MRTX | Blue Horseshoe Stocks

Blue Horseshoe Stocks: More Options Success

SPDR S&P 500 ETF (SPY) – Options Recap

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Our options calls we made for the SPY on Friday morning were very good to us, and were an excellent way to close out what was ultimately a very successful trading week.

We put a flag up on the SPY Weekly $274.50-277 Calls after seeing the markets stabilize last midweek, following a couple of turbulent sessions as a result of Trump administrations newly announced tariffs. Things looked ripe for a rebound on Friday and that’s just what we got, with the SPY turning in a bullish performance from start to finish.

There were six sets of contracts contained in our designated range, and regardless of which strike price was chosen, intraday gains were on the table, ranging from very good to absolutely fantastic.

$272 Calls – Range: 1.30-4.31 – Max Gain: 232%
$272.50 Calls – Range: .80-3.90 – Max Gain: 387%
$273 Calls – Range: .68-3.25 – Max Gain: 378%
$273.50 Calls – Range: .46-2.90 – Max Gain: 530%
$273 Calls – Range: .26-2.45 – Max Gain: 842%
$273.50 Calls – Range: .10-1.90 – Max Gain: 1800%

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Burlington Stores, Inc. BURL – Speaking of multi-bag options winners, we slated the BURL 03/16 $120 & $125 Calls for observation on Thursday morning, and those finished out the week with stregth as well. The $120 Calls ran from 4.04-8.50, for an intraday rip of 110%, while the $125 nearly doubled that performance with a 212% run from 1.35-4.21.

Lumentum Holdings, Inc. LITE

We want to swing back around to recap the recent performance of LITE as well. Since our alert on the stock on February 7th, at which time the stock was trading for as little as 52.20/share, LITE has made considerable and steady upward progress.

On Friday it hit a new high of 69.25, marking a move of 33% in less than five weeks. That is quite a feat for a stock that started out above $50!

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Fresh Options Idea:

Valeant Pharma International, Inc. VRX -We’re going to formulate a short and longer-term options idea for VRX, which is looking like it could be ready for a bottom bounce. Last week, an insider buy to the tune of more than $108.8M came in as well, which just reinforces our assumption that for now the stock has gone as low as it’s going to go.

We’ll be looking at the VRX Weekly $15 & $15.50 Calls, as well as the 04/13 $16 & $16.50 Calls.

Extended Watchlist:
ADMS, AKER, CPST, KANG, MRTX, NPTN, ENRJ

Blue Horseshoe Stocks: DMTX Review, Options & More

Dimension Therapeutics, Inc. DMTX

We alerted on DMTX after a sizable gap-up few weeks back on the morning of August 25th. That day we would observe a low of 2.90 in the stock, and it never looked back.

Throughout the month of September the stock has mostly been stair-stepping its way up in steady fashion, but news of an unsolicited buyout offer (@5.50/share) kicked this play into a much higher gear to start things off this week, and yesterday DMTX attained a high of 5.90.

That works out to a three-week double-bag swing of 103% We wouldn’t expect to see the stock travel much higher, certainly not without confirmation or further details on a proposal, but will still keep our eyes open for further activity after a very strong session yesterday.

Fresh Options Ideas

We’ve got a pair of options possibilities to present this morning. Yesterday’s market sentiment was exceedingly bullish, with more than 65% of NASDAQ quoted stocks trading at or above their 50-day moving averages.

Today, better than expected numbers on Housing Starts and Building Permits were reported, which could assist in keeping the momentum moving.

SPDR S&P500 ETF (SPY) – For a direct market analog, we generally turn to the SPY, having had immense success with it on several separate occasions in the past. We’re going to signal the SPY Weekly $249.50 & $250 Calls for observation as we approach midweek.
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The Kroger Co. KR – We’re also noticing a heck of a bottom setup on KR. A strong multiple bottom signal showing the stock at a solid support level, and a couple of gaps to the upside on the chart leaves us looking at a pair of longer-term contracts. We’re going to place the KR 11/17 $23 & $24 Calls on watch in the event of a recovery for Kroger.

Extended Watchlist:
STAF, CAPR, MRTX, NTEC, NBRV, RNVA, AGTC

Blue Horseshoe Stocks: MRTX Recap & More

Mirati Therapeutics, Inc. MRTX

After reporting positive cancer trial results on Friday, we talked about MRTX being poised for a big move and we weren’t incorrect.

The stock exploded out of the gate right from the outset, and traded in an impressive range from 9.15 to 12.40 early on in the day. That was good for a 35% intraday run- excellent for a $9+ stock. This is the third time in as many weeks we’ve called a stock that was approaching the ten dollar range and saw it gain more than a third in value in a single session.

Not only did MRTX trade up big on many times more thanits average volume, but it managed to maintain well over half of its daily advance, so we’ll be interested to continue monitoring its activity as we kick off a fresh trading week.

Iconic Brands, Inc. ICNB

We want to place ICNB on bottom-watch after taking a look at the recent history of the chart. This stock exhibits some really nice volatility and is coming down off of a significant spike.

When it finds support and rebounds, we could see a notable swing trade opportunity. The last such swing took the stock from the .003 range to .014.

The company recently announced its brand of Prosecco endorsed by former supermodel Christie Brinkley would be carried by Publix stores, so we’ll also be looking for further updates on that part of the story as well.

Pluristem Therapeutics, Inc. PSTI

We tagged PSTI for observation roughly a month ago, and have since seen a moderate move up on the chart, and will want to continue monitoring the situation.

The run the stock has made thus far is a marginal 27%, but things this morning have taken an interesting turn as the company announced the FDA granted fast track status to one of its treatments.

Extended Watchlist:
RAD, ADYN, NBRV, ARWR, PTIE, BIOA, MBOT, TRXC, COGT