Options Market Update

 

Below are some excerpts from Cabot Options Trader, your guide to quick profits using puts, calls, spreads, straddles, iron condors and other options trades. Analyst Jacob Mintz explains and recommends diverse investing strategies for big gains with controlled risk.


Options Market Update

For the bears, Friday’s price action was nearly ideal, as former market leaders such as Facebook, Google and Microsoft, which had recently handily beat earnings expectations, were crushed.»

Options Market Update

Earnings season rolls on this week with reports from companies such as Google (GOOG), Dow Chemical (DOW), Pfizer (PFE) and Exxon Mobil (XOM). It's also a big week for economic data releases.»

Options Market Update

This week is packed with important economic releases, including Consumer Confidence, GDP and the Federal Reserve’s Announcement on Wednesday.»

Options Market Update

Earnings season ramps up significantly this week, with reports from Bank of America (BAC), Delta Airlines (DAL), Morgan Stanley (MS), Netflix (NFLX) and Goldman Sachs (GS). »

Options Market Update

The upcoming week is full of economic data releases, Federal Reserve member speeches and the start of earnings season. Unfortunately, very little of that will matter to U.S. stocks. »

Options Market Update

The release of economic data will be very heavy this week. Leading the headlines will likely be Friday’s release of the December Jobs Report.»

Options Market Update - December 28, 2015

The overall market continues to stay within a reasonably tight range, while under the surface there is extreme sector rotation. What sparks this rotation is anyone's guess. »

Options Market Update

This week is full of economic data including third quarter GDP, and housing and oil data. It will be interesting to see how the week plays out because sentiment is swinging wildly.»

Options Market Update

Why would the steady decline in the price of oil cause selling in stocks such as Amazon or Facebook? The reason is the meltdown in the high yield market.»

Options Market Update

All successful traders have their own rules on stops. Some traders believe in “hard stops,” some believe in “loose mental stops” and others believe in a combination of the two.»

Options Market Update

The market is pricing in an approximately 72% chance of a rate hike in December, and Friday's jobs number will go a long way toward firming up the odds.»

Options Market Update

The couple of hours or days when options are mispriced are the times when it makes best sense to execute a buy-write, naked put or other volatility-selling strategies. »

Options Market Update

The VIX closed the week at 20.08, or higher by 40% for the week. While a significant rise, it was not a huge spike but rather a slow and steady grind higher. »

Options Market Update

The VIX closed the week at 14.33, marginally lower for the week. As the price of puts has declined along with the VIX, my scanner has been picking up on more and more strangle purchases.»

Options Market Update

Approximately one-third of S&P 500 companies will report earnings this week, including Tesla Motors on Tuesday, Facebook on Wednesday and Walt Disney on Thursday, and the October Jobs Report is due on Friday.»

Options Market Update: Rough Week for Ackman

As of Bill Ackman’s latest filing, nearly 30% of his hedge fund’s capital is invested in Valeant Pharmaceutical, which fell by almost 45% at one point last week. »

Options Market Update: Train Wrecks Continue

The list of daily "train wrecks" continues to grow this earnings season as Pandora (P) is down 35% today, Whirlpool (WHR) is down 10% and select biotechs have lost 10%-20% each day.»

Options Market Update: Stops and Quick Profits

This week is light on economic data, but packed with earnings announcements. We'll be active this afternoon and tomorrow, selling new calls against positions whose calls expired on Friday. »

Options Market Update: Short-Term Bullish

Clearly market momentum is bullish in the short term, but there could be a great deal of supply/sellers waiting to take profits or exit positions that they didn’t liquidate before the August selloff. »

Options Market Update: The Dogs Explode Higher

On Friday, a trader bought 40,000 Exxon Mobile (XOM) November 77.5 Calls, and call buying was brisk in nearly every oil stock. »

Stock Picks

Prudential Financial

This stock stands out because it easily fits all of Benjamin Graham's criteria.

Whirlpool

With home-building strong, this stock's prospects for recovery are excellent.

Nevro

NVRO is still behaving well, supported by the buying power of investors who are just discovering the stock.

Cabot Wealth Advisory

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Apple (AAPL) and Zika

By Timothy Lutts on February 08, 2016

The best time to buy Apple (AAPL) was in 2003 after the Internet Bubble had burst and technology stocks were treated like dirt. Of course, no one wanted AAPL back in 2003, but in the 13 years that followed, the stock soared 9,400%. The best time to sell AAPL was in mid-2012, when AAPL became the world’s most valuable company. Read More >

For Investors with a Taste for Adventure

By Paul Goodwin on February 04, 2016

For investors with a little taste for adventure, emerging markets are more fun than an unlimited ticket to a go-cart track (and offer much bigger potential rewards). Yes, when markets turn sour, emerging market stocks can take some skin off. But that only happens if you’re sitting like a bump on a log and watching your holdings tank.Read More >