MORNING UPDATE: PriceWatch Alerts for QIHU and More... for 2013-08-27 |
| ------------------------------------------------------------------ MORNING UPDATE: PriceWatch Alerts for QIUH, BBRY, COP and More... August 27, 9:00 AM ET - PriceWatch Alerts for QIHU, BWA, DTV, PII, FL, BBRY, CAG, AET, ALXN, BSFT, COP, QCOM, WYNN, CIEN and BKW, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. PriceWatch Alerts for QIHU, BWA, DTV, PII, FL, BBRY, CAG, AET, ALXN, BSFT, COP, QCOM, WYNN, CIEN and BKW. Qihoo 360 Technology (NYSE: QIHU) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $10.42 while selling the November $10.00 call will produce a new covered call with a break- even point around $9.00. At that price, this position has a target return of 11.1%. This trade will have roughly 13.6% downside protection, while still aiming for a 11.1% return in 81 days. It will lock in that return as long as Qihoo 360 Technology is above $10.00 on 11/16/2013. For comparison purposes only, this QIHU covered call aims for an annualized return rate of 50.1%. BorgWarner (NYSE: BWA) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $34.51 while simultaneously selling the January $35.00 call will result in a new position with a target return of 4.6%. Based on recent prices, this position will cost about $33.46, which is also the trade?s breakeven point. At that level, this covered call has 3.0% downside protection, while still providing a 4.6% return in 144 days as long as BWA is above $35.00 on 1/18/2014. For comparison purposes only, this BorgWarner covered call aims for an annualized return rate of 11.7%. DirecTV (NASDAQ: DTV) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $65.00 call while at the same time buying DTV stock for $63.86 will produce a new covered call with a target return of 7.3%. Based on recent data, this trade will cost about $60.56, which is also the covered call?s breakeven point. At that price, this covered call has 5.2% downside protection, while seeking an assigned return of 7.3% return in 144 days. If DTV is higher than $65.00 on 1/18/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 18.6%. Polaris Industries (NYSE: PII) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the November $105.00 call while simultaneously buying PII stock for $107.19 will result in a new position with a break-even point around $98.39. At that price, this position has a target return of 6.7%. This trade has 8.2% downside protection, while still providing a 6.7% return in 81 days as long as PII is above $105.00 on 11/16/2013. For comparison purposes only, this Polaris Industries covered call targets an annualized return rate of 30.2%. Foot Locker (NYSE: FL) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $33.72 while selling the November $30.00 call will produce a new covered call with a break-even point around $28.62. At that price, this position has a target return of 4.8%. This trade will have roughly 15.1% downside protection, while still aiming for a 4.8% return in 81 days. It will lock in that return as long as Foot Locker is above $30.00 on 11/16/2013. For comparison purposes only, this FL covered call aims for an annualized return rate of 21.7%. Blackberry (NASDAQ: BBRY) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $10.42 while selling the November $10.00 call will produce a new covered call with a break-even point around $9.00. At that price, this position has a target return of 11.1%. This trade will have roughly 13.6% downside protection, while still aiming for a 11.1% return in 81 days. It will lock in that return as long as Blackberry is above $10.00 on 11/16/2013. For comparison purposes only, this BBRY covered call aims for an annualized return rate of 50.1%. ConAgra Foods (NYSE: CAG) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $34.51 while simultaneously selling the January $35.00 call will result in a new position with a target return of 4.6%. Based on recent prices, this position will cost about $33.46, which is also the trade?s breakeven point. At that level, this covered call has 3.0% downside protection, while still providing a 4.6% return in 144 days as long as CAG is above $35.00 on 1/18/2014. For comparison purposes only, this ConAgra Foods covered call aims for an annualized return rate of 11.7%. Aetna (NYSE: AET) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $65.00 call while at the same time buying AET stock for $63.86 will produce a new covered call with a target return of 7.3%. Based on recent data, this trade will cost about $60.56, which is also the covered call?s breakeven point. At that price, this covered call has 5.2% downside protection, while seeking an assigned return of 7.3% return in 144 days. If AET is higher than $65.00 on 1/18/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 18.6%. Alexion Pharmaceuticals (NASDAQ: ALXN) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the November $105.00 call while simultaneously buying ALXN stock for $107.19 will result in a new position with a break-even point around $98.39. At that price, this position has a target return of 6.7%. This trade has 8.2% downside protection, while still providing a 6.7% return in 81 days as long as ALXN is above $105.00 on 11/16/2013. For comparison purposes only, this Alexion Pharmaceuticals covered call targets an annualized return rate of 30.2%. Broadsoft (NASDAQ: BSFT) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $33.72 while selling the November $30.00 call will produce a new covered call with a break-even point around $28.62. At that price, this position has a target return of 4.8%. This trade will have roughly 15.1% downside protection, while still aiming for a 4.8% return in 81 days. It will lock in that return as long as Broadsoft is above $30.00 on 11/16/2013. For comparison purposes only, this BSFT covered call aims for an annualized return rate of 21.7%. ConocoPhillips (NYSE: COP) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $66.31 while simultaneously selling the January $67.50 call will result in a new position with a target return of 5.0%. Based on recent prices, this position will cost about $64.29, which is also the trade?s breakeven point. At that level, this covered call has 3.0% downside protection, while still providing a 5.0% return in 144 days as long as COP is above $67.50 on 1/18/2014. For comparison purposes only, this ConocoPhillips covered call aims for an annualized return rate of 12.6%. Qualcomm (NASDAQ: QCOM) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $67.50 call while at the same time buying QCOM stock for $66.95 will produce a new covered call with a target return of 4.4%. Based on recent data, this trade will cost about $64.64, which is also the covered call?s breakeven point. At that price, this covered call has 3.5% downside protection, while seeking an assigned return of 4.4% return in 144 days. If QCOM is higher than $67.50 on 1/18/2014, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 11.2%. Wynn Resorts (NASDAQ: WYNN) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the January $140.00 call while simultaneously buying WYNN stock for $142.94 will result in a new position with a break-even point around $132.59. At that price, this position has a target return of 5.6%. This trade has 7.2% downside protection, while still providing a 5.6% return in 144 days as long as WYNN is above $140.00 on 1/18/2014. For comparison purposes only, this Wynn Resorts covered call targets an annualized return rate of 14.1%. Ciena (NASDAQ: CIEN) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $21.17 while selling the October $21.00 call will produce a new covered call with a break-even point around $19.39. At that price, this position has a target return of 8.3%. This trade will have roughly 8.4% downside protection, while still aiming for a 8.3% return in 53 days. It will lock in that return as long as Ciena is above $21.00 on 10/19/2013. For comparison purposes only, this CIEN covered call aims for an annualized return rate of 57.2%. Burger King (NYSE: BKW) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $19.96 while simultaneously selling the January $20.00 call will result in a new position with a target return of 6.6%. Based on recent prices, this position will cost about $18.76, which is also the trade?s breakeven point. At that level, this covered call has 6.0% downside protection, while still providing a 6.6% return in 144 days as long as BKW is above $20.00 on 1/18/2014. For comparison purposes only, this Burger King covered call aims for an annualized return rate of 16.7%. *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 ? 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These are not recommendations to buy or sell any security. NEWS LEADERS AND LAGGARDS Movado (MOV), Akorn (AKRX) and Brown Shoe Company (BWS) are headed higher this morning, while HDFC Bank (HDB), PetroChina (PTR) and PT Telekomunikasi Indonesia (TLK) are in decline. Blackbaud (BLKB) and Cimarex (XEC) were upgraded by analysts this morning, while Accretive Health (AH) was downgraded. MARKET OVERVIEW Asian interests moved mostly lower overnight. India's Sensex dropped 3.2% as the Rupee spiked to its lowest levels ever. The Taiwan TSEC lost 0.9% and the Nikkei 225 dropped 0.7%, but China provided some positive spin, as Chinese industrial profits rose according to official state sources. The Shanghai SEC rose 0.3% in an otherwise weak session. In Europe, almost all indices are falling so far in today's trading. The Euronext 100, French CAC 40, and German DAX are all down more than 1.4% at last check. Unease about Syria dominated improving economic data from Germany. In the futures pits, crude oil futures are down 0.5% to in early trading along with gasoline and heating oil. Natural gas is higher by 0.9%. Metals are relatively flat once again, with gold down just 0.2%. The U.S. Dollar slightly higher against the Euro and very slightly lower against the Yen, but Bitcoins have surged to $129 and even touched $133 early this morning. PUT/CALL RATIO Yesterday, 902,411 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 547,455 put contracts. The single-session put/call was 0.61, 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 $166 and is above resistance. The Nasdaq 100 (QQQ) has support at $74.50 and is above resistance. TODAY'S ECONOMIC CALENDAR 09:00 AM Jun Case-Shiller 20-city Index 10:00 AM Aug Consumer Confidence EARNINGS EXPECTED TODAY BWS TIF TIVO 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 |
