Month: January 2019

Blue Horseshoe Stocks: PBR Options Recap & More

Petroleo Brasileiro SA (Petrobras) PBR – Recap

Yesterday morning, one of the primary focal points our premarket report was a pair of PBR options contracts, the PBR Weekly $14 & 14.50 Calls.

We cited the stock’s volatility and rapid rise over recent relative lows as the reasons for our interest, and despite yet another reversal for the markets in general, we got very solid single-session results for our PBR ideas. The $14’s traded up 95% from .21-.41, while the $14.50’s logged a double-bagger as they ran from  .05-.11, a gain of 120%

PBR is gapping up once again this morning, so we expect these figures to open up even higher. We will then be looking for a possible dip-and-rip scenario.

BioXcel Therapeutics, Inc. BTAI

We mentioned BTAI for the first time in yesterday morning’s extended watchlist, and got a solid first day performance from that stock as well, as it went in the books as the 2nd highest gainer on the Nasdaq for the session.

From a low of 4.00, BTAI went on to hit a high of 5.84, which worked out to a respectable 46% rise that also bucked the overall trend of the day. The move was facilitated by news that the company achieved positive human proof-of-concept data for acute treatment of agitation in patients with Alzheimer’s Disease, and other degenerative neural disorders. (>>View PR)

Extended Watchlist:
W, APU, ARGX, MYSZ, SN, XPO, EPZM, AMID, PROP, SING

Blue Horseshoe Stocks: RARX Review & More

Ra Pharmaceuticals. Inc. RARX

It was the morning of December 12th that we most recently highlighted RARX, and it is one stock that has weathered the ups and downs of the past few weeks quite well. In fact, subsequent to that report, we’ve observed a run from a low of 15.23, up as high as 22.15. That amounts to a run of 45% which is highly respectable for a $15+ stock over a short time span.

That high also represented a new 52-week high for the stock, which is especially impressive when you consider that most stocks out there are just now coming off of recently established annual lows. We’ll be highly interested to see if RARX can continue to push its upper limits.

For what it’s worth, our first-ever mention of RARX came last February, when it was trading at less than $6/share.

Petroleo Brasileiro SA (Petrobras) PBR

We’ve got a long history with PBR options that stretches back years, as you can see in our PBR Archive. Like a lot of other stocks we’re seeing, PBR is coming off of recent relative lows, and has gained a quick boost from the loosening pressure on the markets over the past week.

PBR has breached its 50-day moving average in the premarket, and we want to line up a pair of quick-strike options trading possibilities to correspond with this volatile activity. We’ll be watching the PBR Weekly $14 & 14.50 Calls.

Extended Watchlist:
ICON, SBS, MYSZ, NVCN, APDN, BTAI, VLRX, IMMR

Blue Horseshoe Stocks: SPY Puts & More

SPDR S&P500 ETF (SPY) – Options Idea

We came up really big with some SPY options ideas just prior to the New Year break, and will look to continue that pattern today. The markets look to be gearing toward another slumping session, so we’re inclined to signal a range of of bearish ideas to correspond with the fund’s current activity.

We’re going to select the SPY 01/02 $248-245 Puts* for observation today, with the possibility of some considerable gain opportunities that would come our way with a bearish correction to last week’s bullish push.

Please note that these expire at the end of the day, and should thus be treated as Weekly options on a Friday. As we always mention in these instances: *Please do not attempt to trade options on the day they expire unless you’re a seasoned veteran trader with money to burn. While the potential rewards are great from this type of trading, the risk is equally grave.

Western Asset Mortgage Capital Corp.  WMC

We want to put WMC on watch as a Form-4 bottom play, after noticing that the CFO picked up a multi-million dollar block of shares toward the end of last week, just as the stock has been coming down to new 52-week lows.

We will put it on our radar and be looking for it to establish itself as a recovery play as we kick off this new trading year.

Extended Watchlist:
GNCA, EBR, AKER, WMC, PLUG, NDRA, FCEL, CPST, CCCL