Posts Tagged ‘SA’

Options Activity Pops As Express Shares Tumble

 

Today’s tickers: EXPR, DV & SA

EXPR - Express, Inc. – Shares in apparel retailer, Express, Inc., dropped nearly 30.0% today to a new 52-week low of $16.38 after the company projected full-year earnings below those expected by analysts. Options on EXPR are far more active than usual today, with overall volume on the stock currently at 4,460 lots, up nearly 2,000% over the stock’s 90-day average volume of 227 contracts. The June $17.5 strike call saw most of the action as traders exchanged some 2,365 of the contracts versus zero open positions in the first half of the session. A slight majority of the calls were purchased for an average premium of $0.78 apiece, suggesting some traders are positioning for shares in the name to rebound somewhat in the near term. Call buyers stand ready to profit at expiration next month in the event that EXPR shares rally 5.7% over the current price of $17.30 to top the average breakeven point at $18.28. On the flip side, June $17.5 strike put buyers anticipate shares in the name could go lower from here. Around 340 of the $17.5 puts were purchased this morning for an average premium of $0.88 each. Finally, some traders that initiated bearish strategies on Express prior to the earnings report saw the value of their positions appreciate big-time today. Buyers of around 720 of the June $22.5 strike put last Thursday paid an average premium of $1.18 per contract. Today those put options are trading at more than four times the average purchase price given the last-traded price of $5.20 each as of 12:45 p.m. ET.

DV - DeVry, Inc. – The for-profit education provider’s shares could hit their lowest price in more than five years in the next few weeks by the looks of bearish options trades initiated on the stock this morning. Shares in DeVry, Inc., which have dropped nearly 60.0% since last summer, are down 2.2% on the…
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Bulls and Bears Appear at Patriot Coal Corp. Ahead of Earnings

 Today’s tickers: PCX, RSH, SA & EK

PCX - Patriot Coal Corp. – Options traders are placing bullish and bearish bets on the coal company today with roughly one week remaining before the firm reports fourth-quarter earnings ahead of the opening bell next Tuesday. Shares in Patriot Coal are up 3.8% at $24.05 as of 12:10pm in New York. One bullish player hoping to see PCX shares gravitate toward the January 14, 2011, 52-week high of $27.35, initiated a near-term call spread. The investor picked up approximately 4,700 now in-the-money calls at the February $24 strike for an average premium of $1.58 each, and sold about the same number of calls at the higher February $27 strike at an average premium of $0.67 apiece. Net premium paid to establish the bullish spread amounts to $0.91 per contract. Thus, the trader starts to make money if Patriot’s shares rally another 3.6% over the current price of $24.05 to surpass the average breakeven price of $24.91 by February expiration. Maximum potential profits of $2.09 per contract are available to the investor should shares in PCX jump 12.3% to trade above $27.00 by expiration day next month. Out-of-the-money put options in the front month were also popular with Patriot players in the first half of the session. One options strategist with a more pessimistic view enacted a ratio put spread on the stock ahead of the earnings report. The trader purchased around 1,100 puts at the February $22 strike at an average premium of $1.21 each, and sold 2,200 puts at the lower February $20 strike for an average premium of $0.56 a-pop. The net cost of the ratio spread amounts to just $0.09 per contract. The investor responsible for the spread profits if PCX shares decline 8.9% to slip beneath the average breakeven price of $21.91, and may make up to $1.91 per contract should shares plunge 16.8% to settle at $20.00 at expiration day. The sale of twice as many lower-strike puts exposes the put player to losses in the event that Patriot Coal’s shares drop 24.8% to trade below the lower breakeven price of $18.09 before the contracts expire in February.…
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Phil's Favorites

"Feel The Market": Trump Warns Fed With Fed Not To Make Mistake And Hike Rates

Courtesy of Zero Hedge

As members of the FOMC gather at the Eccles building for the first day of the central bank's December policy meeting, during which they're widely expected to vote to raise the Fed funds rate for the fourth time this year, President Trump is once again urging the central bank to reconsider - this time urging Chairman Powell & Co. to read an editorial in Tuesday's Wall Street Journal calling for a pause in rate hikes (which in turn followed a similar piece from Fed "hawks" Stanley Druckenmiller and Kevin Warsh).

I hope the people over at the Fed will read today’s Wall Street Journal Editorial before they make yet another mistake. Als...



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Zero Hedge

"Feel The Market": Trump Warns Fed With Fed Not To Make Mistake And Hike Rates

Courtesy of Zero Hedge

As members of the FOMC gather at the Eccles building for the first day of the central bank's December policy meeting, during which they're widely expected to vote to raise the Fed funds rate for the fourth time this year, President Trump is once again urging the central bank to reconsider - this time urging Chairman Powell & Co. to read an editorial in Tuesday's Wall Street Journal calling for a pause in rate hikes (which in turn followed a similar piece from Fed "hawks" Stanley Druckenmiller and Kevin Warsh).

I hope the people over at the Fed will read today’s Wall Street Journal Editorial before they make yet another mistake. Als...



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Biotech

China's win-at-all-costs approach suggests it will follow its own dangerous path in biomedicine

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

 

China's win-at-all-costs approach suggests it will follow its own dangerous path in biomedicine

Megacity Shenzhen, as seen from Hong Kong, is a center for Chinese finance and tech. AP Photo/Kin Cheung

Courtesy of Hallam Stevens, Nanyang Technological University

The world was shocked by ...



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Kimble Charting Solutions

Is the NYSE Composite Signaling Difficult Times Ahead?

Courtesy of Chris Kimble.

The NYSE Composite (NYA) is testing the bottom of its 12-month trading range this month. In fact, it’s breaking down and out of it… it’s sink or swim time.

Will this be a quick undercut and reversal? Or the start of a deeper correction/bear market? Bulls need to reverse this right now, or it could be a long winter.

Looking at the chart below, we can see that the NYSE composite formed bearish hanging man patterns at (1) multiple times over the past two decades. The ones highlighted were followed by an average 25% decline.

Another hanging man candlestick was formed back in February at (2). This lead to the initial stock market correction early this year. The broad stock index developed a trading range thereafter (blue sh...



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Chart School

Weekly Market Recap Dec 16, 2018

Courtesy of Blain.

A significant selloff Friday had bears continuing to enjoy December and calls for the bulls for the Federal Reserve to save them.  It’s been a very long time since bears have had the upper hand for such an extended period.  Volatility continues to be very high and the charts continue to say “remain in safety”.  The Russell 2000 – the laggard of 2018 – broke a yearly low set in February and the S&P 500 broke October lows to create a “lower low”.

Karyn Cavanaugh, senior market strategist with Voya Investment Management, said that disappointing economic data out of China was the biggest driver of Friday’s losses. “The Chinese data was a dirt sandwich, not because it showed deceleration in the Chinese economy, but because it’s showing...



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Insider Scoop

40 Stocks Moving In Monday's Mid-Day Session

Courtesy of Benzinga.

Gainers
  • Diffusion Pharmaceuticals Inc. (NASDAQ: DFFN) shares rose 65.1 percent to $4.7225 after the US Patent Office awarded the company exclusive rights for the use of its TSC drug in conjunction with tPA for stroke treatment.
  • Synergy Pharmaceuticals Inc. (NASDAQ: SGYP) climbed 34.2 percent to $0.1073 after Health Canada accepted Cipher Pharmaceuticals' new drug submission for PLECANATIDE.
  • Fidelity Southern Corporation (NASDAQ: LION) jumped 22.3 percent to ...


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Digital Currencies

Crypto Bull Tom Lee: Bitcoin's 'Fair Value' Closer To $15,000, But He's Sick Of People Asking About It

Courtesy of ZeroHedge. View original post here.

Listening to the crypto bulls of yesteryear continue to defend their case for new new all-time highs, despite a growing mountain of evidence to suggest that last year's rally was spurred by the blind greed of gullible marginal buyers (not to mention outright manipulation), one can't help but feel a twinge of pity for Mike Novogratz and Wall Street's original crypto uber-bull, Fundstrat's Tom Lee.

Lee achieved rock star status thanks to ...



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Members' Corner

Blue Wave with Cheri Jacobus (Q&A II, Updated)

By Ilene at Phil's Stock World

Cheri Jacobus is a widely known political consultant, pundit, writer and outspoken former Republican and frequent guest on CNN, MSNBC, FOX News, CBS.com, CNBC and C-Span. Cheri shares her thoughts on the political landscape with us in a follow up to our August interview.

Updated 12-10-18

Ilene: What do you think about Michael Cohen's claim that the Trump Organization's discussions with high-level Russian officials about a deal for Trump Tower Moscow continued into June 2016?

...

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Mapping The Market

Trump: "I Won't Be Here" When It Blows Up

By Jean-Luc

Maybe we should simply try him for treason right now:

Trump on Coming Debt Crisis: ‘I Won’t Be Here’ When It Blows Up

The president thinks the balancing of the nation’s books is going to, ultimately, be a future president’s problem.

By Asawin Suebsaeng and Lachlan Markay, Daily Beast

The friction came to a head in early 2017 when senior officials offered Trump charts and graphics laying out the numbers and showing a “hockey stick” spike in the nationa...



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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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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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