Earnings-Related Options Ideas
We’ve uncharacteristically neglected the options trading arena a bit this week, so this morning we’re going to start off by signaling a range of Calls in the chains of a couple stocks whose earnings have just been released.
Tesla Motors Corp. TSLA – Despite a miss on earnings released yesterday post-market, we’re seeing TSLA rebounding from its week-long slide in premarket trading this morning.
We’ll go ahead and formulate a conditional idea to correspond to the situation. Stipulating that the stock can hold support above the current 200DMA (225.98) on any pullbacks following the opening bell and break back above the 50DMA, we’re going to be monitoring the activity in TSLA Weekly $225-230 Calls for the possibility of some nice intraday upswing action.
Alibaba Group Holding Ltd. BABA – In early trading BABA is gapping up after an earnings beat this morning which included a 39% boost in Q4 revs, and a 42% monthly rise in active usership via mobile platforms.
We’re going to signal a range of short-term calls for this play as well, zeroing in on the BABA Weekly $77-81 Calls for potential quick-strike trades.
Pot Stocks on Watch Again
There has been a lot of ebb and flow to general interest in cannabis plays, and it appears that we’re heading into another hot zone. We keep a continual watch over the entire sector, and there has been rising activity in many of the pot stocks that we track routinely.
The usual suspects to which we are referring are GRNH, MJNA, CBIS, TRTC, & CANV. We’ll be sure to keep each of them on closer watch in the sessions ahead.
xG Technology, Inc. XGTI, which we tracked from a low of .08 late last month and have been mentioning all this week, is seeing another early push today in the wake of some patent news(>>View PR) . Reserve a slot on your radars as the stock has reached a new high of .18 in the premarket today.
PBR, CHK, LGCY, NHMD(Momentum Mover)