The call trade has been stopped out. Those earnings were terrible. That was a bummer. Back to the grind ;).
**
This blog is used for informational purposes only. It should not be
used as a recommendation to buy or sell any security. Do your own due
diligence before trading or investing. **
Thursday, July 28, 2016
Wednesday, July 27, 2016
New Call Trade in Ford
KDK Options purchased a September $13.75 call option. The price before commissions and fees was $0.48. The expectation is that the trade will end at $1.25. There has been a stop loss price figured out. Reasons for the trade are below:
- Ford releases earnings tomorrow. With a good report, the $14.00 resistance should be breached and $15.00 should be quickly reached.
- GM released good earnings and saw a 5% bump in their stock price. A similar move in Ford would take the stock up to $14.60 immediately, putting the option in the money by $0.90.
- The 15 day has moved above the 200 day for the first time in over a year
Our stock arm, KDK Fund (link here), owns shares of Ford.
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
- Ford releases earnings tomorrow. With a good report, the $14.00 resistance should be breached and $15.00 should be quickly reached.
- GM released good earnings and saw a 5% bump in their stock price. A similar move in Ford would take the stock up to $14.60 immediately, putting the option in the money by $0.90.
- The 15 day has moved above the 200 day for the first time in over a year
Our stock arm, KDK Fund (link here), owns shares of Ford.
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
Monday, July 25, 2016
BAC trade over.....50% Return
The current Bank of America September $14.00 call trade has ended. The call hit the stop loss price of $0.62. New trade opportunities are being analyzed. The return result of the trade after fees and commissions was 50%.
A portion of the profits will be donated to charity.
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
A portion of the profits will be donated to charity.
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
Monday, July 18, 2016
BAC Call Trade now Profitable
Because of the earnings announcement, Bank of America stock has moved up over 4% and the current open call trade (link here) is now at a point where the stop loss price has moved into profit territory. The next trade will likely occur within 1-2 weeks of this trade ending (Expiration is Sept 19th).
KDK Options is grateful and looking forward to committing a portion of its profits from the trade to charity.
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
KDK Options is grateful and looking forward to committing a portion of its profits from the trade to charity.
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
Thursday, July 14, 2016
Bank of America W Formation on Daily, Weekly, and Monthly
When looking at the different charts for Bank of America, there is a growing likelihood that a W formation is being created. If you look at the daily, weekly, and monthly charts (below), you can start to see the rise from the second bottom on each chart.
The daily is actually in its extension phase of its W formation. So there likely will be some resistance at the $14.00 level. With earnings coming next week, there is a chance it could reach beyond $14.00. The 1.68 Fibonacci extension from the middle of the W to the second bottom of the W would put the W finishing at $14.01.
If the weekly is to follow, the likely 1.68 Fibonacci price extension for it would be $17.04 and the 2.00 Fibonacci extension would be $18.00, which is where a massive resistance is located. The monthly chart says the same in regards to price points.
As always, this is just one opinion. Please do your own due diligence before trading or investing. Thanks to Optionsxpress for the charts.
Daily
Weekly
Monthly
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
The daily is actually in its extension phase of its W formation. So there likely will be some resistance at the $14.00 level. With earnings coming next week, there is a chance it could reach beyond $14.00. The 1.68 Fibonacci extension from the middle of the W to the second bottom of the W would put the W finishing at $14.01.
If the weekly is to follow, the likely 1.68 Fibonacci price extension for it would be $17.04 and the 2.00 Fibonacci extension would be $18.00, which is where a massive resistance is located. The monthly chart says the same in regards to price points.
As always, this is just one opinion. Please do your own due diligence before trading or investing. Thanks to Optionsxpress for the charts.
Daily
Weekly
Monthly
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **
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