April 2020 - Page 4 of 4 - Blue Horseshoe Stocks

Options Updates, Fresh Ideas

Options Updates
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Johnson & Johnson JNJ – We initially made the longer-term call on the JNJ 09/18 $150-155 Calls at the beginning of last week, and yesterday morning as part of an update on those targets we also gave a more immediate idea with the JNJ Weekly $134-137 Calls. The markets absolutely ripped yesterday, and that catapulted both sets of ideas to new heights.

Here are the updated highs on last Monday’s September calls, as well as the single-session ranges on the weeklies:

09/18 $150-155 Calls
$150: 2.90-5.80 (+100%)
$155: 2.27-4.00 (+76%)

JNJ Weekly $134-137 Calls.
$134: 3.19-7.20 (+126%)
$135: 2.54-6.00 (+136%)
$136: 2.09-3.95 (+89%)

We would also like to roll up to include the Weekly $140-142 Calls on our watchlist.

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SPDR S&P500 (ETF) SPY – We also signaled interest in a range of SPY calls in yesterday morning’s ;premarket report, highlighting the Weekly $258-260 Calls.

The bullish day for stocks across the board facilitated some very good moves in those three contract sets on the session. We expect these gains to be extended at the open, as the markets are gapping up once again this morning in early trading.

Weekly $258-260 Calls
$258: 4.07-10.66 (+162%)
$259: 3.61-9.98 (+176%)
$260: 3.11-9.25 (+197%)

Extended Watchlist:
CRON, TLRY, CGC, GUSH, BSGM, ALTD, HALB, DECN, NSPX, OZSC,

JNJ Update & More

Johnson & Johnson JNJ – Update

At the beginning of last week, upon the news of Johnson & Johnson’s coronavirus vaccine efforts, we highlighted a range of longer term calls in the options chain, and we wanted to kick things off today by relaying the performance that those have produced in a week’s time.

We highlighted the JNJ 09/18 $150-155 Calls, and they are off to a decent start. Here are the total ranges and possible gains on the pair:

09/18 $150-155 Calls
$150: 2.90-4.40 (+52%)
$155: 2.27-3.15 (+39%)

With the markets gapping up big today, and JNJ along with them, we expect to see those gains extended at the open, and with plenty of time before expiration, the sky is the limit at this point. We are also going to venture an idea for this week alone. with the JNJ Weekly $134-137 Calls.

Fresh Options Ideas:

SPDR S&P500 (ETF) SPY – In the case of the SPY, which we typically use as a market analog when we want to trade on current trends, we are going to be watching Weekly $258-260 Calls AND Puts. There is a very good chance that following the surge to start this short trading week, we could also see a significant pullback. We typically don’t straddle the fence in this manner, unless the implied volatility of the markets calls for it, and it seems that is the case at the present time.
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Bonus Idea:
The Simply Good Foods Co. SMPL 04/17 $20-22.50 Calls

Massive Form-4 Alert

Options Reviews

Yesterday morning, our primary order of business was to continue our commitment to bringing our readers as many solid quick-strike options ideas as we can. Not surprisingly, we were able to see some very nice opportunities in our designated targets.

Despite a mixed bag of bears and bulls, the volatile intraday swinging action of the markets made it possible to jump on big gains for each of them. Here were our top plays for the day and the total potential gains which could have been achieved.

SPY Weekly $244-242 Puts
$244: 1.30-2.89 (+122%)
$243: 1.08-2.49 (+131%)
$242.50: 1.04-2.37 (+128%)
$242: .97-2.19 (+126%)
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KMX Weekly $50-55 Calls
$55: .50-3.90 (+680%)
$50: .30-2.03 (+577%)

Howard Hughes Corp. HHC – Fresh Options Idea

We want to place some options in the HHC chain on longer-term watch today after noticing some massive institutional insider buying that has come in near the stock’s recent lows, to the tune of $500M. You don’t sink those kind of funds into a stock unless you are supremely confident that its present level of support is rock solid. We are going to begin tracking the HHC 07/17 $50-60 Calls as a result.

Extended Watchlist:
BIEI, TPTW, MSTO, USRM, SPOM, AYTU

Sticking with SPY Puts

Solid Hits on the SPY

We try to formulate new options ideas for a given session as often as we can without forcing the issue, and on most days we produce at least one. Yesterday, we designated our sole set of new contracts to watch as the SPY Weekly $250-248 Puts, and thanks to a painful day for the markets, we were afforded the chance to score some pretty nice intraday gains.

Two out of three of those strike points translated into instant double-bag opportunities, with the third falling just 1% short of that mark, providing the following moves on the day:

SPY Weekly $250-248 Puts
$250: 4.39-8.73 (+99%)
$249: 4.00-8.10 (+103%)
$248: 3.65-7.50 (+105%)
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Fresh Ideas:
SPY Weekly $244-242 Puts
WBA Weekly $44-45 Calls
KMX Weekly $50-55 Calls

CytoDyn, Inc. CYDY

We began tracking CYDY on Tuesday morning, and in addition to making a nominal move on the chart, the company has also put out some coronavirus related press in the couple days. One of the company’s investigational drugs which is about to enter Phase 2b/3 trials, has demonstrated a promising level of efficacy among severe COVID-19 patients.

The stock itself has run from 2.65-3.09 in the past couple of sessions, which marks a move of just 17% but we’re going to be interested to continue tracking its performance in light of the company’s announcements.

VANCOUVER, Washington, April 02, 2020 (GLOBE NEWSWIRE) — CytoDyn Inc. (OTCQB: CYDY), (“CytoDyn” or the “Company”), a late-stage biotechnology company developing leronlimab (PRO 140), a CCR5 antagonist with the potential for multiple therapeutic indications, announced today that the three-day effect of leronlimab in eight severely ill COVID-19 patients demonstrated a significant improvement in several important immunologic bio-markers. Patient test data reveals improvement in cytokines, IL-6, and a trend toward the normalization of the CD4/CD8 ratio. (>>View Full PR)

Extended Watchlist:
GRYO, PNAT, ROTH, SOLI, CTYX, IPIX

SPY Puts & More

Options Review

The fresh options ideas in the streaming video space we offered up in yesterday’s premarket report fared well for their first session, making strong moves despite a shaky day for stocks in general.

We had the NFLX Weekly $365-372.50 Calls and the ROKU Weekly $87.50-89 Calls on watch, and each contract in our designated ranges produced gain opportunities of a significant nature.

NFLX Weekly $365-372.50 Calls
$365: 9.90-20.80 (+110%)
$367.50: 8.91-18.67 (+110%)
$370: 7.49-16.80 (+124%)
$372.50: 6.51-15.05 (+131%)

ROKU Weekly $87.50-89 Calls
$87.50: 4.24-8.19 (+93%)
$88: 3.70-7.15 (+93%)
$88.50: 3.45-6.43 (+86%)
$89: 3.09-6.50 (+110%)
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Fresh Idea:
SPY Weekly $250-248 Puts

Yesterday’s OTC Movers

As we’ve mentioned previously, in times of uncertainty on the big exchanges, it is not unusual to see more opportunities for quick-strike OTC trades. We’ve been including some penny stocks in our daily watchlists, and the big winners from yesterday’s report were Abco Energy, Inc. ABCE and Inspyre Therapeutics, Inc. NSPX, which produced the following chances on the day:

ABCE: .0006-.0015 (+98%)
NSPX: .0192-.0378 (+110%)