Option Investor
Play Updates

In Play Updates and Reviews

Printer friendly version

Call Updates

Amazon.com - AMZN - cls: 74.70 chg: -0.32 stop: 69.95

AMZN spent Monday's session consolidating sideways. We're not too surprised and the lack of real profit taking after last week's two-day rebound could be seen as optimistic. We would still consider new positions here. However, readers definitely have a choice. You could wait for a new move over $75.30 or another dip in the $73.80-72.50 zone as a potential entry point to buy calls. We have two targets. Our conservative target is the $79.50-80.00 range. Our more aggressive target is the $84.00-85.00 zone.

Picked on August 19 at $ 75.02
Change since picked: - 0.32
Earnings Date 10/23/07 (unconfirmed)
Average Daily Volume = 10.1 million


Freeport McMoran - FCX - cls: 79.96 chg: +3.06 stop: 71.49

Shares of FCX got off to a strong start this week. Shares gapped higher and rallied to $80 before resting. Fueling the move higher this morning was news that the Atticus Capital hedge fund had increased their stake in FCX from 6.4% to 7.48%. Intraday shares of FCX dipped low enough to fill the morning gap and then rebounded again, which is bullish. If you don't want to chase FCX here there is a chance for another dip if the markets show any weakness this week. There is potential resistance near $80.00 but our target is the $83.50-85.00 range.

Picked on August 19 at $ 76.90
Change since picked: + 3.06
Earnings Date 10/17/07 (unconfirmed)
Average Daily Volume = 10.3 million


L.B.Foster Co. - FSTR - cls: 38.75 chg: +1.44 stop: 33.90

FSTR almost hit our conservative target today. Shares continued to show relative strength and rallied to $39.80 early this morning. We don't see any real changes from our weekend comments. Conservative traders may want to raise their stop loss toward Thursday's low ($34.60). We have two targets. Our first target is the $39.90-40.00 range. Our second target is the $42.00-42.50 zone. Please note that this remains an aggressive, higher-risk play.

Picked on August 14 at $ 37.33
Change since picked: + 1.42
Earnings Date 10/25/07 (unconfirmed)
Average Daily Volume = 148 thousand


Goldman Sachs - GS - cls: 172.76 chg: -2.24 stop: 167.45

This is not a great start for our high-risk, buy-the bounce play in GS. Although on the positive side the stock did find support at the $170 level intraday. We would suggest that readers wait for a rise past $174 or $175 before jumping into new call positions. More conservative traders may want to wait for another rise over $180 or $181. Overall we don't see any big changes from our weekend comments. We have two targets. Our first target is the $184.75-185.00 range. Our second target is the $194.00-195.00 range. One of our biggest risks is the intraday swings that could easily stop us out.

Picked on August 19 at $175.00
Change since picked: - 2.24
Earnings Date 09/12/07 (unconfirmed)
Average Daily Volume = 11.6 million


DJ Transports iShares - IYT - cls: 86.72 chg: +1.29 stop: 82.45

News that hurricane Dean would likely miss most of the U.S. oil industry in the Gulf of Mexico pulled the price of crude oil lower. This gave a nudge higher for the transports. The IYT rose 1.5% as investors bought the midday dip. We do not see any changes from our weekend comments. Our target is the $89.75-90.00 range.

Picked on August 19 at $ 85.43
Change since picked: + 1.29
Earnings Date 00/00/00 (unconfirmed)
Average Daily Volume = 600 thousand


Sears - SHLD - cls: 139.48 chg: +2.24 stop: 134.85

The retail stocks didn't do much today but SHLD managed to out perform its peers with a 1.6% gain. The stock even managed to pierce round-number resistance at $140.00 twice today. We are still suggesting that readers use a trigger to buy calls at $141.50. If SHLD sees a dip then aggressive traders might want to try and buy a bounce near $135-136. If triggered we have two targets. Our first target is the $149.50-150.00 range. Our more aggressive target is the $157.00-160.00 zone. We do not want to hold over the very late August earnings report (unconfirmed date). The only information we found was a press release saying SHLD plans to report earnings on or before August 30th.

Picked on August xx at $ xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 08/30/07 (unconfirmed)
Average Daily Volume = 2.1 million

Put Updates

Intuitive Surgical - ISRG - cls: 198.50 chg: -0.63 stop: 205.51

We are somewhat surprised that ISRG didn't rebound further today and stop us out. The stock's rebound failed more than once near $201, which is a good sign for the bears but shorts and put holders remain in danger with ISRG's volatility. A failed rally from here could be a new entry point for puts but we'd probably have to wait for a drop under $196 or $195 to see the failure in action versus minor intraday noise. We would hesitate to open new bearish positions in ISRG now given the market's big bullish reversal last week.

Picked on August 15 at $194.50
Change since picked: + 4.00
Earnings Date 10/25/07 (unconfirmed)
Average Daily Volume = 1.2 million

Strangle Updates


Dropped Calls


Dropped Puts


Dropped Strangles


Play Update Archives