This play continues to dominate our headlines for the third time this week, with the stock making yet another sizable move yesterday. We originally called this idea on March 27th, the CNC 09/20 $50-55 Calls. and the response has been fantastic, with the stock itself running from a low of 49.56 that morning, to yesterday’s high of 58.25 (+18%).
It has produced some fantastic gain opportunities for anyone who had the good fortune to catch our initial alert; especially those who went with the $55′s. The total moves over this ten-session span are as follows:
$50 Calls – Range: 1.80-9.50 – Max Gain: 428% $52.50 Calls – Range: 3.84-8.60 – Max Gain: 124% $55 Calls – Range: .31-7.50 – Max Gain: 2319%
FRESH OPTIONS IDEAS: Delta Air Lines, Inc. DAL Weekly $57.50-58.50 Calls
Levi Strauss & Co. LEVI 04/18 $23-24 Calls
We’re sticking with options as we head into the end of what has been quite a difficult week for stocks in general. All things considered, we still feel it’s the most probable way of coming by short term gain opportunities, even amid less-than-ideal conditions.
Walmart, Inc. WMT – Walmart reported its Q3 earnings this morning, and looks like our top target for the day as a result. Heightened sales, both brick and mortar and via Walmart.com, was the name of the game, as the company jacked up guidance on profits for the 2019 full year.
These developments are definitely moving the needle this morning, so we’re going to want to track the WMT Weekly $101-104 Calls.
Cisco Systems, Inc. CSCO – In its own Q1 report in the post-market yesterday, we have an untraded-upon earnings and revenue beat for CSCO, so we’re also going to formulate an idea here.
In conjunction with a solid multiple bottom formation on the chart, the present conditions may favor our chances for a quick strike trade on the CSCO Weekly $45-50-47.50 Calls.
AMRN Weekly $15.50-17 Calls
Despite a tumultuous day for the markets yesterday, and mostly everything taking on a bearish characteristic, we’re still going to go bullish on DAL in the wake of the company’s quarterly earnings report released this morning.
Despite rising fuel costs, the company revealed that profits soared well past expectations as a result of increased demand leading to higher ticket prices.
As we always try to do when a company posts a solid beat, we’ll designate a range of options to place on watch, in this case the DAL Weekly $49.50-52 Calls. We’ll go ahead and track these into the end of the week. DAL stock was already oversold, getting hammered for weeks, so this report may be just the catalyst needed to effect an impressive reversal.
SPDR S&P 500 ETF (SPY)
We had great success with the SPY earlier this week, and we want to come back to it this morning in the wake of the markets getting crushed yesterday. With the amount of uncertainty and potential volatility out there, we want to set ourselves up to have an active idea no matter which way the winds blow.
Should the SPY fall below $276, we will target the SPY Weekly $277 & $276 Puts. If it pulls above $276 we will focus on the $276 and $277 Calls, so either way, we should be able to quickly identify the proper course once trading commences. .
Additionally, we signaled the BHC Weekly $21-22.50 Calls in yesterday morning’s report, and the $22′s and the $22.50′s yielded the most positive single-session results. The $22′s ran from .76-2.00 for a gain of 163% while the $22.50′s traded up from a low of .40 to hit 1.19, which worked out to a move of 198%
We wanted to take an opportunity to backtrack to our options idea from Wednesday, the TIF Weekly $114-117 Calls. We caught the stock on the heels of its earnings report, and the subsequent activity allowed for a good chance for us at the top of that range.
Our ideas got pushed so deep in the money, that the big winner turned out to be the 117′s. Those contracts started out on Wednesday from a low of 1.53, and as of yesterday had reached an impressive high of 8.24. That works out to a two-day swing of 439%
Footlocker, Inc. FL
We’ve had some good luck with the FL options chain in the past, and we’re going to place some contracts on watch today in the wake of the company’s big profit and sales beat this morning. Q1 earnings blew people away today, and as a result the stock is up considerably.
With no weekly expiration contracts available, we’re going to go out to the FL 06/15 $52.50-55 Calls, for potential quick strike trades.