Retail Weak
Homestore.com
(
HOMS |
Quote |
Chart |
News |
PowerRating), on the Pullbacks
Off Lows List, may provide an
opportunity for covered puts. The stock can be sold short for 28 15/16 and the December
30 puts can
be sold for 5. This represents approximately a 14% return (over 95%
annualized based on 52 days until expiration) should the stock be put to you.
On the short side, Retail
(
$RLX.X |
Quote |
Chart |
News |
PowerRating) mentioned recently, still looks poised
to resume its downtrend. Continue to
look for buying opportunities in puts and put spreads here.
Banks
(
$BKX.X |
Quote |
Chart |
News |
PowerRating) look poised to resume their downtrend out of a pullback from
lows. Look for buying opportunities in puts and put spreads here.
Looking
Ahead/Follow Up
Telecom
(
$XTC.X |
Quote |
Chart |
News |
PowerRating), mentioned recently, continued to slide on Thursday. If you have
profits here, you might want to lock in a piece.
Major
Drugs
(
$DRG.X |
Quote |
Chart |
News |
PowerRating) sold off slightly after hitting new highs. This may be the
beginning of a pullback and the sector may setup over the next few days.
Best
of luck with your trading on Friday!
P.S. Reminder:
Protective stops on every trade!