FaceBook: 1 Year Later
Today marks the one year anniversary of FaceBook’s IPO. After a year of trading the stock is down 37%, and today one option trader is betting that the stock could trade e…
Read full article →Equity Armor Investments
The Ripple Effect
Market commentary, volatility insights, and media appearances.
821 articles
Morning Update: Dow Theory
Dow Theory, developed by Charles H. Dow himself in the late 1800s, holds that the strength of a rally can be determined by the relative strength of stock indices. The the…
Read full article →Playing Netflix Earnings by the Numbers
Today after the close all eyes will be on Netflix, which will report second quarter earnings. The stock is up over 5% today ahead of the announcement, and option traders …
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One stock under performing the broad market this morning is Boeing. This has enticed one option trader to buy calls on the stock. The trade was the purchase of 294 August…
Read full article →Using Options to Trade Season Trends
Today shares of Coca-Cola are over 5% higher after the company reported better than expected earnings per share and revenue, plus a 4% increase in sales volume. Additiona…
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The story of the day is the crash in gold prices which are down about 10% right now following Friday’s 4% plunge. Gold continues to rip through levels of support like the…
Read full article →Taking Advantage of the Panicked Selling in Gold
A poor PPI reading, retail sale, and consumer confidence number appear to have finally brought some sellers into the equity markets this morning. But the real looser this…
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Yesterday refining stocks plummeted after Valero said it expects to pay $300-$400 million to comply with cleaner gasoline requirements expected to be in effect by 2017. T…
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This week the slow and steady market rally we have experienced this year has slowed even more, although the uptrend is still very much intact. One option trader is bettin…
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Last week shares of Lululemon were sold hard after the company reported earnings in-line with expectations but guided lower after announcing a product recall. However thi…
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Yesterday the S&P 500 was only down 0.5% but the VIX was higher by over 18%, showing that traders were exceptionally skittish after getting surprising news from Cyprus. A…
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One of the top performing sectors during 2013’s stock market rally has been energy. Due to a large supply of cheap natural gas and increasingly accessible crude oil Ameri…
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Yesterday shares of Walgreens surged 4.2% on strong option volume to a new 52-week high after an upgrade from “neutral” to “buy” at UBS. The new price target was raised t…
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Yesterday shares of Zynga popped 10% on rumors that it could be a takeover target. This set option traders into a call buying frenzy, with triple the average daily volume…
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On Friday shares of Navistar closed up 11% to cap off an impressive 46% gain on the week. Thursday the truck and engine company reported fourth quarter earnings loss that…
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Yesterday as the Dow made a new` all-time high for the third consecutive day one option trader made a bet that all-time highs will been seen in the S&P 500 by April expir…
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Yesterday call options on Bank of America were active on above average volume ahead of today’s bank stress test results. The biggest trade of the day was the purchase of …
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Yesterday shares of Cree surged higher by nearly 15% after the company raised their forward guidance and announced the release of a new sub $10 energy efficient light bul…
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Yahoo shares jumped 3% on Friday as trader responded to news that Yahoo’s Marrisa Meyer is pulling a play out of Google’s book and eliminating unsuccessful products en-ma…
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Yesterday JC Penny reported what some are calling “The Worst Quarter in the History of Retail.” The company reported a quarterly loss of $2.51 per shares and that revenue…
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Yesterday as the Dow broke out to new highs the biggest trade of the day went up as one trader bought 600 March 141 DIA calls for 1.06. Oh wait, that was us. As the marke…
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Yesterday there was unusually high call option activity in Direct TV. The largest trade of the day was the purchase of 8000 June 55 calls for $0.54 with the stock at 48.2…
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Yesterday shares of Morgan Stanley closed down 6.6%, leading the broader market down as fears of a hung Italian parliament looked like an increasingly likely scenario. Mo…
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On Friday, March 1st the sequester is scheduled to take effect and will remove about $45 billion from Pentagon programs. Despite this Lockheed Martin saw heavy call optio…
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Yesterday there was unusual options activity in Sears Holdings. One traded made a large bullish bet on the long term performance of the stock by buying 10,000 January 201…
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Yesterday shares of GM led the market down, closing down over 2% and extending the losses it has experienced since reporting earnings on 2/14. Option activity was bullish…
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Yesterday Stanford C Bernstein downgraded shares of Vodafone to under-perform and adjusted their target share price downward. This sent the stock down 2.5% on the day and…
Read full article →Unusual Option Activity in STZ
Last month the US Department of Justice blocked InBev’s deal to acquire Grupo Modelo on fears it would give InBev monopoly pricing power in the US. Yesterday InBev announ…
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Yesterday Sanofi-Aventis reported a fourth quarter earnings miss and said EPS would be flat to down 5% in 2013. This caused the stock to gap down about 5% and close near …
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General Dynamics, one of the world’s largest defense contractors, has had a rough start to 2013. The stock initially moved higher with the broad market following the fisc…
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