- New Trades -
Vulcan Materials Co. - VMC - close: 56.69
VMC has been a watch list candidate. The stock has been consolidating sideways under resistance near $55 for the last couple of weeks. Our plan was to wait for shares to breakout higher and close above $55.25 then buy calls the next day. VMC rallied to resistance at $55.00 on Thursday. Then it broke out on Friday with a +2.8% gain, meeting our entry equipments.
These are new multi-year highs for the stock. I am suggesting we buy calls at the open on Tuesday morning. More nimble traders could wait and try and buy calls on a dip near $55.00 instead. I do expect the $60.00 level to offer some short-term resistance but our long-term target is $68.50.
We want to keep our position size small!
- Suggested Positions -
Jan 22, 2013 - entry price on VMC @ --.--, option @ -.--
symbol: VMC1418a60 2014 JAN $60 call - current bid/ask $ 4.90/5.60
01/22/13 trade opens
01/19/13 moved to the new plays section
01/18/13 VMC rallies past resistance, meets our entry requirements
01/05/12 new strategy. Wait for a close above $55.25 with a stop at $49.75. Our long-term target is $68.50. Small positions.
Chart of VMC:
Current Target:$ 68.50
Current Stop loss: 49.75
Play Entered on: 01/22/13
Originally listed on the Watch List: 12/02/12