MORNING UPDATE: PriceWatch Alerts for IBM and More... for 2011-07-12 |
| ------------------------------------------------------------------ MORNING UPDATE: PriceWatch Alerts for IBM, X, BIDU, and More... July 12, 8:30 AM EST - Before the open... PriceWatch Alerts for IBM, RIG, PM, CVC, TEF, X, CMCSA, UNP, OVTI, MAN, BIDU, CHK, HIG, ALV, and DECK, Market Overview, News Leaders and Laggards, Today's Economic Calendar, and Index Support & Resistance Levels. New PriceWatch Alerts for IBM, RIG, PM, CVC, TEF, X, CMCSA, UNP, OVTI, MAN, BIDU, CHK, HIG, ALV, and DECK PRICEWATCH ALERTS - HIGH RETURN COVERED CALL OPTIONS-------------- -- International Business Machines Corp. (NYSE: IBM) Last Price 174.99 - JAN 175.00 CALL OPTION@ $9.05 -> 5.5% Return (10.3% Annualized) assigned* -- Transocean Ltd. (NYSE: RIG) Last Price 60.47 - AUG 60.00 CALL OPTION@ $2.92 -> 4.3% Return (39.8% Annualized) assigned* -- Philip Morris International, Inc. (NYSE: PM) Last Price 68.68 - DEC 70.00 CALL OPTION@ $2.56 -> 5.9% Return (13.6% Annualized) assigned* -- Cablevision Systems Corporation (NYSE: CVC) Last Price 26.56 - DEC 26.00 CALL OPTION@ $1.95 -> 5.6% Return (13.0% Annualized) assigned* -- Telefonica, S.A. (NYSE: TEF) Last Price 22.14 - DEC 22.50 CALL OPTION@ $1.20 -> 7.4% Return (17.2% Annualized) assigned* -- United States Steel Corp. (NYSE: X) Last Price 43.54 - AUG 43.00 CALL OPTION@ $2.62-> 5.1% Return (47.6% Annualized) assigned* -- Comcast Corporation (Nasdaq: CMCSA) Last Price 25.03 - OCT 25.00 CALL OPTION@ $1.32 -> 5.4% Return (19.5% Annualized) assigned* -- Union Pacific Corporation (NYSE: UNP) Last Price 102.28 - NOV 100.00 CALL OPTION@ $7.20 -> 5.2% Return (14.5% Annualized) assigned* -- OmniVision Technologies Inc. (Nasdaq: OVTI) Last Price 32.52 - AUG 32.00 CALL OPTION@ $2.35 -> 6.1% Return (56.8% Annualized) assigned* -- Manpower Inc. (NYSE: MAN) Last Price 54.82 - SEP 55.00 CALL OPTION@ $2.95 -> 6.0% Return (32.9% Annualized) assigned* -- Baidu, Inc. (Nasdaq: BIDU) Last Price 142.40 - SEP 140.00 CALL OPTION@ $12.00 -> 7.4% Return (40.1% Annualized) assigned* -- Chesapeake Energy Corporation (NYSE: CHK) Last Price 29.75 - OCT 29.00 CALL OPTION@ $2.48 -> 6.3% Return (22.7% Annualized) assigned* -- Hartford Financial Services Group Inc. (NYSE: HIG) Last Price 25.10 - AUG 26.00 CALL OPTION@ $1.18-> 4.5% Return (42.3% Annualized) assigned* -- Autoliv, Inc. (NYSE: ALV) Last Price 68.91 - DEC 65.00 CALL OPTION@ $7.50 -> 5.8% Return (13.5% Annualized) assigned* -- Deckers Outdoor Corp. (Nasdaq: DECK) Last Price 92.56- AUG 92.50 CALL OPTION@ $4.90 -> 5.5% Return (51.7% Annualized) assigned* *Annualized returns are shown for comparison purposes only What exactly is a Covered Call? What are the risks, benefits, and requirements? If you are asking yourself these questions, the answers you seek lie in :Covered Calls: Aggressive Strategy for the Conservative Investor: (http://www.poweropt.com/107/). This educational kit, written by the founders of PowerOptions, will teach you the ins and outs of the Covered Call Strategy. PLUS, it comes with two free months of PowerOptions AND a 30 day risk free guarantee! 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! NEWS LEADERS AND LAGGARDS----------------------------------------- Gainers in pre-market trading include Monster Worldwide (MWW), International Game Technology (IGT) and Lennar Corp. (LEN). Decliners include Microchip Technology (MCHP), Novellus Systems Inc. (NVLS) and KLA-Tencore (KLAC). Stocks receiving upgrades this morning include Clean Energy Fuels (CLNE), Wintrust Financial (WTFC) and M&T Bank (MTB). Stocks receiving downgrades include Pegasystems (PEGA), Alcatel-Lucent (ALU) and ProLogis (PLD). MARKET OVERVIEW--------------------------------------------------- Sovereign debt remains the key focus this morning, with stocks in Asia taking a hit amid ongoing uncertainty regarding the scope of the European crisis. Rising risk aversion provided a boost of safe- haven support for the yen, which pressured major Japanese exporters like Toyota. Meanwhile, Chinese equities were battered by a Moody's report detailing various red flags at dozens of corporations, including such concerns as high-risk business models and auditing missteps. By the close, Hong Kong's Hang Seng shed 3.1%, South Korea's Kospi fell 2.2%, China's Shanghai Composite declined 1.7%, and Japan's Nikkei dipped 1.4%. Contagion fears are also sinking stocks in Europe, after Dutch Finance Minister Jan Kees de Jager said a selective Greek debt default "is not excluded anymore" from the list of options being considered by top euro-zone officials. Italy also remains a point of concern today, with regulators unveiling new restrictions on short selling in an attempt to rein in market volatility. Against this backdrop, a gloomy note from B of A-Merrill Lynch isn't helping matters. "As the third largest bond market in the world, after Japan and the U.S., Italy could be systemic... the latest trend in the Italian bond market could potentially snowball into a major crisis for the global economy," warned analyst Athanasios Vamvakidis in a research note. At last check, the French CAC 40 is off 1.1%, the German DAX has dropped 1.3%, and London's FTSE 100 is down 1%. Crude futures have continued their retreat this morning, despite positive news from the Organization of Petroleum Exporting Countries (OPEC). The organization said in its monthly report today that its oil production increased to 29.6 million barrels a day in June -- 0.5 million barrels a day higher than May, as Saudi Arabia and other Arab members in the Gulf region raised their output. Nevertheless, crude futures are down 1 point, or 1.1%, in pre- market trading. Conversely, the dollar has edged higher this morning, with the U.S. dollar index trading 0.3 point, of 0.4%, higher. Finally, gold futures are trading lower, down 2 points, or 0.1%, at last check. PUT/CALL RATIO --------------------------------------------------- Equity option activity on the Chicago Board Options Exchange (CBOE) saw 867,179 call contracts traded on Monday, compared to 635,991 put contracts. The resultant single-session put/call ratio docked at 0.73, while the 21-day moving average was perched at 0.71. SUPPORT & RESISTANCE LEVELS -------------------------------------- The S&P Depository Receipts (SPY) show support in the neighborhood of $126.55 and resistance above $134.15. For the Nasdaq 100 (QQQ), support is around $53.60 and resistance is near $58.50. TODAY'S ECONOMIC CALENDAR ---------------------------------------- 8:30 a.m. May Trade Balance 2:00 p.m. 6/22 FOMC Minutes EARNINGS EXPECTED TODAY (w/current estimates) -------------------- FAST 0.30 WWW 0.46 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 -> For Investors With a Sense of Humor. Only $1 for your first month plus seven free bonuses worth over $800, see: http://www.poweropt.com/io Seven Summits Investment Research is an independent investment research group focusing on the U.S. equities and options markets. Our unique set of analytical tools, screening techniques, rigorous research methods and committed staff provide solid information to help our clients make the best investment decisions possible. For more information go to www.SevenSummitsInvestmentResearch.com . CRD# 137114 Schaeffer's Investment Research - Market information that combines unique data with insightful commentary, enabling you to navigate in any market conditions and invest wisely http://www.poweropt.com/sirmmo 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 |
