More Wrong Numbers
size=”2″ face=”Arial, Helvetica”>For those of you planning
to attend the TradingMarkets2000 First Annual Traders
Conference at the Venetian Resort, Hotel & Casino in Las
Vegas on October 13-15, I’ll be speaking on Saturday
afternoon following Jay Leno. I’ll also be at the cocktail
party Friday night. Sign up soon, as space is limited.
face=”Arial, Helvetica”>Vertex Pharmaceuticals
(
VRTX |
Quote |
Chart |
News |
PowerRating) may present an opportunity for
covered calls. You can buy the stock for 79, and you can
sell the October 90 calls for 7 7/8. This represents
approximately a 17% return (more than 140% annualized, based
on 44 days until expiration) should the stock be called
away.
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For you breakout players, major oils
(
$XOI.X |
Quote |
Chart |
News |
PowerRating) and oil service
(
$OSX.X |
Quote |
Chart |
News |
PowerRating), both
mentioned recently, broke higher on Wednesday as crude once again hit (and
closed at) life-of-contract highs. Continue to look for buying opportunities in calls and
call spreads here.
On the short side, telecom
(
$XTC.X |
Quote |
Chart |
News |
PowerRating),
mentioned recently, continues its downtrend after recently pulling back from
lows. Look
for buying opportunities in puts and put spreads here.
Retail
(
$RLX.X |
Quote |
Chart |
News |
PowerRating)
has formed a 3-bar pullback from lows and looks poised to resume its downtrend.
Look for buying opportunities in puts and put spreads here.face=”Arial, Helvetica”>
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Continuing on the short
side, Major drugs
(
$DRG.X |
Quote |
Chart |
News |
PowerRating), mentioned recently, still look vulnerable.
Continue to look for buying opportunities in puts and put spreads here.
Best
of luck with your trading on Thursday!
P.S. Reminder:
Protective stops on every trade!