Blue Horseshoe Stocks: AAP, NPTN & More

Advance Auto Parts AAP – Options

We have a confluence of favorable conditions to look AAP for potential options trades as we kick off a new trading week this morning. As of the end of last week, the stock was trading very near to its annual lows , and has a significant gap on the chart to the upside. Combine that with the company’s strong earnings report including a solid beat on profits, and we’re interested to see where this one will take us.

To try and take advantage of the present scenario, we’re going to tag both a shart and a longer term set of ideas, in the event that the stock sees an extended recovery, as the the chart setup suggests it might. We’ll be looking to AAP Weekly $85-95 Calls, and the 01/19 $95-105 Calls.


NeoPhotonics Corp. NPTN

We also would like to go over the move made by NPTN after we signaled it for observation last Monday morning. Subsequent to that point we ‘ve witnessed a respectable run from a low of    5.10 to a high of 6.66, a gain of 31%

We saw the stock record higher lows every single day last week, and will look for that trend to continue. If the stock can break the double top formation that’s currently on the chart, we could be in line to see much more significant gains.


Extended Watchlist:
MOSY, ONP, REDU, ITUS, TCO, TGTX

Blue Horseshoe Stocks: SNAP Review & More

Snap, Inc. SNAP – Options Idea

After a mixed bag of news yesterday that included a 12% stake being bought in SNAP by China’s Tencent Holdings, and a poor quarterly earnings report, we signaled our interest in tracking the  SNAP Weekly $15-14 Puts for quick strike trades.

It turned out to be a good idea as the stock gapped down and continued to plunge, sending our observed contracts hurtling upward.

$15 Puts – Range: 1.10-2.85 – Max Gain: 159%
$14.50 Puts – Range: .76-2.30 – Max Gain: 203%
$14 Puts – Range: .50-1.89 – Max Gain: 278%


Valeant Pharmaceuticals International, Inc. VRX – Options Update

We began tracking the VRX Weekly $13-14 Calls on Tuesday morning, and saw some pretty nice moves out of them early on in that session.

With the help of another, even more bullish session we were able to see our observed ranges on the specified contracts extended by a considerable margin. The following table represents Tuesday’s lows to yesterday’s highs, and the two-day, multi-bag gains that were possible.

$13 Calls – Range: .82-2.28 – Max Gain: 178%
$13.50 Calls – Range: .52-1.75 – Max Gain: 237%
$14 Calls – Range: .28-1.30 – Max Gain: 364%


Fresh Options Idea: AT&T, Inc. T

We’ve had our eye on AT&T for awhile as it was recently searching out a bottom, waiting for the proper time to pounce with a potential recovery play. Over the past couple of sessions, the stock has establish a solid base of support and begun to try to come up off of those lows, which are the lowest of the year so far.

We’re going to be looking after the T 01/19 $34-36 Calls for a longer-term rebound play, in the days and weeks ahead.


Extended Watchlist:
NPTN, KBSF, UUUU, COTY, DNN, PRTY, SAGE, ENRJ

Blue Horseshoe Stocks: Options Updates & More


Snap, Inc. SNAP – Options Idea

We ‘d like to signal our interest in tracking some SNAP puts in the wake of a poor earnings report wherein it was revealed that the company’s quarterly nearly tripled over Q2. Conversely, we were also hit with the news that China based Tencent Holdings would be taking up a 12% stake in its parent company.

Despite a mixed bag of news this morning, we’re getting a bearish feeling on SNAP, and would like to track some puts through the rest of the week. We’ve had some pretty good success with options ideas for this chain in the past, and conditions appear favorable to possibly see some nice activity in the SNAP Weekly $15-14 Puts.



Valeant Pharmaceuticals International, Inc. VRX – Options Update

Yesterday’s options idea pertained to VRX after a solid earnings report, for which we signaled the VRX Weekly $13-14 Calls.

Fast-acting traders had some nice chances for profits early on in the session as those contracts displayed the following moves inside the first hour of trading.

$13 Calls – Range: .82-1.42 – Max Gain: 65%
$13.50 Calls – Range: .52-1.04 – Max Gain: 100%
$14 Calls – Range: .28-.66 – Max Gain: 136%


Chatroom Call

RLOG came up on a routine scan right before the open yesterday after we published our premarket report, but we did catch it in time in our chatroom.

The stock made a run from .67 low to a high of 1.93 for an impressive 188% move. This is another example of why it’s so important to be a part of our daily traders chats- often we find plays that are alerted in the chatroom after our morning reports are published!

All of our subscribers are free to join in these chats, by simply sending a Skype contact request to username ‘stocksumo‘.



Extended Watchlist:
NPTN, CHRS, PTOP, BPMX, TTWO, GOL, PCRX,

Blue Horseshoe Stocks: Cannabis Commentary & More

NeoPhotonics Corp. NPTN

We’re always bargain hunting for stocks that have been recently beaten back to what appear to be unsustainably low levels, and we’re observing one heck of a double bottom setup on NPTN at the present time.

Twice now the stock has touched and rebounded off of the mid-$4 range, with the annual low coming in at 4.56. We’re going to want to place NPTN on watch in sessions to come and look for the stock to establish higher levels of support.



Valeant Pharmaceuticals International, Inc. VRX

It’s been awhile since we had a look at VRX, and as it turns out, this is another stock that looks ready to start a trend off of a recent relative low.

VRX is gapping up considerably into the $14-range this morning on the heels of a solid earnings beat. We’re going to signal a range of options contracts to watch for some possible dip-and-rip activity. This is just the type of setup we routinely look for, and we’ll be tracking the VRX Weekly $13-14 Calls for the remainder of the week.



Cannabis Commentary

It has been a slow year in general for many domestic cannabis stocks, due, at least in part, to a DOJ led by outspoken marijuana opponent Jeff Sessions. It has created an environment of uncertainty pertaining to the federal government’s likelihood of creating problems for marijuana businesses, even in states where voters have officially spoken and legalized the plant. The marijuana movement is here to stay, but at present, is dealing with this roadblock of sorts.

That doesn’t mean our interest in the sector has diminished. In fact, we’re as exuberant about the future of the cannabis industry as we ever were. North of the Border, Canadians will enact a nationwide end to prohibition just 8 months from now.

The World Anti-Doping Agency, which was formed by the International Olympic Committee to police the use of performance enhancing drugs in athletics, also recently removed Cannabidiol (CBD) from its list of banned substances, opening up a huge market for the hemp-derived product.

Here are just a few of the cannabis plays that we track on a regular basis, and will continue to do so as we head into 2018, which we feel is going to be a big year for the industry and all of its subsectors. Maybe the biggest one yet!

MJNA, TRTC, MJTK, AGTK, GRNH, HEMP, ACBFF, APHQF,  TWMJF, CBIS, XXII,


Extended Watchlist:
TXMD, EVEP, DXTR, COLL, CRC

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Blue Horseshoe Stocks: Options, RMRK Recaps & More


Options Recap –
We cast a pretty wide net with respect to options ideas in the retail sector in our premarket report yesterday morning, and our efforts didn’t go unrewarded. Both EXPR and AEO provided us with some nice chances.

Express, Inc. EXPR – We were tracking the EXPR 09/15 $6 & $7 Calls. The $6′s traded in a range from .45 -.92 for a gain of 104%, while the $7′s logged an even 100% double-bag run from .15-.30.

American Eagle Outfitters, Inc. AEO –   For American Eagle, we were looking at the AEO Weekly $12 & 12.50 Calls. The $12′s recorded our biggest options gainer of the day with a 212% move from .08-.25, and the $12.50′s were another even 100% push , trading from .05-.10 on the day.
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More Ideas -
We’ll keep the post-earnings retail options train rolling today with two fresh sets of ideas using the Abercrombie & Fitch Co. ANF and Dollar Tree, Inc. DLTR chains. We’ll have the ANF Weekly $10 & $11 Calls, and the DLTR Weekly $78-82 Calls on watch as we head into week’s end.


Rimrock Gold Corp . RMRK

We included RMRK in yesterday morning’s premarket report, after noticing some abnormal activity building up in the previous session.

It was a good thing that we did, because yesterday’s performance from the stock was explosive. It traded in a range from .0006 to .0025 on the day, for a fantastic single-session rip of 316%

The move occurred on volume of more than 1.8 billion shares traded; an all-time high for RMRK.


Extended Watchlist:
OCLR, NPTN, MOSY, BSTG, SHLD, TTNP, SIG, RUN