MORNING UPDATE: PriceWatch Alerts for SSYS and More... for 2014-01-23 |
| ------------------------------------------------------------------ MORNING UPDATE: PriceWatch Alerts for SSYS, NUAN, EBAY and More... January 23, 9:00 AM ET - PriceWatch Alerts for SSYS, VRTX, KORS, GG, NUAN, INTC, REGN, LOW, EBAY, KBH, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. PriceWatch Alerts for SSYS, VRTX, KORS, GG, NUAN, INTC, REGN, LOW, EBAY, KBH. Stratasys (NASDAQ: SSYS) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $125.80 while selling the February $125.00 call will produce a new covered call with a break-even point around $119.40. At that price, this position has a target return of 4.7%. This trade will have roughly 5.1% downside protection, while still aiming for a 4.7% return in 30 days. It will lock in that return as long as Stratasys is above $125.00 on 2/22/2014. For comparison purposes only, this SSYS covered call aims for an annualized return rate of 57.1%. Vertex Pharmaceuticals (NASDAQ: VRTX) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $84.12 while simultaneously selling the March $80.00 call will result in a new position with a target return of 4.5%. Based on recent prices, this position will cost about $76.52, which is also the trade?s breakeven point. At that level, this covered call has 9.0% downside protection, while still providing a 4.5% return in 58 days as long as VRTX is above $80.00 on 3/22/2014. For comparison purposes only, this Vertex Pharmaceuticals covered call aims for an annualized return rate of 28.6%. Michael Kors (NYSE: KORS) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the March $77.50 call while simultaneously buying KORS stock for $79.75 will result in a new position with a break-even point around $73.95. At that price, this position has a target return of 4.8%. This trade has 7.3% downside protection, while still providing a 4.8% return in 58 days as long as KORS is above $77.50 on 3/22/2014. For comparison purposes only, this Michael Kors covered call targets an annualized return rate of 30.2%. Goldcorp (NYSE: GG) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the March $23.00 call while at the same time buying GG stock for $23.13 will produce a new covered call with a target return of 5.2%. Based on recent data, this trade will cost about $21.87, which is also the covered call?s breakeven point. At that price, this covered call has 5.4% downside protection, while seeking an assigned return of 5.2% return in 58 days. If GG is higher than $23.00 on 3/22/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 32.5%. 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 March $16.00 call while simultaneously buying NUAN stock for $16.05 will result in a new position with a break-even point around $15.00. At that price, this position has a target return of 6.7%. This trade has 6.5% downside protection, while still providing a 6.7% return in 58 days as long as NUAN is above $16.00 on 3/22/2014. For comparison purposes only, this Nuance Communications covered call targets an annualized return rate of 41.9%. Intel (NASDAQ: INTC) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $25.31 while selling the July $25.00 call will produce a new covered call with a break-even point around $23.97. At that price, this position has a target return of 4.3%. This trade will have roughly 5.3% downside protection, while still aiming for a 4.3% return in 177 days. It will lock in that return as long as Intel is above $25.00 on 7/19/2014. For comparison purposes only, this INTC covered call aims for an annualized return rate of 8.8%. 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 $295.38 while simultaneously selling the February $295.00 call will result in a new position with a target return of 5.1%. Based on recent prices, this position will cost about $280.78, which is also the trade?s breakeven point. At that level, this covered call has 4.9% downside protection, while still providing a 5.1% return in 30 days as long as REGN is above $295.00 on 2/22/2014. For comparison purposes only, this Regeneron Pharmaceuticals covered call aims for an annualized return rate of 61.6%. Lowe's (NYSE: LOW) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the July $47.00 call while at the same time buying LOW stock for $47.75 will produce a new covered call with a target return of 5.7%. Based on recent data, this trade will cost about $44.45, 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 5.7% return in 177 days. If LOW is higher than $47.00 on 7/19/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 11.8%. eBay (NASDAQ: EBAY) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $54.41 while simultaneously selling the April $52.50 call will result in a new position with a target return of 4.1%. Based on recent prices, this position will cost about $50.41, which is also the trade?s breakeven point. At that level, this covered call has 7.4% downside protection, while still providing a 4.1% return in 86 days as long as EBAY is above $52.50 on 4/19/2014. For comparison purposes only, this eBay covered call aims for an annualized return rate of 17.6%. KB Home (NYSE: KBH) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the April $18.00 call while simultaneously buying KBH stock for $18.14 will result in a new position with a break-even point around $16.76. At that price, this position has a target return of 7.4%. This trade has 7.6% downside protection, while still providing a 7.4% return in 86 days as long as KBH is above $18.00 on 4/19/2014. For comparison purposes only, this KB Home covered call targets an annualized return rate of 31.4%. *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. 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LinnCo (LNCO) was upgraded by analysts this morning while SanDisk (SNDK), ebay (EBAY) and American Eagle (AEO) were downgraded. MARKET OVERVIEW International stock markets have moved lower overnight, particularly those in Asia, where a weak private PMI result weighed on stocks. The Hong Kong Hang Seng fell 1.5%, the Australian All-Ordinaries lost 1.0% and the Shanghai SEC dropped 0.5%. In Japan, the Nikkei 225 slid 0.8%. The major European indices are not making big moves this morning. The German DAX and the FTSE 100 are each lower by 0.2%, while the Euronext 100 and French CAC 40 are both just about flat. EU PMI was its highest since 2011 and beat expectations, but the shocking miss in China kept traders from being too upbeat. In the futures pits, crude oil has surged, with front-month West Texas Intermediate trading up 0.4% this morning and more than 1.5% above its level 24 hours ago at $97.13. Heating oil and gasoline are slightly lower, while natural gas is up another 4%, trading at $4.73. Gold is higher so far this morning, up 0.6% to $1,247. The U.S. Dollar is weaker against both the Yen and the Euro. Bitcoins are trading at $821. PUT/CALL RATIO Yesterday, 1,407,929 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 734,749 put contracts. The single-session put/call was 0.52, while the 20-day moving average is now at 0.53. 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 $86 and is above resistance. TODAY'S ECONOMIC CALENDAR 08:30 AM 01/18 Initial Claims 08:30 AM 01/11 Continuing Claims 09:00 AM Nov FHFA Housing Price Index 10:00 AM Dec Existing Home Sales 10:00 AM Dec Leading Indicators 10:30 AM 01/18 Natural Gas Inventories 11:00 AM 01/18 Crude Inventories EARNINGS EXPECTED TODAY ABC CBST ISRG JCI JNPR MSFT RMD SBUX SYNA 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 |
