LULU Archives - Page 13 of 13 - Blue Horseshoe Stocks

Blue Horseshoe Stocks: RSH, KNDI, PBR & More

Some Recent Favorites on Bottom Watch

Each of the following stocks brought us large gains earlier this year, and have all been in recent consolidation patterns. They began to exhibit signs of a turnaround on Wednesday. We want to have them all fresh in our minds in coming sessions as we scan for potential bounce-play opportunities that present themselves.

Kandi Technologies Group, Inc. KNDI

We mentioned last Friday that we would be monitoring KNDI for a bottom this week, and began to witness it yesterday as the stock came down to hit 14.79 before snapping all the way back to 16.30, a 10% intraday move. We’ll be on the lookout for signs of continued recovery.

Petroleo Brasiliero S.A. (Petrobras) PBR

PBR appeared to find its low at 17.06 yesterday, and began to rebound into the close at 17.38. As our readers already know, it’s the PBR options chain that has provided us with the most opportunities this year, so once we get a good indication that the bounceback will be sustained, we’ll get a better gauge of the most interesting contracts.

RadioShack Corp. RSH

RSH took a substantial dip to the .77-range to start the day yesterday in anticipation of a disappointing quarterly earnings call taking place at 9am this morning. There was a brief bounceback over a dollar and the stock did end the day back up in the lower .90’s. Rumor has it that there is a high probability of the company declaring bankruptcy, so while there is still a lot of uncertainty in the air, we’re just going to want to monitor RSH to hold support at or above the 50DMA of .83, otherwise we may want to prepare for further decline.

Others to Watch

We’ve got another pair of plays that carry some potential as we head into week’s end, ones that have yet to appear in our reports prior to today.

Wet Seal, Inc. WTSL

WTSL was a hit on a routine scan today; the stock is gapping up this morning. We’ve noticed a large gap to fill on the chart between .90 and 1.00, and trades are presently going off in the pre-market at .73, up over 7% already. The filling of that gap and returning to 1.00+ would mean sginificant gains from here so we’ll be watching this one closely.

Natural Health Trends Corp. NHTC

Yesterday we took notice of NHTC hitting its own low point on Tuesday, and the stock did actually see a significant bottom bounce to more than $17 before pulling back into the close to fall below $13. We’ll want to keep an eye peeled to see if we can use some of that volatility to our advantage.

Added Note:
Lululemon Athletica, Inc. LULU Calls

LULU is gapping up on an earnings beat this morning, so we’ll be looking for profit-taking to create a potential dip-and-rip scenario that could lead us to opportunities in the $41-$43 Calls.

Extended Watchlist:
SCOK, OTIV, AKS

Monday’s Watchlist: Options Ideas, Momentum Plays

Options Trading: Lululemon Athletica, Inc. LULU Calls
–
Last Monday, we mentioned an Options Trading idea, as we were looking at the LULU $65 Calls. We believed that LULU stock could head up past $67 and push toward the $68-level. On Wednesday, the $65 Calls were trading below .30. By Friday, we got the move that we were looking for out of the stock (hit high of 67.90), pushing those Calls as high as 2.80 as shown on the intraweek chart below.

This play was was a good example of why we like to monitor options contracts as they approach expiration, as they can exhibit some of their most volatile activity during that period. Even those who didn’t catch on until Friday could have walked away with up to 100% in intraday gains.

Celsion Corp. CLSN
&
OXiGENE, Inc. OXGN

Each of these stocks, after appearing in Friday morning’s extended watchlist would go on to perform well for the session:

CLSN traded from a low of 1.35, and spiked 15% to 1.55.

OXGN saw a daily range from a low of 3.31, and touching a high of 3.81 for a possible gain of 16%

TechnoConcepts, Inc. TCPS
&
TheDirectory.com, Inc. SEEK

Both of these stocks qualified as momentum plays last week, thus will be on our list of stocks to monitor as we begin the new trading week:

On Friday, TCPS traded in a big range from .008-.04 on roughly 4X its 3mo. average volume.

SEEK went on a run last week as well, and on Friday traded massive volume, to the tune of more than 10X the 3mo. average.

Options Trading Side Note:
Following tomorrow’s market close Apple earnings will be released, so we are eager to see how AAPL stock reacts to those figures. If they will fail to impress, we should see a dip followed by a bounce- should they exceed the Street’s expectations, we will likely be looking at a gap-up and run on Wednesday morning. Either way it shakes out, we will be looking to take advantage with properly timed Calls placed in the money.

Extended Watchlist:
IWEB, NRBT, BTG, BCRX

RSOL, Options Ideas, Solar & Extended Watchlists

Options Trading – SPY Calls

This morning we are seeing a report that US initial jobless claims have fallen more than expected, in addition to personal income and spending being up. This could lead continued success with the SPY Calls that we have mentioned over the past few days. Since Tuesday, we’ve been looking at Calls in the $156-158 range, and those are now deep in the money, having afforded us chances at multi-bag gains. We are going to look at moving our strike price to $159-160, and possibly even $161 should yesterday’s trend continue.

When we see a spike in the SPY, we generally see a subsequent pullback, followed by a bounce. So what we want to look for, is for the SPY to settle to a low of day. From there, opportunities for a quick flip may be present.

We will send out a quick update this afternoon to highlight how these SPY Calls are faring.

Real Goods Solar, Inc. RSOL

RSOL had a solid session following our flagging of the stock in yesterday morning’s extended watchlist. It ran 17% from 2.50-2.92 on the strength of a positive press release, and perhaps gaining a boost from Obama’s announcement on Wednesday about reducing CO2 emmisions, most specifically those produced by the coal-fired power industry.
LOUISVILLE, Jun 26, 2013 (GLOBE NEWSWIRE via COMTEX) — RGS Energy, the commercial and utility division of Real Goods Solar, Inc. (Nasdaq:RSOL), has been selected by St. Albans Solar Partners, LLC, to deploy a new 2.2 megawatt solar farm in Saint Albans, the largest PV system in Vermont.

RGS Energy will design, install, monitor and maintain the solar power system. Construction for the project is expected to begin next month and scheduled to be completed by November.

The fixed array ground mount solar system is expected to generate enough power to provide electricity for 400 homes. It also helps Vermont reach its goal of 20% renewable energy by 2017. Over the next 25 years, the solar energy produced is estimated to offset more than 123 million pounds of carbon dioxide emissions or the equivalent to planting more than 1.4 million trees.

It might be a good idea to add several several solar stocks to a watchlist, in the event that the same effect is felt sector-wide.

Other Solar Plays:

FSLR, CSIQ, ASYS, CSIQ, CSUN, ENER, FSLR, GTAT, JASO, JKS, LDK, SCTY, SOL, SOLF, SPWR, STRI, SUNE, TSL

Extended Watchlist:
EWRL, PTRC, LULU, SWHC, BDGN (Rumors of Upcoming Promo)