CVX Bull Put Spread and or sell putsCVX has made a strong bullish moved from it low about 102.36 close on 1/30/14 There has been a strong gap and is trading above 10 20 and 50 EMA , and just closed above the 100 SMA. The gap at 107.37 should offer a strong support for a BPS 107/106 EXp 2/27 for .11 or 3/6 for .16.
Should your want to own the shares a 101 put sale will bring in .65 approx.
Credit
When Credit Goes, So Does EquitiesWhat makes anyone think this time is "different." The SPX decoupled from high yield credit (HYG) in 2013 for the first time since 2007.
The onslaught of poor US economic data will continue to weigh on equities regardless of the desperation to hold onto the feel good story of growth.
I expect a 20 percent pullback to the 200-week EMA at 1,810.
BBY Earnings Play; Unbalanced Iron Condor W/ $0 Upside RiskBestBuy has been consolidating since the beginning of July. Earnings are due tomorrow before the opening, and our IV% is at 56%, so I am looking for a play here to collect a credit.
Historically looking at BBY we can see usually see a slightly bullish move after earnings (EPS, which is usually beating estimates). Because of this, and being at the top of this range with our other indicators showing bullish momentum as indicated on the chart, I want upside protection, while I expect the range in BBY to continue through expiration this Friday.
All that being said, and what is shown on the chart, I am selling for a $0.50-$0.55 credit the 25/29.5/34.5/35 Put/Put/Cal/Call. This means if we break out from here, not only will I likely be putting on another bullish trade to take advantage of the breakout, but I will still have a small (VERY small) profit. That however beats a loss.
Ideally, we would like volatility to collapse and BBY to stay between $29.00 and $34.50, but anything above $29.00 would be acceptable.