Good Insurance
size=”2″ face=”Arial, Helvetica”>Join me, fellow
TradingMarkets.com content providers, and other traders and
money managers at the Trading Markets 2000 conference at the
Venetian Hotel Resort and Casino in Las Vegas on October
13-15, 2000.
face=”Arial, Helvetica”>Quest Diagnostics
(
DGX |
Quote |
Chart |
News |
PowerRating), on the
From Highs List, may present an opportunity for covered
calls. You can buy the stock for 104 15/16, and you can sell
the September 110 calls for 7 3/8. This represents
approximately an 11% return (more than 100 % annualized,
based on 34 days until expiration) should the stock be
called away.
For
those looking for a way to play Dura Pharmaceuticals
(
DURA |
Quote |
Chart |
News |
PowerRating),
mentioned in my
Outlook, the August and September slightly in-the-money
and at-the-money calls appear to be fairly priced.
width=”470″ height=”320″>
Insurance
(
$IUX.X |
Quote |
Chart |
News |
PowerRating), mentioned Thursday night, rallied nicely on
Friday and looks poised to break out of a flag formation.
Continue to look for buying opportunities in calls and call
spreads, but wait for a resumption of the uptrend.
width=”470″ height=”320″>
Broker/dealer
(
$XBD.X |
Quote |
Chart |
News |
PowerRating) broke to new highs on Friday. Look for
buying opportunities in calls and call spreads here — or,
better yet, wait for the next pullback.
On
the short side, the Nets
(
$DOT.X |
Quote |
Chart |
News |
PowerRating), mentioned
recently, still look vulnerable. Continue to look for buying
opportunities in puts and put spreads here.
Although
the semis
(
$SOX.X |
Quote |
Chart |
News |
PowerRating) were up on Friday, they still look
like they may be in trouble longer term. Continue to look
for buying opportunities in puts and put spreads here.
Best
of luck with your trading on Monday!
P.S. Reminder:
Protective stops on every trade!