Posts Tagged ‘ADI’

Visa Options Active As Stock Said To Join The Dow 30

V – Visa Inc. – Shares in the electronic payments and technology company are on the rise today, gaining as much as 3.3% to hit a one-month high of $184.40 on news the company, along with Goldman Sachs Group Inc. and Nike Inc., will replace Hewlett-Packard Co., Bank of America Corp and Alcoa Inc. in the Dow Jones Industrial Average later this month. Shares in Visa are up approximately 40% since this time last year, but trade roughly 6.0% below the record high of $196.00 secured back on July 25th.

Options volume on Visa rose to more than twice the average daily level, with 24,800 contracts exchanged by 3:40 p.m. in New York. Fresh interest building in weekly calls on Visa today suggests some traders are positioning for shares in the name to extend gains during the next few sessions. The most traded weekly contracts are the Sep 13 ’13 $185 calls, with around 1,900 lots in play versus open interest of 267 contracts. Time and sales data suggests most of the $185 calls were purchased at an average premium of $1.08 apiece. Buyers of the $185 calls stand ready to profit at expiration in the event that Visa shares rally another 1.0% over today’s high of $184.19 to exceed the average breakeven point at $186.08. The Sep 13 ’13 $190 calls are also changing hands this afternoon with around 940 lots traded against open interest of 84 contracts. Most of the $190 calls appear to have been purchased at an average premium of $0.26 each.  

IGT – International Game Technology – Traders appear to be snapping up front month call options on the maker of electronic gaming equipment today, with shares in International Game Technology trading up as much as 7.2% during…
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Road To Commodity Meltdown Paved In Silver Put Options

 Today’s tickers: SLV, COF, DPS & ADI

SLV - iShares Silver Trust ETF – The rebound in investor sentiment following the post-earthquake, fear-driven spike in the Japanese yen was quite remarkable, with global equity benchmarks almost rebounding to February peaks. During that recovery period something critical developed in the currency world that lifted commodity prices to new heights. The debate between FOMC members regarding whether less rather than more stimulus was needed, was eclipsed by the ECB’s reversal of monetary policy, which in turn hobbled the dollar. Demand for commodities took a further step forward as investors swiftly concluded that the dollar was most likely to trail the euro even in a risk-on environment. That has made the cascade in commodity prices all the more spectacular today as growth-sensitive currencies lose favor. The IMF downgrade to growth and Goldman’s warning over a possible stall in the advance has investors targeting downside risk across the commodity field. Silver prices, already at a 30-year high, are likely to stumble further and faster according to a sizable put butterfly strategy on the iShares Silver Trust ETF today. The put ‘fly follows Monday’s massive bearish play on the SLV in which some 100,000 July $25 strike puts were picked up at a premium of $0.10 apiece. The 0.40% decline in the price of the ETF’s shares to $39.05 this afternoon saw the asking price on the July $25 strike puts more than double to $0.21 per contract at times on Tuesday. In contrast, the put’ fly player accelerated the bearish view on the price of silver by targeting May contract put options. The 25,000-lot May $34/$36/$38 bearish butterfly spread positions the player to attain maximum benefits should the price of SLV shares fall around 7.5% to $36.00 by expiration day. The spread cost the trader a net $0.31 in premium per contract, but prepares him to accumulate up to $1.69 per contract if the price of the underlying fund settles at $36.00 at expiration. Nearly 400,000 option contracts have changed hands on the SLV as of 1:15pm in New York.…
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Barrage of Bearish Plays Befall Airgas, Inc.

Today’s tickers: ARG, QSFT, VTR, MET, SPWRA, USO, JPM, BMY, ADI & EXPE

ARG – Airgas, Inc. – Options investors initiated diverse bearish strategies on the distributor of industrial, medical and specialty gases this afternoon with shares of the underlying stock lower by 1.75% to $61.73 as of 3:15 pm (ET). Pessimistic players are likely wary of potential sharp share price erosion should Air Products & Chemicals Inc., the industrial gases maker forging a hostile takeover of Airgas in a proposed $5.1 billion bid for the company, fail to ultimately close the deal. Maybe bearish options investors are taking a cue from Paul Huck, CFO at Air Products & Chemicals, who yesterday stated, “there is a large drop in the stock price awaiting this, should Air Products go away” because “If we go away, who else is going to show up and pay this?” Airgas’s share price, which is up roughly 39% since Air Products’ offer went public ahead of February 5, 2010, would likely come crashing down if for some reason Air Products walks away given the lack of other serious competing offers for ARG at this time. Bearish traders bracing for potential share price hemorrhaging purchased a debit put spread and sold calls in the July contract and enacted a ratio bearish risk reversal in the October contract. One investor purchased 2,925 puts at the July $55 strike for a premium of $1.50 each, and sold the same number of puts at the lower July $50 strike for $0.65 apiece. Net premium paid for the spread amounts to $0.85 per contract, thus yielding maximum potential profits of $4.15 each if Airgas shares decline 19% to breach the $50.00 level by expiration day. The sale of 5,000 calls at the July $65 strike for an average premium of $1.05 each may or may not be the work of the same investor. Open interest of 19,000+ calls at the July $65 strike implies the call seller could be closing out a previously established long stance on the stock. Otherwise, the responsible party expects to keep the $1.05 premium per contract received on the sale as long as shares of the underlying stock do not exceed $65.00 ahead of July expiration. Finally, one pessimistic individual populating the October contract sold 5,000 calls at the October $70 strike for a premium of $1.28 each in order to buy twice as many puts…
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Buy Pick: ADI

What to Buy: ADI

Courtesy of David of The Oxen Group

The buy pick is made every evening at Midnight before the next day begins. The pick is a single day trade of a stock or ETF. The Oxen Group provides analysis, entry/exit points, resistance levels, and a rating for the pick. Picks are only single day trades.

ADI chartYesterday was interesting. Tomorrow, the important home sales and beginning of the FOMC meeting will be market movers. Investors are looking optimistic about the Fed’s meeting because the Fed believes the recession will end this late summer, and it should take actions this week that reiterate that feeling. That is why The Oxen Group is somewhat bullish for tomorrow.

Additionally, we like the news coming from Isil Corp., in after hours. The company announced that they were raising their revenue guidance from $123-$132 million to $145-$148 million. The company has seen an increase in demand for their products. This should be nice news for all broadline semiconductor companies, including competitor Analog Devices Inc. (ADI). Isil rose 6% in afterhours, which signals that the stock will pop tomorrow, hopefully bringing up ADI.

ADI should receive some general tech buzz from the Oracle earnings that are coming tomorrow afternoon about which analysts are bullish. Further, futures on the NASDAQ are currently neutral, as investors are looking for data and news to direct the market tomorrow. The real key to ADI’s ability to move up, though, is its technicals. ADI is heavily oversold, and it has moved down 5/7 days. It is very near a lower bollinger band and even slightly undervalued. This means that a lot of buyers could reenter the stock with the bullish broadline semiconductor news from Isil. Additionally, investors may be cautious at the start of the day after yesterday’s movement and a great price to buy in is very possible. Look for ADI to move up with a possible tech rebound.

Entry: First 5-20 minutes
Exit: 2-4% increase from buy in price

Resistance: Upper 25.00

 


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ValueWalk

Larry Kudlow Weighs In On The November Jobs Report

By Jacob Wolinsky. Originally published at ValueWalk.

First on CNBC: CNBC Transcript: National Economic Council Director Larry Kudlow Speaks with CNBC’s “Squawk on the Street” today on the November jobs report.

Q3 2020 hedge fund letters, conferences and more

White House Economic Advisor Larry Kudlow Weighs In On The November Jobs Report

CARL QUINTANILLA: The director of the National Economic Council will talk about the November jobs’ number this morning. Larry, good morning. Happy Friday, good to have you back.

LARRY KUDLOW: Thank you. Hello folks, how are...



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Kimble Charting Solutions

Is The US Dollar About To Reach A Melting Point?

Courtesy of Chris Kimble

It’s been 20 years since the last major peak in the US Dollar. Could the greenback’s latest turn lower confirm another peak?

Today’s chart takes a macro view of the US Dollar Index and highlights the long-term down-trend at each point (1). As you can see, the buck is on a topsy turvy ride, bouncing up and down within this down-trend.

The latest bottom formed after the financial crisis and has seen the US Dollar trade within a 9 year up-trend channel marked by each (2). This gave bulls some confidence that the US Dollar may have formed a long-term bottomȂ...



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Phil's Favorites

Gold vs Bitcoin, German stocks at new highs, Biotech breaks half-decade of consolidation

 

Gold vs Bitcoin, German stocks at new highs, Biotech breaks half-decade of consolidation

Courtesy of The Reformed Broker 

Welcome to Big Trends Monthly with Josh Brown and JC Parets of All Star Charts. We’re breaking down the latest monthly closing candlestick charts to reveal the most meaningful market moves around the world. In this episode:

  • The rotation into small caps and mid caps is the most important chart of the year
  • German stocks are making new all-time record highs, Europe will follow
  • Wait til you see this breakout in the broker-...


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Politics

Ignoring Warnings His Election Lies Could Get People Killed, Trump Posts 46-Minute Rant Full of 'Unhinged' Falsehoods

 

Ignoring Warnings His Election Lies Could Get People Killed, Trump Posts 46-Minute Rant Full of 'Unhinged' Falsehoods

"Georgia elections director yesterday: Trump's rhetoric is going to get people killed. Trump today: here's 46 minutes of unhinged conspiracy theories."

Courtesy of Jake Johnson, Common Dreams

Activists march through the city of Detroit on November 7, 2020 to denounce President Donald Trump's false claims of voter fraud. (Photo: Adam J. Dewey/NurPhoto via Getty Images)

Just days...



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Zero Hedge

Stocks Plunge After Pfizer Cuts Vaccine Rollout Target By Half Due To "Supply Chain Obstacles"

Courtesy of ZeroHedge

US stocks tumbled during the final hour of trading Thursday as Pfizer revealed that it expects to ship half the number of vaccines this year, raising new questions about the optimistic projections and expectations for the pace of vaccinations.

The company cited supply chain delays tied to the fact that the company has found raw materials in early production that did not meet its standards.

It still expects over 1bln doses rolled out in 2021

"Scaling up the raw material supply chain took longer than expected," a company spokeswoman said. "And it's important to highlight that the outcom...



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Chart School

Gold Chart Review

Courtesy of Read the Ticker

Gold swing trade is due, lets review some charts to see if it is a viable move.

The seasonal period of gold is now upon us, gold should advance for the next 3 months.

Gold Gann Angle Chart ...



Gold Channel Chart .. close up!



 

Gold Channel Chart
 


Changes in the world is the source of all market moves, to catch and ride the change we believe a combination of Gann Ang...



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Biotech/COVID-19

Rapid COVID-19 tests can be useful - but there are far too few to put a dent in the pandemic

 

Rapid COVID-19 tests can be useful – but there are far too few to put a dent in the pandemic

Rapid tests for COVID-19 are easy to administer and give fast results. AP Photo/Julio Cortez, File

Courtesy of Bonnie LaFleur, University of Arizona and Katherine Ellingson, University of Ari...



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Digital Currencies

Five Reasons Why Bitcoin is Going Up

 

Five Reasons Why Bitcoin is Going Up

Courtesy of 

Call it the “Respectability Rally”…

A few reasons for Bitcoin’s return to the record highs. It’s about $18,500 as of this writing, matching the previous highs from 2017’s original explosion.

Reason one: It’s going up because it’s going up. Don’t scoff, this is the reason most things in the markets happen and then the explanations are called for afterwards. I’m in financial television, I have literally watched this process occur in real-time. The more something moves in a given direction, the more peop...



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Mapping The Market

COVID-19 Forces More Than Half of Asset Management Firms to Accelerate Adoption of Digital Marketing Technology

By Jacob Wolinsky. Originally published at ValueWalk.

There is no doubt that the use of technology to support client engagement initiatives brings both opportunities and threats but this has been brought into sharp focus this year with the COVID-19 pandemic.

The crisis has brought to the fore the need for firms to enable flexibility in client engagement – the expectation that providers will communicate to clients on their terms, at their speed and frequency and on their preferred channels, is now a given. This is even more critical when clients are experiencing unparalleled anxiety from both market conditions and their own personal circumstances.

...

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The Technical Traders

Adaptive Fibonacci Price Modeling System Suggests Market Peak May Be Near

Courtesy of Technical Traders

Our Adaptive Fibonacci Price Modeling system is suggesting a moderate price peak may be already setting up in the NASDAQ while the Dow Jones, S&P500, and Transportation Index continue to rally beyond the projected Fibonacci Price Expansion Levels.  This indicates that capital may be shifting away from the already lofty Technology sector and into Basic Materials, Financials, Energy, Consumer Staples, Utilities, as well as other sectors.

This type of a structural market shift indicates a move away from speculation and towards Blue Chip returns. It suggests traders and investors are expecting the US consumer to come back strong (or at least hold up the market at...



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Lee's Free Thinking

Texas, Florida, Arizona, Georgia - The Branch COVIDIANS Are Still Burning Down the House

 

Texas, Florida, Arizona, Georgia – The Branch COVIDIANS Are Still Burning Down the House

Courtesy of Lee Adler, WallStreetExaminer 

The numbers of new cases in some of the hardest hit COVID19 states have started to plateau, or even decline, over the past few days. A few pundits have noted it and concluded that it was a hopeful sign. 

Is it real or is something else going on? Like a restriction in the numbers of tests, or simply the inability to test enough, or are some people simply giving up on getting tested? Because as we all know from our dear leader, the less testing, the less...



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Insider Scoop

Economic Data Scheduled For Friday

Courtesy of Benzinga

  • Data on nonfarm payrolls and unemployment rate for March will be released at 8:30 a.m. ET.
  • US Services Purchasing Managers' Index for March is scheduled for release at 9:45 a.m. ET.
  • The ISM's non-manufacturing index for March will be released at 10:00 a.m. ET.
  • The Baker Hughes North American rig count report for the latest week is scheduled for release at 1:00 p.m. ET.
...

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Feb. 26, 1pm EST

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Phil will discuss positions, COVID-19, market volatility -- the selloff -- and more! 

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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