Here is a preview of what I will be discussing tonight on Options Action on CNBC at 5pm est: RIMM reported a much anticipated fiscal Q4 last night that missed fairly dour expectations and stated … [Read more...]
Options Education VIII: Jason Takes Manhattan
12:48 pm EDT - March 30, 2012 By Kristen
Butterflies are good strategies for high volatility environments as they have limited risk and premium expenditure. In exchange, they have a limited profit potential. Butterflies also involve buying … [Read more...]
Trade Update RIMM: Closing March/May 13 Put Calendar for a Small Gain
9:28 am EDT - March 30, 2012 By Dan
Trade Update March 30th, 2012: With RIMM up 3% following a generally uninspiring qtr I am going to take the small gain in the March30th/May 13 Put Spread and move on. Obviously a lot of bad news … [Read more...]
What’s the Story?
9:21 am EDT - March 30, 2012 By CC
Reuters Consumer spending increased by the most in seven months in February as households shook off a rise in gasoline prices, suggesting the economy may not have slowed as much this quarter as … [Read more...]
Trade Update Best Buy (BBY): Closing Half of my Apr Put Fly For a Double, Will Let Other Half Ride
9:38 am EDT - March 29, 2012 By Dan
Trade Update March 29th, 2012 at 9:45am: BBY is down 6% this morning, following earnings that beat, but coupled with some strategic news about store closings and layoffs that investors are not … [Read more...]
Dan Nathan’s MorningWord: 3/29/12
9:27 am EDT - March 29, 2012 By Dan
MorningWord: 3/29/12: I think it is fairly safe to say that decent Q1 earnings are baked into the cake with the SPX at current levels, the real question for any near term continuation of the ytd … [Read more...]
What’s the Story?
9:10 am EDT - March 29, 2012 By CC
Reuters New claims for unemployment benefits fell to a fresh four-year low last week, according to a government report that showed ongoing healing in the labor market. Initial claims for state … [Read more...]
New Trade CRM: “Cloudy the Future is” With the Stock Nearing All Time Highs
2:33 pm EDT - March 28, 2012 By Dan
CRM is all the rage among tech investors, the cloud is all the rage among tech companies and CRM's stock (trading within a few % of last years all time highs) acts like it is going to be taken out. … [Read more...]
New Trade: Best Buy (BBY)
10:45 am EDT - March 28, 2012 By CC
Previous Post from Monday March 26th: New Trade Below BBY ($27.37) reports its Fiscal Q4 earnings Thursday March 29th before the open. -The options market is implying about a 5.5% move vs the … [Read more...]
What’s the Story?
9:25 am EDT - March 28, 2012 By CC
CNBC New orders for U.S. manufactured goods rose less than expected in February and a gauge of future business investment also fell short of forecasts, Commerce Department data showed on … [Read more...]
MorningWord: 3/28/12
8:35 am EDT - March 28, 2012 By Dan
MorningWord: 3/28/12: Thank goodness the European leaders feel that their crisis is" almost over", just as China's "slowing growth crisis" is about to begin. There has obviously been a lot of … [Read more...]
RIMM Earnings: Vol Skew and the Death Rattle
1:59 pm EDT - March 27, 2012 By Dan
RIMM reports it's fiscal Q4 Thursday March 29th after the close. The options market is implying about a 12% move on earnings which is cheap to it's 4 qtr avg move of about 15% and basically inline … [Read more...]
VIX: I’ll just say one word: ‘Icarus’. If you get it, great. If you don’t, that’s fine too. But you should probably read more.
1:55 pm EDT - March 27, 2012 By CC
With the VIX around 15 and drifting lower on alot of recent days as the market makes new highs it seems a good time to discuss option premium and low vol environments. The first thing to know is … [Read more...]
What’s the Story?
9:18 am EDT - March 27, 2012 By CC
Marketwatch Home prices in the U.S. fell for the fifth month in a row in January to the lowest level since early 2003, a closely followed index showed on Tuesday. The S&P/Case-Shiller 20-city … [Read more...]
Dan Nathan’s MorningWord: 3/30/12
MorningWord: 3/30/12: Today's opening of U.S. markets (S&P futures up about 50bps) feels like a fairly fitting end to what was a near historic quarter. Sentiment changed on a dime in Jan, with … [Read more...]