Posts Tagged ‘ATML’

Gold Bugs And Bears Butt Heads In Options-Land

Today’s tickers: EGO, ATML, C & XHB

EGO - Eldorado Gold Corp. – Mixed opinion on the direction shares in Eldorado Gold Corp. are likely to take during the two weeks remaining before September contracts expire prevails this morning as buyers of calls and puts in the front month took their marks. Canadian stocks slumped along with U.S. equities on global growth concerns and fears over the European debt crisis, but all that glitters today is gold and those that mine for the precious metal, as shares in Vancouver-based Eldorado rallied 6.1% to a record-high of $22.12 earlier in the session. The October 2011 gold futures started the day in distinctly positive territory, but are roughly flat in early-afternoon trade to stand at $1,875 per ounce as of 12:30 pm in New York.

Options activity in the front month suggests there are some strategists expecting Eldorado’s shares to hit new highs by the time September contract calls expire, while out-of-the-money put purchases indicate other players are building up bearish positions should the stock lose its footing in the next eight trading sessions. Bullish traders snapped up 2,000 calls at the September $23 strike for an average premium of $0.29 apiece, against previously existing open interest of just 213 contracts. Call buyers profit if EGO’s shares inflate 5.3% to exceed the average breakeven price of $23.29 by expiration day. Meanwhile, put players targeted the September $20 strike, where some 3,900 contracts changed hands against open interest of 221 contracts. It looks like around 3,000 of the put options were purchased for an average premium of $0.20 each. Buyers of the puts may be taking an outright bearish stance on the stock, or hedging long exposure in the name with the options. Investors holding the contracts make money if EGO’s shares…
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First-Mover Advantage Big for NYX Call Buyers Acting Before Trading Suspended

Today’s tickers: NYX, ATML, JCP & SWY

NYX - NYSE Euronext Inc. – Investors observed buying up call options on the global group of exchanges before trading in the name was halted this morning, are sitting pretty this afternoon with NYX shares trading up as much as 19.7% at a new 2-year high of $39.99. Reports that NYSE Euronext and Deutsche Boerse AG were in advanced talks to merge, lifted NYX shares before trading was suspended earlier in the session. Early-birds speculating that the rally was just getting started scooped up some 830 calls at the February $35 strike for an average premium of $0.56 each. These calls now tout an asking price of $3.65 apiece, an increase in value of around 550%. Other bulls picked up more than 2,600 calls at the higher February $36 strike for an average premium of $0.26 per contract this morning. The now deep in-the-money call options now cost $2.36 each, which is 808% more than first-movers paid earlier today. Investors who purchased the calls could potentially walk away with huge profits by selling the contracts in the span of just a few hours. Trading in NYX call options picked up significantly once trading in the name resumed. News of the merger-talks and rising demand for NYX options fueled a more than 53.1% rise in options implied volatility on the stock to 37.48% by 12:35pm in New York.

ATML - Atmel Corp. – The semiconductor manufacturer popped up on our scanners this morning after one trader reeled in profits on the sale of large block of call options that were originally purchased during the first week of trading in 2011. The same strategist extended and augmented bullish sentiment on Atmel Corp. by picking up calls in the May contract. Shares in Atmel are currently up…
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Bullish Strategies Abound as Market Posts Gains

 Today’s tickers: IPG, UPS, ATML, CBS, CHL, CAVM, ROST & WL

IPG - Interpublic Group Companies, Inc. – Long-term bullish trading in Interpublic Group LEAPs indicates one strategist is preparing for the price of the underlying stock to climb substantially higher by expiration day in January 2012. Shares of the advertising and marketing services firm rose 4.80% to $10.46 by 2:50 pm ET. The options strategist appears to have enacted a delta neutral transaction, buying 210,000 shares of the underlying stock at $10.40 each, spread against the sale of 5,000 calls at the January 2012 $12.5 strike for an average premium of $0.975 apiece on a 0.42 delta. The sale of the calls can be considered a financing mechanism as well as a potential exit strategy on the long position in shares. The investor could wind up having the shares called from him at $12.50 each in the event that at expiration IPG’s shares exceed $12.50. In this case, the trader would realize gains of 32.625% on the rally in shares from the reduced purchase price of $9.425 a share up to $12.50 a share. Interpublic’s overall reading of options implied volatility is down 3.4% at 40.65% one hour before the final bell. The marketing services provider announces its third-quarter results before the market opens on October 29, 2010.

UPS - United Parcel Service, Inc. – A sizeable near-term bullish transaction involving 23,000 call options and a large chunk of UPS shares caught our eye today. Shares of the world’s largest package delivery company, which announced Friday it plans to raise the non-contractual UPS Freight rate by 5.9% starting October 18, are currently up 3.20% to stand at $68.25 as of 2:30 pm ET. It looks like the investor responsible for the transaction established a covered call on the stock to position for the price of the underlying shares to continue higher ahead of October expiration. The trader purchased approximately 322,000 shares at $67.57 each and sold 23,000 calls at a premium of $0.19 apiece on…
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Zero Hedge

Rabobank: "The Key Reason We Are In This Mess Is Due To Volcker"

Courtesy of ZeroHedge View original post here.

Submitted by Michael Every of Rabobank

Tall Tales

Markets were relatively quiet Monday, with key bond yields drifting lower to reverse Friday’s payrolls-induced spike, and the USD likewise reversing some its gain. Even equities ended slightly lower.

Perhaps the most eye-catching news was the sad death of former Fed Chair Paul Volcker. Besides his post-2008 regulatory ‘Volcker Rule’ being infamous to those working in markets, “Tall Paul” is being eulogised as the man “who broke the back of US inflation in the 1980s&rdquo...



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Phil's Favorites

In its anti-'Medicare for All' push, the health insurance industry pulls from an old playbook

 

In its anti-'Medicare for All' push, the health insurance industry pulls from an old playbook

If you’re strangled by health care costs, are you really ‘free’? jwblinn/Shutterstock.com

Courtesy of Burton St. John III, University of Colorado Boulder

As a debate continues to rage within the Democratic Party over “Medicare for All,” the health care industry has quietly girded itself to fight the elimination of for-profit health care.

In the summer of 2018, trade groups rep...



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Insider Scoop

5 Stocks Moving In Tuesday's After-Hours Session

Courtesy of Benzinga

Gainers
  • Ollie’s Bargain Outlet Holdings Inc (NASDAQ: OLLI) shares are up 11% after reporting a third-quarter earnings beat. Earnings came in at 41 cents per share, beating estimates by 3 cents. Sales came in at $327.049 million, beating estimates by $4.549 million.
  • Dave & Buster’s Entertainment Inc (NASDAQ: ...


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Kimble Charting Solutions

Are Bank Stocks Sending Bullish Message To Investors?

Courtesy of Chris Kimble

Just as the health of the banking sector is a big deal to the economy, it’s equally important to the S&P 500 (SPY) and broader stock market.

Although the bull market has grinding higher, it’s awaiting confirmation from the banks and banks stocks.

Today’s chart is of the S&P 500 Bank ETF (KBE) and shows how the banks are at an important juncture in time and price.

KBE (the bank ETF) is testing the upper end of a falling channel, offering bulls an opportunity for a breakout – see point (2).

The banks were at a similar juncture nearl...



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Digital Currencies

The Road To Retirement: Millennials Put Their Faith In Bitcoin But Goldman Says Go With Gold

Courtesy of ZeroHedge View original post here.

"Drop Gold" - the ever-present tagline of Grayscale's Bitcoin Trust TV commercial - appears to be working its magic on a certain cohort of society.

2019 has seen assets under management in GBTC soar...

Source: Bloomberg

And for Millennials, according to the lates...



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Lee's Free Thinking

Chart Shows the Fed Ramping Up Not QE - Funding Almost All Treasury Issuance

 

Chart Shows the Fed Ramping Up Not QE – Funding Almost All Treasury Issuance

Courtesy of Lee Adler, Wall Street Examiner 

The Fed is ramping up “Not QE” .

The Fed bought $2.2 billion in notes today in its POMO, “not QE,” operations. Actually $2.15 billion because they sold back a whole $50 million. Must have been a little glitch in the force.

This brings the Fed’s total outright purchases of Treasuries to $170 billion since it started Not QE, on September 17.

It also did $107 billion in gross new repo loans to Primary Dealers to buy Tre...



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Chart School

Silver stock taking the sector higher

Courtesy of Read the Ticker

As the US economy begins to show late cycle characteristics like: GDP slowing, higher inflation, higher wage costs, CEO confidence slump. 

Previous Post: Gold Stocks Review

The big players in the market are looking for the next swing off good value lows. This means more money is finding it way into the gold and silver sector, and it is said gold and silver stocks actually lead the metal prices.

The cycle below shows prices are ready to move in the months ahead (older chart re posted).


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Members' Corner

Sacha Baron Cohen Uses ADL Speech to Tear Apart Mark Zuckerberg and Facebook

 

Sacha Baron Cohen Uses ADL Speech to Tear Apart Mark Zuckerberg and Facebook

By Matt Wilstein

Excerpt:

Sacha Baron Cohen accepted the International Leadership Award at the Anti-Defamation League’s Never is Now summit on anti-Semitism and hate Thursday. And the comedian and actor used his keynote speech to single out the one Jewish-American who he believes is doing the most to facilitate “hate and violence” in America: Facebook founder and CEO Mark Zuckerberg.

He began with a joke at the Trump administration’s expense. “Thank you, ADL, for this recognition and your work in fighting racism, hate and bigotry,” Baron Cohen said, according to his prepared...



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The Technical Traders

VIX Warns Of Imminent Market Correction

Courtesy of Technical Traders

The VIX is warning that a market peak may be setting up in the global markets and that investors should be cautious of the extremely low price in the VIX. These extremely low prices in the VIX are typically followed by some type of increased volatility in the markets.

The US Federal Reserve continues to push an easy money policy and has recently begun acquiring more dept allowing a deeper move towards a Quantitative Easing stance. This move, along with investor confidence in the US markets, has prompted early warning signs that the market has reached near extreme levels/peaks. 

Vix Value Drops Before Monthly Expiration

When the VIX falls to levels below 12~13, this typically v...



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Biotech

Why telling people with diabetes to use Walmart insulin can be dangerous advice

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

 

Why telling people with diabetes to use Walmart insulin can be dangerous advice

A vial of insulin. Prices for the drug, crucial for those with diabetes, have soared in recent years. Oleksandr Nagaiets/Shutterstock.com

Courtesy of Jeffrey Bennett, Vanderbilt University

About 7.4 million people ...



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Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

...

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Promotions

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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.

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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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