Good morning Stockaholics Happy Friday! Here are your morning movers & news- Spoiler: 10/14 Friday's Stock News Movers: JPM, PNC, HPQ, AMZN, VMW, UAL, HSY, YHOO, PEP, HON, CAG, ATVI, UNP 10/14 Friday's Stock News Movers: JPM, PNC, HPQ, AMZN, VMW, UAL, HSY, YHOO, PEP, SNE, HON, CAG, ATVI, TTWO, UNPGood day Stockaholics! Happy Friday! Frontrunning: October 14 China inflation relief sends stocks, dollar higher (Reuters) China producer prices rise for first time in nearly five years, may ease debt woes (Reuters) Oil rises further above $52 on tighter U.S. fuel stocks (Reuters) Oil From $50 Billion Kashagan Field Starts Flowing to Export (BBG) HP Plans Up to 4,000 Job Cuts Over Three Years (BBG) New Rules Make It Harder for Companies to Manage Their Cash (WSJ) The Sept. 11 Lawsuit Bill Is Weaker Than It Appears (BBG) The U.S. Election Is Driving Americans Nuts (BBG) Republicans weigh response with eye toward future (Reuters) Hershey CEO Bilbrey prepares to step down (Reuters) More Than 1 Million in Obamacare to Lose Plans as Insurers Quit (BBG) Saudi Arabia, SoftBank aim to be world's No. 1 tech investor with $100 billion fund (Reuters) Obama decries 'wild west' media landscape (AFP) British banks keep cyber attacks under wraps to protect image (Reuters) Goldman’s Online Consumer-Lending Platform Goes Live (WSJ) Malaysian Fund 1MDB Linked to White House Visit (WSJ) Islamic State crushes rebellion plot in Mosul as army closes in (Reuters) Carmakers forced back to bigger engines in new emissions era (Reuters) Verizon Warns Yahoo That Breach Could Affect Takeover Deal (WSJ) STOCK FUTURES NOW: YESTERDAY'S MARKET HEAT MAP: YESTERDAY'S S&P SECTORS: TODAY'S ECONOMIC CALENDAR: MOST ACTIVE TRENDING PRE-MARKET DISCUSSIONS (SYMBOLS ARE CLICKABLE!): JPM ACAD EGLT WFC C TWLO BAC JDST ULTA PNC SPY INFY IBM UVXY BABA BLUE DUST FHN HPQ EPM MIME MELI SVXY CZZ TODAY'S EARNINGS CALENDAR: THIS MORNING'S PRE-MARKET NEWS MOVERS: source: cnbc.com JPMorgan Chase — The bank posted profit of $1.58 per share, beating estimates of $1.39, and revenue was also above forecasts. Though profit fell from a year ago, JPM did see record commercial banking income as well as double-digit gains in deposits and loans. PNC Financial — PNC beat estimates by six cents with quarterly earnings of $1.84 per share, while revenue was just slightly above forecasts. The bank said its capital levels are strong and that loans and deposits increased compared to a year ago. HP Inc. — The printer and PC maker issued a cautious 2017 cash flow forecast. It does, however, expect to hike its dividend by seven percent and it's added $3 billion to its stock buyback program. HP also said it would cut three to four thousand jobs over the next three years. Amazon.com, VMware — The two companies have jointly unveiled a new hybrid cloud service which will let customers run computing operations both on their own local VMWare data centers as well as on Amazon's cloud servers. United Continental — United suffered a computer glitch that temporarily delayed thousands of United Airlines passengers on flights worldwide. The airline does say the problem has now been resolved. Hershey — Chief Executive Officer John Bilbrey will retire on July 1, 2017. Bilbrey will continue as non-executive chairman of the chocolate maker following his retirement, and the board has appointed a special committee to find a new CEO. Yahoo — Yahoo remains on watch following Verizon's declaration yesterday that Yahoo's recent data hack may have been material enough to renegotiate the terms of their takeover deal. Verizon currently has a $4.83 billion deal in place to buy Yahoo's core internet assets. PepsiCo — PepsiCo is near a deal to buy KeVita, according to Reuters, as the beverage maker diversifies its soft drink business. KeVita is a maker of sparking probiotic drinks. Sony — Sony said its PlayStation unit plans to release five or six smartphone games during the fiscal year that ends in March 2018 for bothApple's iOS and Google's Android platform. Honeywell — Chief Executive Officer David Cote told CNBC's Jim Cramer that he was wrong for not giving a more upbeat 2017 outlook. He said that the upbeat long-term message for the company may have gotten lost in a recent management presentation. ConAgra — RBC upgraded the food producer to "outperform" from "sector perform," saying the current stock price undervalues the potential for increased profit margins as well as the company's new consumer focus and the probability of ConAgra executing a large takeover deal. Activision Blizzard, Take-Two Interactive — Oppenheimer initiated coverage of the two video game companies with "outperform" ratings. It thinks Take-Two will benefit both from company initiatives as well as positive trends within the entire industry, and that Activision is outperforming its peers in the shift to digital distribution. Union Pacific — Citigroup added the rail operator to its "Focus List," noting improved volume, exposure to different sectors, and saying consensus estimates seem too low. Good trading day to everyone in here on this Friday!
Morning Movers: HPQ, AMD, BABA, RIG http://realmoney.thestreet.com/arti...overs-hpq-amd-baba-rig?puc=yahoo&cm_ven=YAHOO
I exited long LOT 1 [entry at SPX 2140] at SPX 2147 for profit taking and risk management. I am still in LOT 2 [entry at 2128] on F, 7:01 a.m. PST. SPX at 2144 currently
Well done Frankenstein. We are coming back down now, but your earlier long should still be profitable. When you go long, what do you do? Buy the futures? Buy an options? Sell an option?
I buy equities long. I've always been profitable with that. I am still working on how to trade options--in the past I lost money over time. But these days, I manage to just break even with options trading. I have to yet figure out how to be profitable with options over time. They are nasty instruments to get right 1. according to my theory, SPX 2110 to 2130 continues to be a buy zone. If the SPX were to collapse to that 2120 level, I shall re-enter LOT 2 [since I exited LOT 2, if I re-enter, I shall call it LOT 2, again]. I continue to expect a test of that 2160 level and see what happens--it may go ahead and test that 2180 level at some point. The FED may again postpone the rate hike--but EVEN IF they raise it by another .25 basis points, I don't really think the market would care. That's not much of anything. A lot of people expected after the discontinuation of QE 3 that the market would tank to the 1600 level and it never did. That 1800 level was all that happened. . 2. 12:18 p.m.. The SPX is at 2135. I think it would be bullish for next week if the price could close 2140 or higher, especially 2144. But I think 2140 would be alright 3. 12:41 p.m. PST. The SPX is at 2138. Not far away from hitting and possibly closing at or above the 2140 level 4. 1:02 p.m. PST. The SPX closed at 2133. Not a show a strength by the bulls. But, 2130 to 2140 has been a battle ground between the bulls and the bears. So, not necessarily anything meaningful with the price still being range bound here.
Frankenstein, the trick to options is not to buy them, but to sell them. Let the premium decay work in your favor. For more on that, I recommend Tastytrade.com
Frankenstein, let me give you an example of what I mean. Let's take the /es which pretty closely tracks the SPX. Right now you can sell 2130 /es options that expire next Friday for $1,400.00. thus, you collect a credit of $1,400.00. if your bias is up, you'd sell the puts. You'd have to sell 2 because the /es is weird like that. If you sell them naked, this will hold about $9,000 in your account. If the market continues up, you'll collect that money when you pay almost nothing to buy them back. You've also got 13 points of downsides protection.
Ding Ding Ding! And there's the bell ... another week in the books! A big time thank you goes out to all of you who participated in the discussions here this week! Have a nice relaxing weekend fellas!
