KDK Options has purchased the Bank of America October $18.00 call options. The price of the option was $0.08. The goal of the trade is to see the option reach $0.25. Reasons for the trade are below:
- Plenty of upside in the stock
- Earnings run up probability is high
- Federal Reserve meets on the 16th and 17th
- Price of options allows for 5X gain in trade.
**
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. **
Be sure to also check out our stock page, KDK Fund.
Wednesday, September 16, 2015
Thursday, August 13, 2015
MS Oct $40 Call Trade Ends
Unfortunately, the Morgan Stanley $40.00 call trade got caught up in the Chinese Yuan devaluation and hit KDK Option's stop loss price. The trade was sold at $0.42 per contract.
One big reason KDK Options is able to continue trading successfully is that there are stop losses set before the trade happens. One good rule of thumb to live by is to cut losses short (like this one). Could the trade come back and be successful? Absolutely. But there is a higher probability that it doesn't. Which is sometimes a killer on trading accounts. Better to accept the medicine and move on to the next trade.
KDK Fund is currently researching other trades.
** 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. **
Be sure to also check out our stock page, KDK Fund.
One big reason KDK Options is able to continue trading successfully is that there are stop losses set before the trade happens. One good rule of thumb to live by is to cut losses short (like this one). Could the trade come back and be successful? Absolutely. But there is a higher probability that it doesn't. Which is sometimes a killer on trading accounts. Better to accept the medicine and move on to the next trade.
KDK Fund is currently researching other trades.
** 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. **
Be sure to also check out our stock page, KDK Fund.
Friday, August 7, 2015
Week (8/7) In Review (Morgan Stanley)
Hello
The current Morgan Stanley Oct $40.00 call option trade will continue. The current price of each contract is $0.84. The stock is currently priced at $38.58. That is a $0.10 less than the purchase price. Below is a link to the purchase blog.
Purchase Blog
** 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. **
Be sure to also check out our stock page, KDK Fund.
The current Morgan Stanley Oct $40.00 call option trade will continue. The current price of each contract is $0.84. The stock is currently priced at $38.58. That is a $0.10 less than the purchase price. Below is a link to the purchase blog.
Purchase Blog
** 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. **
Be sure to also check out our stock page, KDK Fund.
Tuesday, August 4, 2015
New Position Opened Up In Morgan Stanley
Today, KDK Options made a purchase of the Morgan Stanley October $40.00 call options. The cost of each option was $0.94 before commissions. The goal of the trade is for the option to reach $4.00 per contract. Some reasons for the purchase are below.
- Bank stocks are in an uptrend.
- Morgan Stanley has risen to the top of the trading business.
- The US Dollar is at a strong level.
- Morgan Stanley has retreated from a high of around $42.00 to a $38.75 support level
As always, we would like to thank OptionsHouse for executing the trade.
** 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. **
- Bank stocks are in an uptrend.
- Morgan Stanley has risen to the top of the trading business.
- The US Dollar is at a strong level.
- Morgan Stanley has retreated from a high of around $42.00 to a $38.75 support level
As always, we would like to thank OptionsHouse for executing the trade.
** 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. **
Tuesday, May 26, 2015
Week 5/22 XLF Trade Review
This week saw XLF drop to $24.86. KDK Options will continue the trade. The expectation is still for the July $25.00 call option to reach $1.00.
** 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. **
** 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. **
Tuesday, May 19, 2015
XLF Trade Status
The position in July XLF $25.00 call options stays the same. The ETF seems to be breaking out to the upside. It is currently trading at the money $25.00. The option price is currently at $0.47.
The expectation is for the option to reach $1.00.
For non option trades, take a look at what KDK Fund is currently doing (link here).
** 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 expectation is for the option to reach $1.00.
For non option trades, take a look at what KDK Fund is currently doing (link here).
** 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. **
Tuesday, April 7, 2015
New Call Position in XLF
KDK Options has purchased call options in XLF today. The July $25.00 strike price was purchased. The cost was $0.37 before commissions and fees. The expectation is that the option will rise to $1.00. Some reasons for the purchase are below:
- Continued upward trend in financials
- 10+% movement upwards before hitting 52 week highs on most financials
- Increasing pressure to raise rates
For non option trades, take a look at what KDK Fund is currently doing (link here).
** 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. **
- Continued upward trend in financials
- 10+% movement upwards before hitting 52 week highs on most financials
- Increasing pressure to raise rates
For non option trades, take a look at what KDK Fund is currently doing (link here).
** 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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