Posts Tagged ‘ARUN’

Bearish Options Active On Gold Miners ETF

 

Today’s tickers: GDX, PCRX & ARUN

GDX - Market Vectors Gold Miners Index ETF – Big prints in GDX put options on Tuesday morning indicate some traders are positioning for shares in the Market Vectors Gold Miners Index ETF to potentially drop to the lowest level since December of 2008. Shares in the ETF are off 3.0% today at $28.85 as of midday in New York. Volume in GDX options is heaviest in the Jun $27 strike puts where nearly 40,000 puts have traded versus open interest of 16,819 contracts. It looks like the bulk of the volume was purchased for an average premium of $0.89 per contract. Put buyers stand ready to profit at June expiration should the price of the underlying plunge 9.5% from the current level to trade below the average breakeven price of $26.11 by expiration. Sizable prints in the Jun $27 puts helped push the put/call ratio on GDX above 4.4 during the first half of the session.

PCRX - Pacira Pharmaceuticals, Inc. – Shares in specialty pharmaceutical company, Pacira Pharmaceuticals, Inc., are bouncing around on Tuesday, rising as much as 2.0% in the early going, before reversing gains to trade down 2.0% at $27.84 by 12:25 p.m. ET. The company reports first-quarter earnings ahead of the opening bell tomorrow. Options changing hands on Pacira this morning suggest one trader is positioning for PCRX shares to approach record highs in the near term. It looks like more than 1,000 of the May $30 strike calls were purchased for an average premium of $0.90 each. The bullish strategy makes money if shares in the pharmaceutical company rally 11% over the current price of $27.84 to top the average breakeven price of $30.90 by expiration next week. Shares in PCRX are up more than 180% since this time last year.

ARUN - Aruba Networks, Inc. – The provider of network access solutions for mobile enterprise networks released preliminary…
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Bullish Bets On The Rise In Las Vegas Sands Options

 

Today’s tickers: LVS, ARUN & PLCE

LVS - Las Vegas Sands, Inc. – U.S. stocks rebounded this morning on better-than-expected earnings from Hewlett-Packard and AIG released Thursday, and following market-soothing comments from St. Louis Fed Chief, James Bullard, to CNBC’s Squawk Box on Friday morning. Shares in casino resort operator, Las Vegas Sands, joined in on the end-of-week rally, rising as much as 2.5% in the early going to touch $50.32. Heavy trading traffic in May expiry call options this morning suggests some traders are positioning for shares in the name to extend gains during the next few months. The May $52.5 strike calls are seeing the most volume, with more than 21,000 contracts in play versus open interest of 282 contracts as of 11:45 a.m. ET. It looks like most of the calls were purchased for an average premium of $2.04 each. Fresh interest is also building in the May $50 strike calls where roughly 4,700 contracts appear to have been purchased for an average premium of $3.10 apiece. Traders long the May $50 and $52.5 strike calls may profit at expiration should shares in LVS rally approximately 6.0% and 9.0% to exceed average breakeven points at $53.10 and $54.54, respectively. Finally, one or more bullish traders appear to be buying the May $50/$60 call spread for an average net premium of $2.65 per contract. The bull call spread pays off if shares in Las Vegas Sands top the breakeven price of $52.65 by May expiration, with maximum potential profits of $7.35 per contract available if the stock jumps to a record high of $60.00.

ARUN - Aruba Networks, Inc. – Shares in Aruba Networks jumped nearly 30% on Friday morning to a new 52-week high of $26.78 after the provider of enterprise mobility solutions reported better-than-expected second-quarter earnings and sales, and forecast third-quarter revenue above analyst estimates. A sizable bullish bet initiated on Aruba ahead of the company’s earnings release is paying off for one trader today, as shares sit at their highest level since July…
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Call Buying Detected Even As Express Shares Plummet

 

Today’s tickers: EXPR, ARO & ARUN

EXPR - Express, Inc. – Specialty retailer Express, Inc.’s shares are getting hammered today, down more than 20% at $11.90 as of 11:10 a.m. in New York, after the company lowered its third-quarter earnings forecast and said same-store sales will decline in the mid-single digit range. Express, Inc. shares, publicly traded since the company’s May 2010 IPO, have not yet managed to catch a bid in today’s session as the stock continues to hit fresh record lows. Options traders betting shares in the name will rebound by the start of the new calendar year snapped up January 2013 expiry call options this morning. Contrarian bets are heaviest at the Jan. 2013 $15 strike where approximately 975 calls were purchased at a premium of $0.45 apiece. Call buyers may profit at expiration next year in the event that EXPR shares jump 30% over the current price of $11.90 to top the effective breakeven point at $15.45. Getting long the Jan. 2013 $15 call has been painful for one or more options traders who appear to have purchased at least 550 of the contracts back on September 4th for a premium of $2.20 per contract. The value of the call options has collapsed in the four weeks since then, down nearly 90% so far to the current asking price of $0.30 apiece.

ARO - Aeropostale, Inc.– Shares in teen retailer, Aeropostale, Inc., are moving lower this morning, perhaps in sympathy with Express, Inc., after the specialty retailer cut its third quarter profit forecast. ARO shares are currently down 2.3% at $13.05 as of 11:00 a.m. ET, and it looks like some options traders are positioning for the price of the underlying to extend losses in the near term. Trading traffic in Aeropostale options is heaviest in the Oct. $13 strike put where more than 8,000 contracts have changed hands versus open interest of 1,239 positions. It looks like most of the…
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Emerging Markets ETF Options Fly

Today’s tickers: EEM, GG, ARUN & XLI

EEM - iShares MSCI Emerging Markets Index ETF – Options volume on the EEM has topped 525,000 contracts in the first two hours of the trading session after one big emerging-markets bull banked substantial profits on a previously established position, and extended his optimistic view on the fund through May expiration. Shares in the EEM are down one penny on the session to stand at $49.86 as of 11:15am in New York. It looks like the strategist accumulated upside exposure on the ETF during the month of March, buying a 100,000-lot April $50/$52 call spread for an average premium of $0.20 per contract on March 8th and 9th, when shares in the fund were hovering around $43.89. The subsequent 13.5% rise in the price of the underlying since the transaction was initiated lifted premium on the calls, allowing the options trader to sell the 100,000-lot call spread for $0.46 per contract this morning. The call-spreader pockets average net profits of $0.26 per contract, or around $2.6 million, on this leg of the transaction. Next, the EEM-optimist constructed a fresh debit call spread in the May contract, buying 100,000 calls at the May $51 strike at a premium of $0.80 each, and selling the same number of calls at the higher May $53 strike for a premium of $0.22 a-pop. Net premium paid to initiate the transaction amounts to $0.58 per contract. Thus, the trader is poised to profit in the event that shares in the EEM rally 3.4% over the current price of $49.86 to surpass the effective breakeven point— and a new 52-week high— of $51.58 by expiration day next month. Maximum potential profits of $1.42 per contract, or $14.2 million, are available to the investor should shares in the ETF surge 6.3% to trade above $53.00 by May expiration. Finally, the sale of two sizable chunks of in-the-money April contract call options generated big gains for another EEM-bull this morning. It looks like the…
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Phil's Favorites

The Worst Week Ever

 

The Worst Week Ever

Courtesy of 

It was a good run. In the five years leading up to the worst week ever, the NASDAQ Composite gained 445%, compounding at 40% a year. For some stocks it was even better. Cisco, Qualcomm and others made the index look like a snail.

But then, in just one week, it all came crashing down.

The daily returns for the NASDAQ Composite for the week ending in April 14th, 2000 were as follows:

  • Monday -5.8%
  • Tuesday -3.2%
  • Wednesday -7.1%
  • Thursday -2.5%
  • Friday -9.7%

In just five days, the index she...



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Zero Hedge

Key Events This Week: "Enough To Keep Investors On Their Toes"

Courtesy of ZeroHedge. View original post here.

Despite a slow start to the week, which sees most European markets closed on Monday, there should still be "enough to keep investors on their toes", according to Deutsche Bank's Craig Nicol. First and foremost, earnings season ramps up in the US with over 150 S&P 500 companies reporting including bellwether industrial and tech names in what is set to be the busiest earnings week this season, then Japan's Abe meets President Trump at the White House, UK parliament returns from recess and Russia's Putin meets China's Xi Jinping. We'll also have central bank decisions from the BoJ, Bo...



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Chart School

Weekly Market Recap Apr 21, 2019

Courtesy of Blain.

This past week was the definition of “consolidation” – a period of very little movement and volatility after a large move up to work off overbought conditions.  A slight gap up Tuesday was about it in terms of excitement for the week.  Bulls remain in full control.

We are in the midst of earnings season – it is not a great one but companies have lowered the bar enough that they will “beat”, everyone will clap and cheer, and we continue on.

The first-quarter earnings outlook has improved somewhat, according to CFRA, which said consensus estimates now call for a 2.3% fall in first-quarter operating earnings a share. That is up from the call for a 3% drop ahead of the kickoff of earnings season, but down from the 4.5% increase projected at the end of last year...



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Insider Scoop

Uber To Sell Minority Stake Of Its Autonomous Vehicle Unit To Japanese Consortium

Courtesy of Benzinga.

Uber Technologies is planning to sell a 14 percent stake in its autonomous vehicle unit to existing investor Softbank, Japanese automaker Toyota, and auto parts manufacturer Denso ahead of its much-anticipated initial public offering (IPO), which is expected to happen in May. Though...



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Digital Currencies

5 Cryptocurrency Tax Questions To Ask On April 15th

Courtesy of ZeroHedge. View original post here.

Authored by David Kemmerer via CoinTelegraph.com,

Depending on what country you live in, your cryptocurrency will be subject to different tax rules. The questions below address implications within the United States, but similar issues arise around the world. As always, check with a local tax professional to assess your own particular tax situation.

...



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Kimble Charting Solutions

Silver Bear Market Faces Big Price Support Test!

Courtesy of Chris Kimble.

When silver, gold, and the precious metals industry were red-hot bullish in the 2000’s, investors could do no wrong.

You could buy SILVER at just about any price and it would go higher.

In today’s chart, you can see three large green bullish ascending triangles from the 2000’s that lead to big gains. But that was the bull market before the current bear market.

The tables have turned since the 2011 price top. Silver quickly formed a bearish descending triangle and fell another 50 percent when that broke down. This sent a vicious bear mark...



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ValueWalk

More Examples Of "Typical Tesla "wise-guy scamminess"

By Jacob Wolinsky. Originally published at ValueWalk.

Stanphyl Capital’s letter to investors for the month of March 2019.

rawpixel / Pixabay

Friends and Fellow Investors:

For March 2019 the fund was up approximately 5.5% net of all fees and expenses. By way of comparison, the S&P 500 was up approximately 1.9% while the Russell 2000 was down approximately 2.1%. Year-to-date 2019 the fund is up approximately 12.8% while the S&P 500 is up approximately 13.6% and the ...



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Biotech

Marijuana is a lot more than just THC - a pharmacologist looks at the untapped healing compounds

Reminder: We are available to chat with Members, comments are found below each post.

 

Marijuana is a lot more than just THC - a pharmacologist looks at the untapped healing compounds

Assorted cannabis bud strains. Roxana Gonzalez/Shutterstock.com

Courtesy of James David Adams, University of Southern California

Medical marijuana is legal in 33 states as of November 2018. Yet the federal government still insists marijuana has no legal u...



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Members' Corner

Despacito - How to Make Money the Old-Fashioned Way - SLOWLY!

Are you ready to retire?  

For most people, the purpose of investing is to build up enough wealth to allow you to retire.  In general, that's usually enough money to reliably generate a year's worth of your average income, each year into your retirement so that that, plus you Social Security, should be enough to pay your bills without having to draw down on your principle.

Unfortunately, as the last decade has shown us, we can't count on bonds to pay us more than 3% and the average return from the stock market over the past 20 years has been erratic - to say the least - with 4 negative years (2000, 2001, 2002 and 2008) and 14 positives, though mostly in the 10% range on the positives.  A string of losses like we had from 2000-02 could easily wipe out a decades worth of gains.

Still, the stock market has been better over the last 10 (7%) an...



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Mapping The Market

It's Not Capitalism, it's Crony Capitalism

A good start from :

It's Not Capitalism, it's Crony Capitalism

Excerpt:

The threat to America is this: we have abandoned our core philosophy. Our first principle of this nation as a meritocracy, a free-market economy, where competition drives economic decision-making. In its place, we have allowed a malignancy to fester, a virulent pus-filled bastardized form of economics so corrosive in nature, so dangerously pestilent, that it presents an extinction-level threat to America – both the actual nation and the “idea” of America.

This all-encompassing mutant corruption saps men’s souls, crushes opportunities, and destroys economic mobility. Its a Smash & Grab system of ill-gotten re...



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OpTrader

Swing trading portfolio - week of September 11th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Promotions

Free eBook - "My Top Strategies for 2017"

 

 

Here's a free ebook for you to check out! 

Phil has a chapter in a newly-released eBook that we think you’ll enjoy.

In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

This chapter isn’t about risk or leverage. Phil present a few smart, practical ideas you can use as a hedge against inflation as well as hedging strategies designed to assist you in staying ahead of the markets.

Some other great content in this free eBook includes:

 

·       How 2017 Will Affect Oil, the US Dollar and the European Union

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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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