Calloptions
EA strong amongst the overblown fudTreasury yields pulled the entire market down except for EA. The lone soldier looking strong. Chart looks great on the weekly. Last candle had a long lower shadow at support. This weeks candle is an engulfing candle. Barring the market being a bigger turd than it already is, EA should move back to the $140 range by the end of next week.
The idea that treasury yields rising can bring an entire market down is ridiculous. I'd rather own a high yield dividend stock. I'm not buying into the B.S. The market will move higher. Loading 10/8 EA calls at open.
$XLE bounce with cheap OTM callsEnergy was the stand out sector today up 3.74% on good volume.. as we mentioned a few days ago it looks to have confirmed a double bottom and being the cheapest sector on a fwd p/e and price/book basis it’s a contrarian and catch up play some major players are getting into.. more to come here.. some upside OTM calls IVs are cheaper than ATM and HV..
Watchlist AMAT for a possible call: with TAOverall idea: If AMAT breaks 133.51, calls with a PT to 141.50 will be a go. (SL at 129.90)
TA:
~Accumulation/Distribution line is sharply increasing, foreshadowing a strong incoming bull action
~MACD has just crossed over into the positive, hinting at upcoming bull action
~VI is at an intersection point, foreshadowing a reversal in momentum from its previous bear action
~RSI is at 50, giving it room to go either direction without much fear of being overbought/oversold
~ so far there have been two rejections of the 50 EMA since August 10. We are rapidly approaching a third test of this 50 EMA, which is also at the point where AMAT would need to go to break resistance. Put the two together, if 133.51 is broken, we not only would see a break of resistance, but also a cross over the 50 ema after a bounce off the long term support line.
Also want to point out the obvious: the wedge that is forming long time frame.
$ZYNGA buy of a lifetimeExtremely oversold. $9 by December. loading up on calls slowly in august. im even buying stock.
What is a Call option ?How Do Call Options Work? What Is a Call Option?
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Call options are financial contracts that give the option buyer the right, but not the obligation, to buy a stock, bond, commodity or other asset or instrument at a specified price within a specific time period. The stock, bond, or commodity is called the underlying asset. A call buyer profits when the underlying asset increases in price.
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How Do Call Options Work?
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Since call options are derivative instruments, their prices are derived from the price of an underlying security, such as a stock. For example, if a buyer purchases the call option of ABC at a strike price of $100 and with an expiration date of December 31, they will have the right to buy 100 shares of the company any time before or on December 31. The buyer can also sell the options contract to another option buyer at any time before the expiration date, at the prevailing market price of the contract. If the price of the underlying security remains relatively unchanged or declines, then the value of the option will decline as it nears its expiration date.
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Use Of Call Options
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Investors use call options for the following purposes:
🔵 Speculation
Call options allow their holders to potentially gain profits from a price rise in an underlying stock while paying only a fraction of the cost of buying actual stock shares. They are a leveraged investment that offers potentially unlimited profits and limited losses (the price paid for the option). Due to the high degree of leverage, call options are considered high-risk investments.
FSR **HIGH HIGH ALERT** UPGRADED TO $31 - OPTIONS PLAY All,
Perfect scenario. Falling wedge + $31 upgrade and Cramer covered it.
GMBL **OPTIONS WATCH** - REVENUE Q/Q - CAN THEY DO IT AGAIN?All,
Revenue went from 222K to 2.5M Quarter over Quarter. Yes some other fundamentals seem funky, but no uncommon to see bad net income when generating that much revenue at first. If they can sustain that revenue and clean up their margins they are going EXPLODE on options market.