MORNING UPDATE: PriceWatch Alerts for DDD and More... for 2013-11-18 |
| ----------------------------------------------------------------- - MORNING UPDATE: PriceWatch Alerts for FOXA, FSLR, DDD, and More... November 18, 9:00 AM ET - PriceWatch Alerts for FOXA, FSLR, NQ, CAT, SPWR, DDD, WFM, LOW, GG, DAL, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. PriceWatch Alerts for FOXA, FSLR, NQ, CAT, SPWR, DDD, WFM, LOW, GG and DAL. Twenty-First Century Fox (NASDAQ: FOXA) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $34.19 while selling the April $33.00 call will produce a new covered call with a break- even point around $31.39. At that price, this position has a target return of 5.1%. This trade will have roughly 8.2% downside protection, while still aiming for a 5.1% return in 152 days. It will lock in that return as long as Twenty-First Century Fox is above $33.00 on 4/19/2014. For comparison purposes only, this FOXA covered call aims for an annualized return rate of 12.3%. First Solar (NASDAQ: FSLR) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $64.19 while simultaneously selling the December $62.50 call will result in a new position with a target return of 5.1%. Based on recent prices, this position will cost about $59.49, which is also the trade?s breakeven point. At that level, this covered call has 7.3% downside protection, while still providing a 5.1% return in 33 days as long as FSLR is above $62.50 on 12/21/2013. For comparison purposes only, this First Solar covered call aims for an annualized return rate of 55.9%. NQ Mobile (NYSE: NQ) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $12.66 while simultaneously selling the December $11.00 call will result in a new position with a target return of 11.6%. Based on recent prices, this position will cost about $9.86, which is also the trade?s breakeven point. At that level, this covered call has 22.1% downside protection, while still providing a 11.6% return in 33 days as long as NQ is above $11.00 on 12/21/2013. For comparison purposes only, this NQ Mobile covered call aims for an annualized return rate of 127.9%. Caterpillar (NYSE: CAT) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the May $82.50 call while at the same time buying CAT stock for $83.74 will produce a new covered call with a target return of 5.0%. Based on recent data, this trade will cost about $78.59, which is also the covered call?s breakeven point. At that price, this covered call has 6.1% downside protection, while seeking an assigned return of 5.0% return in 180 days. If CAT is higher than $82.50 on 5/17/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 10.1%. SunPower (NASDAQ: SPWR) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the December $32.00 call while simultaneously buying SPWR stock for $33.51 will result in a new position with a break-even point around $30.64. At that price, this position has a target return of 4.4%. This trade has 8.6% downside protection, while still providing a 4.4% return in 33 days as long as SPWR is above $32.00 on 12/21/2013. For comparison purposes only, this SunPower covered call targets an annualized return rate of 49.0%. 3D Systems (AMEX: DDD) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $80.17 while selling the January $75.00 call will produce a new covered call with a break-even point around $71.17. At that price, this position has a target return of 5.4%. This trade will have roughly 11.2% downside protection, while still aiming for a 5.4% return in 61 days. It will lock in that return as long as 3D Systems is above $75.00 on 1/18/2014. For comparison purposes only, this DDD covered call aims for an annualized return rate of 32.2%. Whole Foods (NASDAQ: WFM) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $58.84 while simultaneously selling the February $57.50 call will result in a new position with a target return of 4.4%. Based on recent prices, this position will cost about $55.09, which is also the trade?s breakeven point. At that level, this covered call has 6.4% downside protection, while still providing a 4.4% return in 96 days as long as WFM is above $57.50 on 2/22/2014. For comparison purposes only, this Whole Foods covered call aims for an annualized return rate of 16.6%. Lowe's (NYSE: LOW) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $51.77 while simultaneously selling the April $50.00 call will result in a new position with a target return of 4.8%. Based on recent prices, this position will cost about $47.72, which is also the trade?s breakeven point. At that level, this covered call has 7.8% downside protection, while still providing a 4.8% return in 152 days as long as LOW is above $50.00 on 4/19/2014. For comparison purposes only, this Lowe's covered call aims for an annualized return rate of 11.5%. Goldcorp (NYSE: GG) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $24.00 call while at the same time buying GG stock for $24.34 will produce a new covered call with a target return of 5.7%. Based on recent data, this trade will cost about $22.71, which is also the covered call?s breakeven point. At that price, this covered call has 6.7% downside protection, while seeking an assigned return of 5.7% return in 61 days. If GG is higher than $24.00 on 1/18/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 34.0%. Delta Air Lines (NYSE: DAL) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the January $28.00 call while simultaneously buying DAL stock for $28.12 will result in a new position with a break-even point around $26.61. At that price, this position has a target return of 5.2%. This trade has 5.4% downside protection, while still providing a 5.2% return in 61 days as long as DAL is above $28.00 on 1/18/2014. For comparison purposes only, this Delta Air Lines covered call targets an annualized return rate of 31.2%. *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. 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MARKET OVERVIEW International trading is mostly higher overnight, with the major Asian indices either advancing sharply or nearly unchanged. The Shanghai SEC, Mumbai Sensex and Hong Kong Hang Seng all gained more than 2%, but the Nikkei 225 and Taiwan TSEC just held steady. The Beijing government announced wide-ranging reforms late Friday that included improving the IPO process and relaxing the one-child policy. In Europe, the gains so far this morning are smaller, but all the major indices are taking part in the upside. The French CAC 40 and German DAX are each higher by 0.7%, while the FTSE 100 and Euronext 100 have each gained 0.5%. The European trade surplus rose in September, outstripping expectations. Exports rose 3% while imports held steady. In the futures pits, crude oil kept up its unexciting streak. West Texas Intermediate crude is down 0.3% this morning, still in the $93 range. Heating oil is down 0.7%, gasoline is off 1.0%, while natural gas is up 0.9%. Gold is down 0.7% at $1,278 and other metal futures are also weak. The U.S. Dollar is weaker against almost all other major world currencies, including the Yen, the Euro, the Canadian Dollar, and the Swiss Franc. Bitcoins have done the unthinkable and risen sharply yet again. The most recent price is $598, but at one point early this morning they touched $618. PUT/CALL RATIO Friday, 1,527,023 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 836,216 put contracts. The single-session put/call was 0.55, while the 20-day moving average is now at 0.56. SUPPORT & RESISTANCE LEVELS The S&P 500 Depository Receipts (SPY) ETF has support at $172.50 and is above resistance. The Nasdaq 100 (QQQ) has support at $80.50 and is above resistance. TODAY'S ECONOMIC CALENDAR 09:00 AM Sep Net Long-Term TIC Flows 10:00 AM Nov NAHB Housing Market Index EARNINGS EXPECTED TODAY BRCD CRM HMA JKS KKD URBN 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 |
