Blue Horseshoe Stocks: Earnings Related Options Ideas

Earnings Related Options Ideas

As our regular readers are well aware, a majority of our focus in recent years has been shifted from straight stock trading ideas to options. More specifically, short-term options in companies that have just reported their quarterly earnings.

We are the absolute best newsletter for options daytrading in existence, routinely providing ideas with multi-bag gain potential each and every week. Our record, which anyone can view at any time in our archives, speaks for itself.

After a huge number of reporting companies just released their quarterlies and several high impact economic reports came back positive this morning, we’re going to revisit some ideas in a few chains that have been good to us in the past:

Shake Shack, Inc. SHAK Weekly $67.50 Calls
Weight Watchers International, Inc. WW Weekly $22.50 Calls
SPDR S&P500 ETF (SPY) Weekly $292.50 Calls

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Bonus Idea:

Biogen, Inc. BIIB has been largely trading sideways since its huge flop on its alzheimer’s drug back in March caused a massive cratering of the stock. We look for large gaps on charts like this, along with signs that a stock has reached its lowest likely trading value. The latter signal, we can infer from the huge blocks of insider buying at current levels which have been reported over the past week. Two Form-4′s amounting to a total of roughly $20M in insider buys suggest that the current base is solid. We’ll look to take advantage of a longer-term idea and track the BIIB 07/19 $240-250 Calls.


ARCA Biopharma, Inc. ABIO

Occasionally we do still provide straight stock ideas as well, when a solid bottom or news play catches our attention. We put ABIO on bottom watch at the end of March when it was trading in the upper-$6 to $7 range. The stock was under steady consolidation for the whole of April, and reached as low as 5.01 just this week before launching into a huge two day uptrend.

Yesterday it reached a new high of 20.45, which marks an overall rise of 308% We also re-tagged it in our premarket report yesterday, and for those that only put it on their radars following that alert, yesterday’s intraday move alone was fairly impressive. It ran from 12.03 up to the previously mentioned high, which marks a one day upswing of 70%


Extended Watchlist:
TROV, SUNW, UXIN, CBLK, BRKR, CBLK, RPD, ADOM, VTVT, ZIXI, IDEX

Blue Horseshoe Stocks: TSLA Review & More

Tesla, Inc. TSLA – Recap

Our fresh options idea for the day yesterday morning was a range of puts in the TSLA  chain, on the heels of its poorly-received earnings call. What resulted, as the stock began the session under duress, were some very nice opportunities for us before lunchtime.

Our designated range was the TSLA Weekly $285-277.50 Puts and we happily observed the following solid moves:

$285 Calls – Range: 4.95-10.74 – Max Gain: 117%
$282.50 Calls – Range: 3.92-8.90 – Max Gain: 127%
$280 Calls – Range: 2.94-7.21 – Max Gain: 145%
$277.50 Calls – Range: 2.30-5.78 – Max Gain: 151%



Potential Bottom Plays

Esperion Therapeutics, Inc. ESPR – We like the look of the ESPR chart for a potential extended recovery play. As you can see on the chart the stock has been in quite a bit of trouble over the past few sessions, losing roughly half of its previous value in a matter of just a few days.We’re always looking for heavily oversold stocks in line for the chance at a big rebound.


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Iconix Brand Group, Inc. ICON – We also want to add this one to our watchlist. The stock has been pushed way down amid an SEC investigation concerning ICON and a famous partner of the company, award-winning recording artist Jay-Z, and his Rocawear brand.

As you can see below, in addition to a more steady backslide that dates back much further, the stock has really gone into free fall in recent sessions, resulting in a scenario that could produce a significant rebound, which we’ll want to be looking for.


Extended Watchlist:
ACAD, FRED, CTRL, CREG, CPHI, SHAK, CNET

Blue Horseshoe Stocks: Options Success, MNKD & More

Eleven BioTherapeutics, Inc. EBIO

Out of four focal points for yesterday morning’s premarket report, three of them worked out very nicely. From the stock side of things, we had EBIO, which we designated as a potential momentum play after noticing it picking up steam in prior sessions.

Our hunch was good, as the stock ran from a low of 2.31 to 2.955 (+28%) on roughly nine times its monthly average volume. It was a relatively modest gain, yet we did see a temporary breach of the 50DMA as well as a strong close at 2.78. It was a solid enough performance to warrant further observation.

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MannKind Corp. MNKD - We drew attention to MNKD on Wednesday morning and just want to provide an update on its excellent progress so far. In the past two sessions since then it has traded up from a low of .44 to .68 (+55%) in two bullish sessions. We’ll be looking for a possible continuation of that trend.


Options Winners

The other two winners from yesterday were both successful options ideas that we formulated on the heels of strong earnings reports, and the gain opportunities there were quite a bit larger.

We’ve come to routinely expect huge multi-bag intraday runs when we hit on a good post-earnings idea, and that’s just what we got from every single contract we signaled.

Macy’s, Inc. M – Weekly $38-41 Calls

$38 Calls – Range: 1.52-3.85 – Max Gain: 153%
$38.50 Calls – Range: 1.27-2.90 – Max Gain: 128%
$39 Calls – Range: 1.00-2.97 – Max Gain: 191%
$39.50 Calls – Range: .81-2.25 – Max Gain: 178%
$40 Calls – Range: .50-1.90 – Max Gain: 280%
$40.50 Calls – Range: .30-1.47 – Max Gain: 390%
$41 Calls – Range: .15-1.16 – Max Gain: 673%

Shake Shack, Inc. SHAK – Weekly $35.50-37 Calls

$35.50 Calls – Range: .39-2.00 – Max Gain: 413%
$36 Calls – Range: .37-2.62 – Max Gain: 609%
$36.50 Calls – Range: .35-.77 – Max Gain: 120%
$37 Calls – Range: .18-1.90 – Max Gain: 956%

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Fresh Idea - Nvidia Corp. NVDA – Nvidia beat on earnings in a post-market release yesterday, and to correspond with the activity we’re observing here in the premarket, we want to highlight the NVDA Weekly $77-80 Calls* for potential daytrades.

*Our regular readers are well aware of the warnings we post every time we issue an alert, but for everyone just joining us, please be aware that trading options contracts with a weekly expiration on a Friday is a highly risky proposition, and should only be undertaken by expert traders!


Extended Watchlist:
CHMD, DNRG, FNMA, FMCC, LLEN, SRCH,
DXYN(Bottom-Watch)

Blue Horseshoe Stocks: CCTC, EBIO, Options & More


Potential Momentum Plays

Clean Coal Technologies, Inc. CCTC - In a characteristic move, CCTC repeated the history of its own chart, as a stock that seemingly likes to make volatile swings to the upside. It breached its 50DMA in a bullish manner yesterday, so we are going to tag it for observation today in the event of continued momentum.

The chart is showing a series of ripening indicators as well. In order to hold our attention, CCTC will need to maintain support at or above that 50DMA, currently at .153 on any pullbacks.


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Eleven BioTherapeutics, Inc. EBIO
– EBIO is a stock we’ve come back to on several occasions in the past, and today, we want to circle around to point out its current status as a bottom-bouncing momentum play.

It hit four-month lows just five sessions ago, and has made a decent effort at a rebound since then, so we’ll keep it on watch for the possibility of further recovery.


Options Ideas

We’ve got a couple of earnings-related options ideas this morning as well. As our regular readers are surely aware, post-earnings options trading is one of our favorite and most reliable ways of rooting out rapid short term gain opportunities.

Shake Shack, Inc. SHAK – Weekly $35.50-37 Calls

Macy’s, Inc. M – Weekly $38-41 Calls

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Reminder: We’re also still tracking our idea on Starbucks from last Friday, the SBUX Weekly $53.50-55 Calls. The stock has traded up to nearly $55 in the premarket today, so we’ll be open to the possibility of seeing our gains extended there.


Extended Watchlist:
PXYN, LGBI, PARS, IFAN, CAFS, NNLX, KBS, FCEL

Blue Horseshoe Stocks: Tuesday’s Gainers, Options Recap & More

Yesterday’s Movers

While Tuesday’s activity was more subdued than the landmark session we had on Monday, we did manage to find major success with our options trading ideas, as well as the following stocks which made moderate moves to the upside:

Propanc Health Group Corp. PPCH – PPCH is a stock we’ve talked about on several occasions in the past, and it continued its ascent off of recently established annual lows following its inclusion in yesterday’s morning report.

The stock traded in a range from .0188 to .026, an intraday pop totaling 38%, and it did so on volume which came in at nearly quadruple the 3-month average. It also closed just a few ticks below the HOD, so we’ll certainly have a continued spot on our watchlist reserved for PPCH for the time being.

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Black Stallion Oil & Gas, Inc. BLKG – Traders with a quick trigger finger could have taken advantage of the rapid move made by BLKG right out of the starting gate yesterday, with its spike from .08 to .12. The run was, however, relatively short-lived as compared to the previously mentioned play.


Options Recap

Our options calls (and puts!) turned out to be the stars of the show yesterday, as we were mentioning above. As our regular readers are surely aware, we’ve developed the keen ability to spot short-term options opportunities with hawk-like acuity, and that fact was on full display once again.

Urban Outfitters, Inc. URBN - Weekly $29-32 Calls

$29 Calls – Trading Range: 1.79-4.10 – Max Gain: 129%
$30 Calls – Trading Range: 1.20-3.11 – Max Gain: 159%
$31 Calls – Trading Range:  .89-2.36 – Max Gain: 165%
$32 Calls – Trading Range: .42-1.56 – Max Gain: 271%

Shake Shack, Inc. SHAK -  Weekly $40-37.50 Puts

$40 Puts– Trading Range: 1.60-2.96  – Max Gain: 85%
$39.50 Puts – Trading Range: 1.35-2.65  – Max Gain: 96%
$39 Puts – Trading Range: 1.19-2.46  – Max Gain: 107%
$38.50 Puts – Trading Range: 1.30-1.96  – Max Gain: 51%
$38 Puts – Trading Range: .92-2.76  – Max Gain: 200%
$37.50 Puts – Trading Range: .69-1.25  – Max Gain: 81%


Extended Watchlist:
MINE, ROYL, NWTR, NWPN, GRNH, MXSG,
PPHM(Coming off annual lows w/ large gap to fill)