Posts Tagged ‘LSI’

Traders Hop Into BNNY Puts after Frozen Pizza Recall Sends Shares Lower

 

Today’s tickers: BNNY, LSI & RFMD

BNNY - Annie’s, Inc. – Organic and natural food products provider, Annie’s, is taking it on the chin today after the company voluntarily recalled Annie’s Homegrown Frozen Pizza. The recall, initiated as a precautionary measure “due to the possible presence of fragments of flexible metal mesh caused by a faulty screen at a third-party flour mill”, according to a press release issued yesterday, spooked investors and sent shares in the name down nearly 14% after-hours to as low as $33.20. BNNY shares are currently off their lowest levelsbut remain firmly in negative territory, down 5.4% on the session to stand at $36.40 as of 11:10 a.m. ET on Wednesday morning. Options traders bracing for shares in Annie’s to potentially weaken further in the near term snapped up bearish puts on the stock. The Feb. $35 strike puts are the most actively traded contracts, with volume approaching 480 lots versus previously existing open interest of 32 contracts. Time and sales data indicates most of the puts were purchased for an average premium of $1.00 apiece. Put buyers may profit at February expiration in the event that BNNY shares decline 6.6% from the current price of $36.40 to breach the breakeven point on the downside at $34.00. The company is scheduled to report third-quarter earnings next week.

LSI - LSI Corp. – Upside call options on the maker of semiconductors and software are active this morning ahead of the company’s fourth-quarter earnings report after the closing bell. Shares in LSI Corp. are up 0.40% on the day at $7.33 as of 11:30 a.m. ET. The bulk of the volume in LSI options changed hands at the Feb. $7.0 strike, where upwards of 3,300 in-the-money calls traded against open interest of 1,512 contracts. It looks like most of the calls were purchased during the first few minutes of the trading session at an average premium of $0.60 apiece. Call buyers stand ready to profit at expiration should the price of the underlying climb 2.6% to top the average breakeven price of $7.60. The…
continue reading


Tags: , ,




Big Prints In Deutsche Bank Put Options

 

Today’s tickers: DB, ATHN & LSI

DB - Deutsche Bank AG – Heavy trading traffic in Deutsche Bank put options this morning, one week before the investment banking firm is scheduled to report fourth-quarter earnings, may mean some traders are bracing for a pullback. Shares in DB are currently up 0.40% to stand at $43.80 as of 12:40 p.m. in New York. The single-largest put trade on the stock today was the purchase of 9,500 puts at the April $40 strike for a premium of $2.45 each. Though the put options were not marked as a spread against stock, it is possible the put buyer seeks to protect the value of shares already in his or her portfolio. Alternatively, the investor may be taking an outright bearish stance on DB over the next three months. In the latter scenario, the trader may profit if Deutsche Bank’s shares plunge 14.3% to breach the effective breakeven point at $37.55 at April expiration. Meanwhile, the purchase of a 2,000-lot Mar. $35/$45 put spread at a net premium of $2.75 per contract yields profits – or downside protection – to its owner in the event of a 3.5% decline below the breakeven share price of $42.25. Traders populating DB options are overwhelmingly favoring puts over calls ahead of earnings, with today’s put-call ratio hovering just below 15.0 and overall put-call interest greater than 1.4.

ATHN - athenahealth, Inc. – One cautiously optimistic investor appears to have purchased a sizable position in athenahealth put options this morning in order to hedge a long position in the stock. Shares in the provider of cloud-based business services for physician practices rose 1.05% to $57.91 this afternoon, extending gains realized earlier in the week on the heels of a new…
continue reading


Tags: , ,




Mixed Trading in Career Education Corp. Options

Today’s tickers: CECO, ROST, LSI, ADBE, AVNR, PNC & ODP

CECO – Career Education Corp. – Shares of the for-profit provider of education geared toward career-oriented disciplines rallied as much as 10.9% during the session to secure an intraday high of $23.00 on analyst reports stating the industry is likely to rebound as bearish investors close out short positions. Options traders employed a mix of bullish and bearish strategies on the stock ahead of the release of the Education Department’s timeline for regulations on for-profit education industry firms tomorrow. One cautious investor prepared for CECO’s shares to falter ahead of October expiration by purchasing a ratio put spread. The options trader picked up 500 puts at the October $22 strike at a premium of $1.15 each, and sold 1,000 puts at the lower October $19 strike at a premium of $0.20 apiece. The net cost of the transaction amounts to $0.75 per contract. The investor is poised to profits should Career Education’s shares fall 7.6% from today’s high of $23.00 to breach the effective breakeven price of $21.25 by expiration day next month. Maximum potential profits of $2.25 are available to the trader if CECO shares plummet 17.4% to settle at $19.00 at expiration. In contrast, bullish players looking for a near-term rally picked up roughly 3,200 calls at the October $23 strike for an average premium of $1.02 each. Investors make money if shares gain 4.4% to surpass the average breakeven point at $24.02 by October expiration. The most optimistic traders purchased approximately 1,000 calls at the October $25 strike for an average premium of $0.43 a-pop. Call buyers at this strike stand ready to profit should shares surge 10.55% and exceed the average breakeven price of $25.43. Options implied volatility on stock is up sharply ahead of the Education Dept. announcement, and currently stands 11.6% higher on the day at 61.28%, as of 3:40 pm ET.

ROST – Ross Stores, Inc. – Shares of the operator of off-price retail apparel and home accessories stores increased as much as 2.3% during the trading session to secure an intraday high of $56.12. Ross Stores appeared on our scanners due to near-term activity in call options. It looks like the majority of trading in October contract calls is the work of one investor booking profits and rolling a previously purchased chunk of calls to a higher strike price. The investor likely…
continue reading


Tags: , , , , , ,




Whirlpool Call Buyers in a Spin Over New Chinese Factory

Today’s tickers: WHR, MRK, EBAY, RHI, XLP, MOS, GE, LSI & MGM

WHR – The manufacturer of appliances and products for home use experienced a 7% surge in shares to $53.34 after announcing yesterday that it has opened a new factory in China with another appliance company known as Hisense-Kelon Electrical Holdings. Option traders were seen buying bullish call options at the July 55 strike price where 2,800 lots were scooped up for 28 cents each. One investor was seen locking into gains by purchasing a put spread in the August contract. The August 50 strike price had 2,200 puts bought for 2.61 apiece spread against the sale of 2,200 puts at the lower August 44 strike for a premium of 86 cents. The net cost of the spread amounts to 1.75 and yields maximum potential profits of 4.25 if shares of WHR recede to $44.00 by expiration next month. Finally, additional bullishness was observed as high as the August 60 strike price where traders bought 1,200 calls for an average premium of 1.37 per contract. Option implied volatility on Whirlpool has been steadily rising over the past two days, opening at about 53% on Wednesday and increasing to the current reading of 60%. – Whirlpool Corp.

MRK– The pharmaceutical company appeared on our ‘hot by options volume’ market scanner this afternoon after a ratio put spread was implemented in the October contract. The investor responsible for the transaction appears to be positioning for continued downward movement in the stock. Shares are currently lower by less than 0.5% to $27.69. The ratio spread involved the purchase of 5,715 in-the-money puts at the October 29 strike price for a premium of 2.70 each against the sale of 11,440 puts at the lower October 26 strike for 1.20 per contract. By selling twice as many puts, the investor reduced the cost of the transaction to just 30 cents. Thus, he will attain the maximum profits available of 2.70 if the stock declines to $26.00 by expiration. – Merck & Co., Inc.

EBAY – Shares of the online marketplace have enjoyed a rally of more than 4% today to arrive at the current price of $18.61. Investors who are hoping for continued upward movement in the price of the underlying were seen positioning themselves in the August contract. Approximately 6,500 call options were coveted at the August 20 strike price
continue reading


Tags: , , , , , , , ,




 
 
 

Zero Hedge

China's Gold Reserves Jump For 7th Month As Consumption, Production Slump

Courtesy of ZeroHedge View original post here.

A new report from the China Gold Association, first examined by China Daily, said gold consumption in China reached 523.54 metric tons in 1H19, down 3.27% YoY, due mostly to offlining of production facilities, the demise of zombie company producers, and readjusting the industrial structure to a period of lower demand.

...



more from Tyler

Phil's Favorites

THIS IS A KEY WEEK FOR US MARKETS, GOLD, AND OIL

Courtesy of Technical Traders

Chris Vermeulen, Founder of The Technical Traders shares his thoughts on why this week is important for the US markets, gold, and oil. All of these are near strong support or resistance levels where if a break happens could result in an extended run. We breakdown the scenario for each market and level that are most important.

I can tell you that huge moves are starting to folding not only in real estate, but metals, stocks, and currencies. Some of these supercycles are going to last years. Brad Matheny goes into great detail with his simple to underst...



more from Ilene

The Technical Traders

THIS IS A KEY WEEK FOR US MARKETS, GOLD, AND OIL

Courtesy of Technical Traders

Chris Vermeulen, Founder of The Technical Traders shares his thoughts on why this week is important for the US markets, gold, and oil. All of these are near strong support or resistance levels where if a break happens could result in an extended run. We breakdown the scenario for each market and level that are most important.

I can tell you that huge moves are starting to folding not only in real estate, but metals, stocks, and currencies. Some of these supercycles are going to last years. Brad Matheny goes into great detail with his simple to underst...



more from Tech. Traders

Kimble Charting Solutions

Gold Is Knocking On Key Breakout Level

Courtesy of Chris Kimble

In 2013, Gold broke below its 23 percent Fibonacci retracement level and a bearish trend change took place at (1).

This was the beginning of a bigger decline that saw gold fall another 450 dollars.

Nearly six years later, Gold returns to this “breakdown” level in hopes of making it a new “breakout” level at (2).

If Gold can breakout at (2) it will send a very bullish message to the market.

Stay tuned – gold bulls are knocking on heaven’s door!

If pattern opportunities in Gold, Silver, Copper and Miners is imp...



more from Kimble C.S.

Insider Scoop

Earnings Scheduled For August 21, 2019

Courtesy of Benzinga

Companies Reporting Before The Bell
  • Analog Devices, Inc. (NASDAQ: ADI) is estimated to report quarterly earnings at $1.22 per share on revenue of $1.45 billion.
  • Lowe's Companies, Inc. (NYSE: LOW) is expected to report quarterly earnings at $2 per share on revenue of $20.94 billion.
  • Target Corporation (NYS...


http://www.insidercow.com/ more from Insider

Lee's Free Thinking

Watch Out Bears! Fed POMO Is Back!

Courtesy of Lee Adler

That’s right. The Fed is doing POMO again.  POMO means Permanent Open Market Operations. It’s a fancy way of saying that the Fed is buying Treasuries, pumping money into the financial markets.

Over the past 6 days, the Fed has bought $8.6 billion in T-bills and coupons. These are the first regular Fed POMO Treasury operations since the Fed ended outright QE in 2014.

Who is the Fed buying those Treasuries from?

The Primary Dealers. Who are the Primary Dealers?  I’ll let the New York Fed tell you:

Primary dealers are trading counterparties of the New York Fed in its implementation of monetary policy. They are also expected to make markets for the New York Fed on behalf of its official accountholders as needed, and to bid on a ...



more from Lee

Chart School

Bitcoin 2019 fractal with Gold 2013

Courtesy of Read the Ticker

Funny how price action patterns repeat, double tops, head and shoulders. These are simply market fractals of supply and demand.

More from RTT Tv

Ref: US Crypto Holders Only Have a Few Days to Reply to the IRS 6173 Letter

Today's news from the US IRS has been blamed for the recent price slump, yet the bitcoin fractal like the gold fractal suggest the market players have set bitcoin up for a slump to $9000 USD long before the IRS news hit the wire.

Get the impression some market players missed out on the b...

more from Chart School

Digital Currencies

New Zealand Becomes 1st Country To Legalize Payment Of Salaries In Crypto

Courtesy of ZeroHedge View original post here.

Bitcoin and other cryptocurrencies have been on a persistent upswing this year, but they're still pretty volatile. But during a time when even some of the most developed economies in the word are watching their currencies bounce around like the Argentine peso (just take a look at a six-month chart for GBPUSD), New Zealand has decided to take the plunge and become the first country to legalize payment in bitcoin, the FT reports.

The ruling by New Zealand’s tax authority allows salaries and wages to b...



more from Bitcoin

Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

...

more from M.T.M.

Biotech

DNA testing companies offer telomere testing - but what does it tell you about aging and disease risk?

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

 

DNA testing companies offer telomere testing – but what does it tell you about aging and disease risk?

A telomere age test kit from Telomere Diagnostics Inc. and saliva. collection kit from 23andMe. Anna Hoychuk/Shutterstock.com

Courtesy of Patricia Opresko, University of Pittsburgh and Elise Fouquerel, ...



more from Biotech

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...



more from Our Members

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

...

more from Promotions





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...

Learn more About Phil >>


As Seen On:




About Ilene:

Ilene is editor and affiliate program coordinator for PSW. She manages the site market shadows, archives, more. Contact Ilene to learn about our affiliate and content sharing programs.

Market Shadows >>