Blue Horseshoe Stocks: Friday’s Movers & More

Options Review

We absolutely crushed it on the options front over the past few weeks, and the fresh ideas we floated in our premarket report on Friday morning were no exception. We signaled our interest in tracking a broad range of contracts in both the Foot Locker and Verizon chains, and most of those ideas were successful in providing traders with a chance at sizable single session gains.

Foot Locker, Inc. FL Weekly $38-42 Calls
$38 Calls –
Range: 1.17-2.98 – Max Gain: 155%
$39 Calls – Range: .45-1.94 – Max Gain: 331%
$40 Calls – Range: .20-1.00 – Max Gain: 400%

The $41 and $42 Calls ended up being too far out of the money to see any notable activity, but the contracts that did move, did so very nicely.
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VZ 01/19 $45-48 Calls
$45 Calls – Range: 1.08 -1.66 – Max Gain: 54%
$46 Calls – Range: .59-1.10 – Max Gain: 86%
$47 Calls – Range: .39-.67 – Max Gain: 72%
$48 Calls – Range: .23-.42 – Max Gain: 83%

In the case of Verizon, it appears the stock is getting a push from an analyst upgrade, news of special holiday deals the company is offering, and a great chart setup even before last week’s earnings beat. We seem to have come along at an opportune time, and could very well see further gains in these contracts. We’ll definitely continue to track these ideas.


Aurora Cannabis, Inc. ACBFF

Aurora was among the many cannabis stocks we highlighted a couple of weeks ago in our Cannabis Commentary report,. and between that week, and last week, the stock made a very nice run. It traded up from a low of 2.777 to a high of 5.45; a move of 96%

That was followed by a consolidation, and this week were going to want to watch out for ACBFF to find support and potentially make another run at its previous resistance point. The company also reported a possible takeover of another firm this morning, so we’re really going to keep paying close attention to Aurora this week.


Extended Watchlist:
DDD, GLBS, DCIX, MYSZ, MRVL, CAVM, CRMD

Blue Horseshoe Stocks: WMT Options Recap & More

Wal-Mart Stores, inc. WMT – Options Review

We signaled a wide range of options contracts in the Wal Mart chain yesterday, the WMT Weekly $92-96 Calls, and every single one of them produced the opportunity for huge single session gains. It was a post-earnings beat idea, and those have a tendency to work well in our favor.

WMT made a considerable move which allowed for multi-bag gains regardless of which strike price was selected. Those potential profits were as follows:

$92 Calls – Range: 2.55-7.40 – Max Gain: 190%
$92.50 Calls – Range: 2.13-7.15 – Max Gain: 236%
$93 Calls – Range: 1.42-6.58 – Max Gain: 363%
$94 Calls – Range:1.03-5.53 – Max Gain: 437%
$95 Calls – Range: .60-4.50 – Max Gain: 650%
$96 Calls – Range: .23-3.50 – Max Gain: 1421%

It appears as if WMT could keep this train rolling today, so we may look to roll up to the WMT Weekly $98-100 Calls* to stay close to the money.



Fresh Options Ideas:

We also want to put a few contracts from the Foot Locker and Verizon chains on watch today. Footlocker currently has a ripe bottom-play setup happening on the chart, while Verizon is another post-earnings beat idea.

FL Weekly $38-42 Calls*

VZ 01/19 $45-48 Calls

* Never trade options with a weekly expiration on a Friday unless you’re an expert trader with disposable funds. It’s just about as risky as it gets.


Extended Watchlist:
RLOG, DCIX, SINO, TOPS, NTES, HIBB

Blue Horseshoe Stocks: ACRX Recap & More

AcelRx Pharmaceuticals, Inc. ACRX

We want to circle back around to ACRX this morning to give an update on its recent performance following our most recent tag of the stock on Monday of last week. We observed ACRX shares changing hands for as little as 2.80 that day, and the stock has been on a pretty nice run since then.

ACRX logged a solid session yesterday which allowed it to reach a new high of 3.65, marking an increase of 30% in a span of one week. More importantly, the stock closed at its new high, on heightened volume and is gapping up this morning, so we’ll definitely want to be on the lookout for further activity on this play, which is now trading at its highest PPS since October.


Post-Earnings Options Ideas

We usually have pretty good fortune when using the heightened activity that generally follows an earnings beat to find solid short term options ideas.

Today, Caterpillar and McDonald’s are the two big names making waves in the premarket, so we’ve formulated a range of interesting contracts in each chain to track as we head into midweek.

For Caterpillar, we’ll be looking at the CAT Weekly $111-114 Calls, and for McDonald’s, the MCD Weekly $152.50-155 Calls for potential quick-strike trades.



AK Steel Holding Corp. AKS

We want to put AKS on a longer-term watch after the company’s own solid beat on expectations for its Q2 earnings, as well as a recent upgrade from ‘Neutral’ to ‘Buy’ by Longbow Finance.

The potential for big tariffs on international steel being imposed in coming weeks is also present, and has been adding fuel to the furnace, so to speak, for steel stocks. A confirmation of those tariffs would certainly provide a boost that could send AKS higher.


Extended Watchlist:
GNCA, BKS, GEVO, TNTR, TEUM, DCIX,

Blue Horseshoe Stocks: Options Roundup & More

Options Roundup

We had good fortune with our fresh options call yesterday, so today we’re going to be recapping the total possible gains on those plays, as well as unearthing a couple of fresh ideas to add to the mix as we close out this trading week.

Delta Air Lines, Inc. DAL – Recap - Our inkling on DAL yesterday morning was to go bearish after a disappointing earnings call for the airline, with the DAL Weekly $55.50-53.50 Puts. We were not disappointed with our decision to do so, as those DAL puts went on to log the following double and multi-bag intraday moves for us before lunch hour was over:

$55.50 Puts – Range: .76-1.60 – Max Gain: 110%
$55 Puts – Range: .48-1.05 – Max Gain: 119%
$54.50 Puts – Range: .25-.65 – Max Gain: 160%
$54 Puts – Range: .13-.36 – Max Gain: 177%
$53.50 Calls – Range: .03-.17 – Max Gain: 466%
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Advanced Micro Devices Inc. AMD

Speaking of bearish options ideas, we want to enter another fresh set into the log this morning in AMD. This stock trades very cyclically, and from a technical perspective, looks as if it could continue to lose ground after a reversal this week. We’re going to place the AMD 07/21 $14-13 Puts on watch into next week in the event that our impression of this play is correct.
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BJ’s Restaurants, Inc. BJRI

Lastly on the options front, we are going to signal a range of extended-term calls on BJRI, which has a pretty attractive bottom setup on the chart at the moment. To take advantage of a potential sustained rebound, we’re going to be monitoring the BJRI 08/18 $35 & 40 Calls.
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Bonus Idea: NTNX 7/21 $20-25 Calls


Diana Containerships. Inc. DCIX

DCIX went into a full-on nose dive recently after it was announced that the company would be taking out roughly an $85M loan to settle a monster pile of debt, and the investment community did not take the news well.

The stock has subsequently fallen to new all-time lows, and that’s where we come in. We’re always looking for stocks like this to put on bottom-watch. Being egregiously oversold, DCIX may yet have a bit further to fall, but we’ll want to be ready for a reversal at any time. The resulting bounce-back could be considerable.


Extended Watchlist:
NPHC, DEWM, DOLV, FRO, JCP, CHFS, PIXY, HPJ, CTIC,

Blue Horseshoe Stocks: GIGL Explodes & More

Giggles N’ Hugs, Inc. GIGL

We were exceptionally pleased with the performance of GIGL after including it in Friday’s premarket report, and our timing really couldn’t have been any better. The stock had been trading sideways for months, without so much as a spike, yet it still broke out for a monstrous single-session move.

GIGL traded up from an early low of .0053, smashed through the penny barrier, and hurtled its way to an impressive high of .024. That worked out to an intraday push of 353% and it came on record volume.

For those reasons, we’ll certainly be ready to continue monitoring the activity in this play. We’ll of course allow for the possibility of some course correction, but the odds of seeing either a continued increase, or a dip-and-rip scenario, seem reasonably high at this point.


LIG Assets, Inc. LIGA

We also got a pretty good performance out of LIGA, which was another inclusion from Friday’s report. The move didn’t quite rise to the magnitude of the aforementioned stock, it did attain double-bagger status with a significant gain opportunity.

From a low of .001, we watched as LIGA shot to a high of .0022 inside of the first two hours of trading. That was good for quick gains of up to 120%    Perhaps just as importantly, the stock maintained more than half of its daily advance, so we’ll be keeping an eye peeled in sessions to come.


Merrimack Pharmaceuticals, Inc. MACK

We also want to draw attention to MACK this morning, a stock that we haven’t visited in quite some time. Following the establishment of a new 52-week (and indeed, a three year) low on Friday, a bombshell development hit wires this morning and is really causing a stir.

PPS has increased considerably in premarket trading as the company announced that it has sold a pancreatic cancer drug, among other assets, for a cool billion dollars. (>>View PR)

Whenever a major catalytic event such as this transpires, we always like to monitor the situation on the tail end. Hypothetically, a return to its pricing from around this time last year, from this point, would carry a gain of around 100%


Extended Watchlist:
ACNV, GEVO, DRYS,TLOG, SINO, DCIX,