6-Pack of New Options Ideas

Yesterday’s Trend Buckers:  

We went mostly bullish on our earnings plays from yesterday morning’s premarket report, and despite the markets performing horribly yesterday, we still still managed to see some really nice intraday upswings out of our targeted group, toward the end of the session. They all posted runs of a significant nature into the close, so all in all it was a solid day for us.

Those targets were the ROKU Weekly $89-92 Calls, the GTLB Weekly $51-53 Calls, the AVAV 09/15 $110-115 Calls, and the PLAB 09/15 $22.50-20 Puts. The rundown of their best moves on the day went as follows:

ROKU Weekly $89-92 Calls
$89:
.26-.60 (+131%)
$90: .18-.40 (+122%)
$91: .13-.28 (+115%)
$92: .09-.18 (+100%)
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GTLB Weekly $51-53 Calls
$51: .20-.61 (+205%)
$52: .15-.31 (+102%)
$53: .09-.15 (+57%)
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AVAV 09/15 $110-115 Calls
$110: 3.30-13.80 (+318%)
$115: 2.80-9.20 (+228%)
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PLAB 09/15 $22.50-20 Puts
$22.50:
1.39-1.85 (+33%)
$20: .25-.35 (+40%)


Fresh Options Ideas:
SPY 09/07 $445-443 Puts
CHPT Weekly $7-6 Puts
AEO Weekly $17.50-16.50 Puts
AI Weekly $28.50-27.50 Puts
GIII 09/15 $20-22.50 Calls
SAIC 09/15 $115-105 Puts


Extended Watchlist:
WHLR, AREB, SXTC, HKIT, CBAY, ASXC, SASI, RCLF, ATIF, INO

Blue Horseshoe Stocks: More Bottom-Plays

Seres Therapeutics, Inc. MCRB 

It was a pretty slow start to the week yesterday with the markets gapping up early, but falling into decline throughout the session. That didn’t stop the one fresh idea we did have in our morning report from posting a respectable performance on the day.

We referred to MCRB as a ‘prime bottom play’ and while it didn’t exactly explode out of the gate, what we did see was certainly a step in the right direction. From a low of 2.63, the stock ran a modest but solid 16% to a high of 3.06. More importantly, it preserved its momentum by holding the three-dollar mark into the close. A good first day by any stretch of the imagination.

We’ll continue to monitor our longer term options idea that we included, the MCRB 07/19 $2.50 Calls which stand to do well in coming weeks if the stock can continue to maintain the current trend. Yesterday’s session was the fourth consecutive day that the stock has recorded higher lows, and we’ll want to see more of that moving forward.


Verastem Inc. VSTM 

Speaking of bottom plays, we’ve got another one to add to our radars this morning in VSTM. This stock has lost a ton of value over the past year, and recently began to show signs of a rebound. We like it for its technical setup and volatility potential. We will remain interested in tracking VSTM for as long as it can maintain support at 1.72 or better.

VSTM is considered by some to be a speculative buyout play as well. Just this week the company has reported positive early stage data on Copiktra, the company’s leukemia treatment under development. Definitely an interesting story to follow.

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Celestica Inc. CLS

Perhaps even more attractive as a bottom play than the above mentioned stock, we’ve got CLS, which just began to show signs of life after recording a new annual low at the beginning of this month.

If the stock can manage to break its 50DMA at 7.09, there’s a real chance that it could produce significant gains, filling the gap to the topside on the chart. Interesting to naote about CLS as well, is that the company’s EPS has grown by nearly 90% over the past year. When taking that into consideration, its current valuation doesn’t make a whole lot of sense.


Extended Watchlist:
CBAY, DERM, SAVA, NERV, NDRA, PHUN, VIVE

Blue Horseshoe Stocks: FAST Recap & More

Fastenal, Inc. FAST

Our fresh options ideas for yesterday morning was regarding Fastenal,which had just posted a solid Q1 earnings beat. The potential targets that we highlighted were the FAST 04/18 $62.50-67.50 Calls, and we’re happy to report that the stock’s activity has allowed us to see some decent moves out of those so far, with five sessions remaining until their expiration.

The moves was observed yesterday were as follows:

$50 Calls – Range: 5.40-6.50 – Max Gain: 20%
$52.50 Calls – Range: 2.40-4.30  – Max Gain: 79%
$55 Calls – Range: 1.10-2.08 – Max Gain: 89%

With the markets heating up here in the premarket, we’ll want to continue to keep an eye on FAST for the possibility of further useful activity that could propel these contracts to more gains before their expiration next Thursday.
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FRESH OPTIONS IDEAS:
The Walt Disney Co. DIS Weekly $122-125 Calls
SPDR S&P500 ETF (SPY) Weekly $289-290 Calls

*Don’t trade weekly options on a Friday unless you’re an advanced level trader with disposable funds!


Extended Watchlist:
BPTH, WPX, JCP, BSMX, CBAY, WPX, ENDP