Posts Tagged ‘FBP’

Bullish Bedlam on UnitedHealth in Late-Day Trading

Today’s tickers: UNH, F, EZCH, FBP, XOP, F, BMY, KFT, UNT, TIVO, ADBE & AMED

UNH – UnitedHealth Group, Inc. – Bullish investors stampeded the health and well-being company in late afternoon trading with shares up 3% to a new 52-week high of $32.25. Frenzied call activity on the stock drove option implied volatility up sharply by 19.5% to 45.17% from an intraday low of 37.37%. One investor was ready for the rally today, and banked profits on a previously established call position. The trader likely purchased about 20,000 calls at the now deep in-the-money December 23 strike price for a maximum premium of 3.00 per contract back on October 8, 2009, when UNH shares were at $24.13. Today the trader sold the calls for an average premium of 8.95 each. It looks like the investor took in net profits on the sale of at least 5.95 per contract for a total of $11.9 million. Next, it appears the trader extended bullish sentiment on the stock by establishing a larger call position. A big chunk of 30,000 calls were picked up at the now in-the-money January 31 strike for an average premium of 2.20 each. Thus, the trader breaks even on the new position if shares surpass $33.20 by expiration next month. Other bullish traders initiated call spreads on the stock. One UNH-bull bought 5,000 calls at the in-the-money January 31 strike for about 2.12 apiece, and sold the same number of calls at the higher January 34 strike for 70 cents premium each. The net cost of the spread amounts to 1.42 per contract and yields maximum potential profits of 1.58 apiece if shares rally up to $34.00 by January’s expiration day.

F – Ford Motor Co. – A late afternoon, large-volume put spread on the U.S. automaker is likely the work of an investor locking in gains enjoyed during Ford’s recent share price rally. Shares reached a new 52-week high of $9.64 during the trading session. The option trader looked to the March 2010 contract to purchase 18,000 puts at the March 9.0 strike for 62 cents apiece, spread against the sale of the same number of puts at the lower March 7.0 strike for 16 cents premium each. The net cost of the protective play amounts to 46 cents per contract. If the investor is indeed holding a long position in the underlying, the value of that…
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Phil's Favorites

Jamal Khashoggi: Casualty of the Trump administration's disregard for democracy and civil rights in the Middle East?

  Jamal Khashoggi: Casualty of the Trump administration’s disregard for democracy and civil rights in the Middle East?

Courtesy of David Mednicoff, University of Massachusetts Amherst

The international crisis over whether top Saudi Arabian leadership murdered U.S.-based Saudi journalist Jamal Khashoggi is a striking example of the consequences of Donald Trump’s blanket disregard for democratic politics and human rights in other countries. This departure from decades of American foreign policy rhetoric remains comparatively undiscussed.

However, in the Middle East, my area of e...



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Zero Hedge

Kolanovic: Systematic Flows Explained Market Moves This Week - Here's What They Will Do Today

Courtesy of ZeroHedge. View original post here.

Last Friday morning, just as markets were set for a powerful bounce after the biggest two-day drop since February, JPM's head quant Marko Kolanovic predicted that the recent selling pressure, which had come from option gamma hedging, was ending and noted that since "equity indices already experienced comparable declines to February (and e.g. Russell 2000 even a bigger drawdown), we think that the cur...



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Kimble Charting Solutions

This commodity is breaking above resistance and moving averages, says Joe Friday

Courtesy of Chris Kimble.

CLICK ON CHART TO ENLARGE

At the beginning of the month, the Power of the Pattern shared that Coffee was testing long-term support, as it was at the apex of a bullish falling wedge, with momentum deeply oversold and commercial hedgers were betting big time it would rally. See Post Here

In the past when this setup was in play, Coffee rallied more than 50% in a short time period at each (1). Since that post, Coffee has been one of the best-performing commodities on the plan...



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Digital Currencies

Blockchains won't fix internet voting security - and could make it worse

 

Blockchains won't fix internet voting security – and could make it worse

An e-ballot is less secure than one on paper. SvetaZi/Shutterstock.com

Courtesy of Ari Juels, Cornell University; Ittay Eyal, Technion - Israel Institute of Technology, and Oded Naor, ...



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Insider Scoop

10 Stocks To Watch For October 18, 2018

Courtesy of Benzinga.

Some of the stocks that may grab investor focus today are:

  • Wall Street expects Philip Morris International Inc. (NYSE: PM) to report quarterly earnings at $1.27 per share on revenue of $7.15 billion before the opening bell. Philip Morris shares fell 0.07 percent to $84.50 in after-hours trading.
  • Analysts expect PayPal Holdings, Inc. (NASDAQ: ...


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Chart School

Weekly Market Recap Oct 14, 2018

Courtesy of Blain.

Wednesday and Thursday finally brought some fireworks to a very complacent market.   The S&P 500 had not had a 1% move in 74 days until Wednesday’s drawdown.

Rising yields were nailed as the culprit but months of rallying eventually require some sort of shake out – whatever the catalyst.  Wednesday’s sell off was the worst day for the S&P 500 since February and the worst for the NASDAQ since June 2016.

The market losses are “a reaction from investors finally realizing we are in a higher interest-rate environment, and given the elevated level of stocks, market participants were likely looking for a reason to sell,” said Charlie Ripley, senior investment strategist for Allianz Investment Management. “Higher interest rates typically bring on tighter ...



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ValueWalk

Vilas Fund Up 55% In Q3; 3Q18 Letter: A Bull Market In Bearish Forecasts

By Jacob Wolinsky. Originally published at ValueWalk.

The Vilas Fund, LP letter for the third quarter ended September 30, 2018; titled, “A Bull Market in Bearish Forecasts.”

Ever since the financial crisis, there has been a huge fascination with predictions of the next “big crash” right around the next corner. Whether it is Greece, Italy, Chinese debt, the “overvalued” stock market, the Shiller Ratio, Puerto Rico, underfunded pensions in Illinois and New Jersey, the Fed (both for QE a few years ago and now for removing QE), rising interest rates, Federal budget deficits, peaking profit margins, etc...



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Members' Corner

Why obvious lies still make good propaganda

 

This is very good; it's about "firehosing", a type of propaganda, and how it works.

Why obvious lies still make good propaganda

A 2016 report described Russian propaganda as:
• high in volume
• rapid, continuous and repetitive
• having no commitment to objective reality
• lacking consistency

...

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Biotech

Gene-editing technique CRISPR identifies dangerous breast cancer mutations

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

 

Gene-editing technique CRISPR identifies dangerous breast cancer mutations

Breast cancer type 1 (BRCA1) is a human tumor suppressor gene, found in all humans. Its protein, also called by the synonym BRCA1, is responsible for repairing DNA. ibreakstock/Shutterstock.com

By Jay Shendure, University of Washington; Greg Findlay, ...



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Mapping The Market

Mistakes were Made. (And, Yes, by Me.)

Via Jean-Luc:

Famed investor reflecting on his mistakes:

Mistakes were Made. (And, Yes, by Me.)

One that stands out for me:

Instead of focusing on how value factors in general did in identifying attractive stocks, I rushed to proclaim price-to-sales the winner. That was, until it wasn’t. I guess there’s a reason for the proclamation “The king is dead, long live the king” when a monarchy changes hands. As we continued to update the book, price-to-sales was no longer the “best” single value factor, replaced by others, depending upon the time frames examined. I had also become a lot more sophisticated in my analysis—thanks to criticism of my earlier work—and realized that everything, including factors, moves in and out of favor, depending upon the market environment. I also realized...



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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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All About Trends

Mid-Day Update

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

Click here for the full report.




To learn more, sign up for David's free newsletter and receive the free report from All About Trends - "How To Outperform 90% Of Wall Street With Just $500 A Week." Tell David PSW sent you. - Ilene...

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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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