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ADDITION JUNE RECOMMENDATIONS 5-21-06

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We are recommending the following three (3) credit spreads to our JUNE RECOMMENDED LIST

We are recommending credit spreads in the following issues:


EXP - Eagle Materials, Inc. engages in the manufacture and sale of basic building materials used primarily in commercial and residential construction, and public construction projects in the United States. The company engages in the mining of gypsum and limestone; manufacture and sale of gypsum wallboard; and in the manufacture, production, distribution, and sale of portland cement

ZOLT - Zoltek Companies, Inc., through its wholly owned subsidiaries, engages in the manufacture, marketing, and development of carbon fibers for various applications. The company manufactures and sells carbon fibers, which are used as the primary building material in commercial products; filament winding and pultrusion equipment for the production of composite parts; and technical fibers for aircraft brake and other friction applications

RTI - RTI International Metals, Inc. engages in the manufacture and sale of titanium mill products and fabricated metal components worldwide. Its products are used in the aerospace, oil and gas exploration and production, geo-thermal energy production, chemical processing, and other industries.


We are recommending spreads on the following issues: (1) call spread and (2) put spreads


Call spread:

EXP $52.21

BUY EXP-FM EXP JUN $65.00 CALL DEBIT = $0.35
SELL EXP-FL EXP JUN $60.00 CALL CREDIT= $0.75
NET CREDIT = $0.40
INITIAL "NET- CREDIT TARGET= $0.40 or $40.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.40 = $400.00

MARGIN REQUIRE. (x 10 CONTRACTS $4,600.00
RETURN ON INVESTMENT= 8.70%

EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE RISES TO: $56.11

MAXIMUM EXPOSURE is: $5.00 Which is the difference between the strike prices
THIS WILL BE OUR MAXIMUM EXPOSURE -
2. IF THE DIFFERENCE BETWEEN THE SPREAD STRIKE PRICES IS 5 points or more the STOP LIMIT is below
will be placed on the SHORT STRIKE PRICE:
EXP-FL STOP LIMIT EXIT >> = 1.75
If and when the STOP LIMIT IS EXECUTED - A contingency order should be in place to than SELL the LONG SIDE
of the Spread and close the position with a Market Order if and when the SHORT side needs to be STOPPED OUT

Put spreads

ZOLT $30.33

SELL LVQRX ZOLT JUN $22.50 PUT CREDIT= $0.50
BUY LVQRD ZOLT JUN $20.00 PUT DEBIT $0.20
NET CREDIT = $0.30
INITIAL "NET- CREDIT TARGET= $0.30 or $30.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.30 = $300.00

MARGIN REQUIRE. (x 10 CONTRACTS $2,200.00
RETURN ON INVESTMENT= 13.64%
EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE $2.50
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE DROPS TO: $24.50
2. ON SPREADS WITH 2.50 or less difference in STRIKE PRICES the Difference
IN THE STRIKE PRICE WILL BE OUR MAXIMUM EXPOSURE - WE WILL NOT USE STOPS ON THOSE POSITIONS. THEY WILL GO ON THE WATCH LIST AND BE FOLLOWED WITH INSTRUCTIONS AS TO HOW TO PROCEED OR/WHAT EXIT POINT NEEDS TO BE ESTABLISHED

RTI $64.25

SELL RTI-RK RTI JUN $55.00 PUT CREDIT= $1.30
BUY RTI-RJ RTI JUN $50.00 PUT DEBIT $0.60
NET CREDIT = $0.70
INITIAL "NET- CREDIT TARGET= $0.70 or $70.00
POTENTIAL PROFIT (x 10 CONTRACTS @ $0.70 = $700.00
MARGIN REQUIRE. (x 10 CONTRACTS $4,300.00
RETURN ON INVESTMENT= 16.28%
EXIT STRATEGY = 1. WATCH LIST 2. MAXIMUM LOSS SPREAD PRICE DIFFERENCE: $5.00
1. STOCK WILL BE PLACED ON WATCH LIST IF STOCK PRICE DROPS TO: $57.00


STOP LIMIT will be placed on the SHORT STRIKE PRICE:
RTI-RK STOP LIMIT EXIT >> = $2.50
If and when the STOP LIMIT IS EXECUTED - A contingency order should be in place to than SELL the LONG SIDE
of the Spread and close the position with a Market Order if and when the SHORT side needs to be STOPPED OUT

This will bring our JUNE positions to five (5) positions when filled

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