Option Investor
New Plays

New Option Plays

Printer friendly version
Call Options Plays
Put Options Plays
GDW None

New Calls

Golden West Fincl - GDW - close: 62.32 chg: +1.25 stop: 59.95

Company Description:
Headquartered in Oakland, Calif., Golden West is one of the nation's largest financial institutions with assets over $110 billion as of March 31, 2005. The Company has one of the most extensive thrift branch systems in the country, with 279 savings branches in 10 states and lending operations in 38 states. (source: company press release)

Why We Like It:
If the markets are going to rally they probably can't get very far without the financials. Banking stocks are on the rebound (like most of the market). We like GDW because the stock appears to have built a base between $58 and $62 over the last couple of months. Technical indicators are positive and the stock is nearing resistance. We are suggesting that traders use a TRIGGER at $62.55 to open the play. This would be a bullish breakout over resistance and would put traders in position to capture a run towards the February highs near $67.00. Our target will be $66.50.

Suggested Options:
We are suggesting the June calls.

BUY CALL JUN 60.00 GDW-FL OI=101 current ask $3.80
BUY CALL JUn 65.00 GDW-FM OI=476 current ask $1.00

Picked on April xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 04/20/05 (confirmed)
Average Daily Volume = 1.3 million

New Puts

None today.

New Play Archives