 4/19/2014. For comparison purposes only, this SUNE covered call aims for an annualized return rate of 58.0%. Acadia (NASDAQ: ACAD) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the March $28.00 call while at the same time buying ACAD stock for $29.72 will produce a new covered call with a target return of 5.2%. Based on recent data, this trade will cost about $26.62, which is also the covered call?s breakeven point. At that price, this covered call has 10.4% downside protection, while seeking an assigned return of 5.2% return in 23 days. If ACAD is higher than $28.00 on 3/22/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 82.2%. Family Dollar Stores (NYSE: FDO) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the July $65.00 call while simultaneously buying FDO stock for $67.10 will result in a new position with a break-even point around $61.40. At that price, this position has a target return of 5.9%. This trade has 8.5% downside protection, while still providing a 5.9% return in 142 days as long as FDO is above $65.00 on 7/19/2014. For comparison purposes only, this Family Dollar Stores covered call targets an annualized return rate of 15.1%. Walter Energy (NYSE: WLT) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $11.09 while selling the April $11.00 call will produce a new covered call with a break-even point around $9.90. At that price, this position has a target return of 11.1%. This trade will have roughly 10.7% downside protection, while still aiming for a 11.1% return in 51 days. It will lock in that return as long as Walter Energy is above $11.00 on 4/19/2014. For comparison purposes only, this WLT covered call aims for an annualized return rate of 79.5%. Regeneron Pharmaceuticals (NASDAQ: REGN) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $336.48 while simultaneously selling the April $335.00 call will result in a new position with a target return of 5.6%. Based on recent prices, this position will cost about $317.23, which is also the trade?s breakeven point. At that level, this covered call has 5.7% downside protection, while still providing a 5.6% return in 51 days as long as REGN is above $335.00 on 4/19/2014. For comparison purposes only, this Regeneron Pharmaceuticals covered call aims for an annualized return rate of 40.1%. Biogen Idec (NASDAQ: BIIB) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $343.21 while selling the April $340.00 call will produce a new covered call with a break- even point around $325.61. At that price, this position has a target return of 4.4%. This trade will have roughly 5.1% downside protection, while still aiming for a 4.4% return in 51 days. It will lock in that return as long as Biogen Idec is above $340.00 on 4/19/2014. For comparison purposes only, this BIIB covered call aims for an annualized return rate of 31.6%. Red Hat (NYSE: RHT) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the June $57.50 call while at the same time buying RHT stock for $59.75 will produce a new covered call with a target return of 5.9%. Based on recent data, this trade will cost about $54.30, which is also the covered call?s breakeven point. At that price, this covered call has 9.1% downside protection, while seeking an assigned return of 5.9% return in 114 days. If RHT is higher than $57.50 on 6/21/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 18.9%. Level 3 Communications (NASDAQ: LVLT) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the June $36.00 call while simultaneously buying LVLT stock for $37.06 will result in a new position with a break-even point around $33.76. At that price, this position has a target return of 6.6%. This trade has 8.9% downside protection, while still providing a 6.6% return in 114 days as long as LVLT is above $36.00 on 6/21/2014. For comparison purposes only, this Level 3 Communications covered call targets an annualized return rate of 21.2%. *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! 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MARKET OVERVIEW Asian stock markets were mostly higher overnight, led by the Hong Kong Hang Seng, which added 1.7%. the Taiwan TSEC gained 0.4% and the Shanghai SEC rose 0.3%, but the Nikkei 225 lost 0.3%. In Australia, Qantas Airways reported a quarterly loss and dropped 9%, pulling the Australian indices lower with it. In Europe, most indices are lower again so far this morning. The German DAX is falling 1.4%, the Swiss Market Index is down 1.0% and the FTSE 100 and CAC 40 each both off by 0.5%. The situation in Ukraine is weighing on European markets and both the Euro and the Russian ruble are weakening. Energy futures are all slightly lower so far this morning, with West Texas Intermediate at $102.47. Gold and platinum are fractionally higher, while silver and copper are a small amount in negative territory. The U.S. Dollar is weaker against the Yen but stronger versus the Euro. The Bitcoin global average has settled around $580 after swinging wildly higher and lower in the past week. PUT/CALL RATIO Yesterday, 1,313,950 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 755,043 put contracts. The single-session put/call was 0.57, while the 20-day moving average is now at 0.6. SUPPORT & RESISTANCE LEVELS The S&P 500 Depository Receipts (SPY) ETF has support at $182 and is above resistance. The Nasdaq 100 (QQQ) has support at $87.50 and is above resistance. TODAY'S ECONOMIC CALENDAR 08:30 AM 2/22 Initial Claims 08:30 AM 2/15 Continuing Claims 08:30 AM Jan Durable Orders 08:30 AM Jan Durable Goods ? ex transportations 10:30 AM 2/22 Natural Gas Inventories EARNINGS EXPECTED TODAY ACAD BBY BID CHS CLNE CLVS DECK ED LINE MNST MYL ROST SHLD WIN XON ZLC 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 |
