Month: June 2019

Blue Horseshoe Stocks: Wrapping Up Big Week for Options

Options Review

We included a pair of options ideas in yesterday’s premarket report, and scored multi-bag hits on both accounts.

We were banking on a third straight bullish day for the markets with our SPY idea, and betting that the huge premarket gap-up on SFIX was unsustainable. In both cases we were correct, and it provided us with the following opportunities:

SPDR S&P500 ETF (SPY) Weekly $283-284 Calls
$283 Calls – Range: .98-2.81  – Max Gain: 187%
$284 Calls – Range: .57-2.00 – Max Gain: 251%

Today we will be looking to roll up our strike price on the SPY and tracking the SPY Weekly $285-286 Calls*.

Stitch Fix, Inc. SFIX Weekly $31-30 Puts
$30 Puts – Range: 1.40-3.22 – Max Gain: 130%

*Never trade weekly options on Friday, unless you are an advanced level trader with access to disposable funds!

At Home Group, Inc. HOME

HOME just missed on earnings and received an analyst downgrade, but on the hunch that the resultant gap-down was based on overreaction, we’re going to radar a set of contracts in the HOME chain to monitor in the event of a rebound. There is an enormous gap now sitting on the chart just waiting to be filled. We’ll have plenty of time to see that happen with the HOME 09/20 $8-10 Calls.

Extended Watchlist:
AMPG, FTD, SNY, RWLK, LJPC, HAIR

Blue Horseshoe Stocks: New Options Plays & More

Turtle Beach Corp. HEAR

This morning to kick things off, we are going to take a look at HEAR, which has gained a bit of momentum over the past couple of sessions after bouncing off a bottom earlier this week. ‘

Technically speaking, the chart has everything we typically look for- a bullish cross of the MACD recently came to pass and we are now seeing clear upward divergence there, and the RSI just cracked the 50-line, indicating that it too is going bullish.

Couple those factors with the convincing surge off of the stock recent relative lows, and we are set up for a possible continuation of momentum, for which we want to be ready with an options idea. We’ll be tracking the HEAR Weekly 10/18 $12.50-15 Calls.

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More Options Ideas

SPDR S&P500 ETF (SPY) Weekly $283-284 Calls
Stitch Fix, Inc. SFIX Weekly $31-30 Puts

Galectin Therapeutics, Inc. GALT – Form-4 Alert

We also want to make mention of GALT, which has been trading sideways near its 6-month lows recently. During this period, we’ve noticed a nearly $20M buy from a GALT insider at these lows.

When this happens we usually like to place a stock on bottom-bounce watch, as it generally tends to suggest that the company director has reason to believe that the stock has reached as low as it’s going to go for the time being.

Extended Watchlist:
AMPG, BOX, TWI, CIEN, ONVO, HIIQ, PBYI, WMGR

Blue Horseshoe Stocks: AMBA Recap & More

Adverum Biotechnologies, Inc. ADVM – Review

When we first brought ADVM into the mix on April 17th, the stock was trading for as little as 5.44, and it has never looked back. We updated readers on its performance a couple of weeks back, and once again this morning, we wanted to circle around to comment on the stock’s strong performance.

Yesterday, which marked the eighth consecutive stair-stepping session in which ADVM posted a higher low, it ran to a brand new high of 11.14. That works out to a total increase of 105% over the low we observed on the morning of our initial alert just over 6 weeks ago.Volume, especially over the last couple of weeks has also been exceptionally high. The stock is is blue skies, and we’re anxious to see where its ceiling will come.

Ambarella, Inc. AMBA

We tagged AMBA in yesterday morning’s premarket report ahead of the company’s quarterly earnings which came later during after market hours. Following a surprise beat, the stock has surged this morning, reaching a premarket high of 46.25. From our observed low of 38.06 that represents a respectable overnight swing of 22%

As you can see on the included chart, the MACD is headed for a bullish cross, and there’s still a large gap to the upside, so we will be tracking AMBA very closely on the heels of this development.

As an added bonus, we’re going to include an options idea for AMBA, the Weekly $42.50-44 Calls.

Extended Watchlist:
AMPG, BOX, ABIO, AEO,