Posts Tagged ‘TCK’

Options Trader Eyes New Highs in Shares of Teck Resources, Ltd.

Today’s tickers: TCK, BSX, WPRT & AKS

TCK - Teck Resources, Ltd. – Options traders flocked to Teck Resources today as shares in the Canadian natural resources company rallied on reports that China’s Minmetals Resources, Ltd., extended a C$6.3 billion hostile takeover bid for Canada’s Equinox Minerals. Teck Resources also received an upgrade to ‘Top Pick’ with a 12-month target share price of $69.00 at Cormark Securities, helping shares in the Vancouver, BC-based company rise as much as 7.7% to secure an intraday high of $57.24. Near-term call options have been active throughout the first half of the trading day. Roughly 4.2 calls are changing hands on the stock for each single put option in action. Longer-dated options caught our eye after bullish player initiated a call spread in the August contract. It looks like the investor purchased 3,000 calls at the August $70 strike for a premium of $1.52 each, and sold the same number of calls up at the August $80 strike at a premium of $0.45 apiece. Net premium paid to establish the spread amounts to $1.07 per contract. Thus, the trader profits in the event that Teck’s shares jump 24.2% over today’s high of $47.24 to surpass the effective breakeven price of $71.07 by expiration day in August. Maximum potential profits of $8.93 per contract pad the investor’s wallet should shares in the natural resources company soar 39.8% higher in the next five months to surpass $80.00 by expiration. Shares in TCK reached their all-time high of $65.37 on January 12, 2011.

BSX - Boston Scientific Corp. – By the looks of trading patterns in Boston Scientific Corp. options today, investor appetite for puts on the medical devices maker has yet to be sated. Near-term puts were popular at the end of last week, and the contracts…
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Alcoa Options Busy

Today’s tickers: AA, KEY, EWZ, F, CBS, TCK & OSK

AA – The aluminum producer has experienced a more than 7.5% rally in shares today to $12.66. Commodity stocks rose on reports indicating manufacturing has declined less than previously forecast, in addition to an unexpected increase in spending on construction. Options activity on Alcoa suggests near-term bullish sentiment and medium-term bearishness. Bullish traders targeted the August 13 strike price to buy more than 5,700 calls for 36 cents apiece. Meanwhile, one investor rolled 2,000 call options up from the August 12 strike price by selling the lots for 83 cents, which he then spread against the purchase of 2,000 calls at the higher August 14 strike for 14 cents a-pop. A much gloomier tale was inferred from the actions of bearish individuals in the October contract. The now in-the-money October 12.5 strike has approximately 12,900 calls shed for 1.15 apiece. We note that the call sales could represent the work of investors banking gains due to the existing open interest at the strike of 71,000. However, a similar picture was seen at the October 15 strike where approximately 25,000 calls were sold for 48 cents per contract. The October 15 strike previously had open interest of just 6,900 contracts compared to the more than 30,900 lots which exchanged hands there today. Perhaps call sellers do not see shares of Alcoa rising through $15.00 by expiration. Otherwise, investors could be long shares of the underlying and establishing pseudo-covered calls by shedding the contracts at the higher strike. Finally, the January 2011 5.0 strike price had 18,500 puts trade for 40 cents apiece. We believe it is likely that the investor is closing out a short put position originally established back on May 8, 2009. It appears that the trader sold 18,000 puts for 83 cents and today bought the lots back for 40 cents apiece. If this is indeed the direction of the trade, the investor has banked profits of 43 cents per contract, or a total of $774,000. – Alcoa, Inc.

KEY – Shares of the banking services firm have rallied nearly 11.5% higher during today’s trading session to stand at the current price of $6.44. One long-term options bull was observed initiating a call spread in the January 2010 contract. It appears that the investor purchased 4,000 now in-the-money calls at the January 6.0 strike price for an
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NetApp option implied volatility jumps as call demand surfaces

Today’s tickers: NTAP, AXP, MOS, SEPR, GM, JNPR, ROK, VIX, TGT & TCK

NTAP NetApp, Inc. – Option implied volatility has skyrocketed from yesterday’s value of 56% to the current reading of 74% as merger fever has set its sights on the company. Shares have jumped more than 10% to $16.47 today, attracting many a bullish option trader hungry for some hot call action. Option volume has risen above 103,000 contracts on the day, with 3.65 calls traded for each put in action. The April 17.5 strike price saw some 10,700 calls purchased for 32 cents each while calls as high up as the April 22.5 strike were coveted for 5 cents per contract. More volume was seen building on the call side in the May contract with 9,100 calls bought at the May 17.5 strike for an average premium of 79 cents. Again, the most bullish traders selected the May 22.5 strike and picked up 3,700 calls for 16 cents apiece. Shares would need to continue to rally by 38% in order for the 22.5 strikes to land in-the-money by expiration. When looking for downside protection, investors clustered at the April 16 strike price and scooped up 7,400 puts at an average premium of 58 cents per contract.

AXP American Express Company – The global payments and travel company has enjoyed a 3.5% share price rally to $15.54 after it received an upgrade from Citigroup yesterday following Goldman Sachs’s decision to remove AXP from its ‘conviction sell’ list on Friday. Investor bullishness was apparent at the April 17 strike price where about 5,200 calls were purchased for an average of 20 cents apiece. Other optimists were observed picking up 1,000 calls at the April 19 strike price at a price of 5 cents per option contract. Volatility on the stock is on the rise, up from the low for the day of 82% to the current value of 89%.

MOS The Mosaic Company – The producer of potash and animal feed has made a comeback since this morning with its shares currently up 5% to $45.15 after having fallen 4% in pre-market trading. Shares started down due to disappointing third-quarter results, which revealed that profits declined dramatically to just 13 cents a share as compared with $1.17 per share one year ago. The company’s CEO, James T. Prokopanko, is looking for Mosaic’s financials to improve in the fourth quarter.…
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Phil's Favorites

The Big Pharma Takeover of Medical Cannabis

 

The Big Pharma Takeover of Medical Cannabis

Courtesy of  , Visual Capitalist

The Big Pharma Takeover of Medical Cannabis

As evidence of cannabis’ many benefits mounts, so does the interest from the global pharmaceutical industry, known as Big Pharma. The entrance of such behemoths will radically transform the cannabis industry—once heavily stigmatized, it is now a potentially game-changing source of growth for countless companies.

Today’s infographic comes to us from ...



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Kimble Charting Solutions

Bearish Divergences Similar To 2000 & 2007 In Play Again!

Courtesy of Chris Kimble

Does history at important junctures ever repeat itself exactly? Nope

Do look-alike patterns take place at important price points? Yup

This chart looks at the S&P 500 over the past 20-years.

In 2000 and 2007 bearish momentum divergences took place months ahead of the actual peak in stocks.

Currently, momentum has created a bearish divergence to the S&P 500 for the past 20-months, as the seems to have stopped on a dime at its 261% Fibonacci extension level of the 2007 highs/2009 lows.

Joe Friday Just The Fact Ma’am; A negative sign for the S&P 500 with the divergence in play, would take place if support b...



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Zero Hedge

Libra Members Consider Quitting Project Due To Gov't Pressure: Report

Courtesy of ZeroHedge View original post here.

Authored by Marie Huillet via CoinTelegraph.com,

At least three of Facebook’s early backers for its planned Libra stablecoin launch are considering withdrawing their support in light of the fierce regulatory pushback.

...



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The Technical Traders

Do Good Traders Make Good Gamblers?

Courtesy of Technical Traders

Without breaking the rules, have you ever made a trade that was guaranteed to make you money? A trade that was literally guaranteed to succeed.

If you’re struggling to come up with an answer, we’ll give you a helping hand, the word you’re searching for is likely no. Every financial trade ever made – no matter how sound and well researched using technical analysis – carries with it an element of risk.

Outside factors beyond your control always have the possibility of turning profits into losses and ecstasy into agony. In many ways, trading is similar to gambling. For instance, you may think you know ...



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Insider Scoop

Earnings Scheduled For August 22, 2019

Courtesy of Benzinga

Companies Reporting Before The Bell
  • Hormel Foods Corporation (NYSE: HRL) is estimated to report quarterly earnings at $0.36 per share on revenue of $2.29 billion.
  • BJ's Wholesale Club Holdings, Inc. (NYSE: BJ) is projected to report quarterly earnings at $0.37 per share on revenue of $3.38 billion.
  • DICK'S Sporting Good...


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Chart School

Gold Gann Angle Update

Courtesy of Read the Ticker

Everything awesome? Gold over $1500. Central banks are printing money to generate fake demand. Germany issues first ever 30 year bond with negative interest rate. Crazy times!

Even Australia and New Zealand and considering negative interest rates and printing money, you know a bunch of lowly populated islands in the South Pacific with no aircraft carriers or nuclear weapons. They will need to do this to suppress their currency as they are export nations, as they need foreign currency to pay for foreign loans. But what is next, maybe Fiji will start printing their dollar. 

Now for a laugh, this Jason Pollock sold for more than $32M in 2012. 





Ok, now call Dan...

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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 ...



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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...



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Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

...

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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, ...



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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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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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