Blue Horseshoe Stocks: ADMD, VRX Updates & More


Valeant Pharmaceuticals International, Inc. VRX-  Options Update
 
When others are behaving as if the sky is falling, namely the analysts over at Piper Jaffray who recently blasted VRX, we’re on the lookout for for opportunities. We didn’t go along with the crowd, and went bullish on the embattled stock, and it turns out we had the winning hand.

We called Monday’s 52-week low the bottom, at least for the time being, and signaled the VRX 04/22 $32 Calls for observation. VRX had a boomer of a recovery session, running from 29.01 back to 32.05, and as a result our tracked contracts enjoyed a sizable intraday increase.  From a low of 2.90 they reached 3.90, a healthy 35% pop, and granted the fact that the stock appears ready to gap-up this morning, we expect that figure to expand appreciably.

Advanced Medical Isotope Corp. ADMD

This familiar stock was one of a pair of plays that stood out from the rest on yesterday morning’s extended watchlist. We’ve tracked this play on and off for well over a year, and came back to it at a good time to take advantage of the chart it’s been building.

We witnessed an intraday run from .003-.0042, marking a move of 40% which occurred on the heaviest recorded volume in almost a year, and the fourth consecutive session of higher highs and higher lows.

We also prepared a video presentation of the charts of each of the preceding plays:

Pan American Goldfields, Ltd. MXOM

We also had MXOM appear in yesterday’s watchlist, and it too enjoyed a modest but noteworthy move on the day. It went up from a low of .0068, reaching a high of .009. That worked out to a 32% intraday performance on approxiamtely qudruple the average monthly average volume.

KollagenX Corp. KGNX – Possible Bottom Bouncer

We’re going to pin KGNX to our tracklist today as well after noticing the stock showing signs of life off of its recently established 52-week low. We’ve highlighted the pertinent indicators on the chart below, and will continue to track its progress provided it continues to build higher base levels of support.

Extended Watchlist:
ENHT, EARI, KGKG, GBSN(FDA News)

Blue Horseshoe Stocks: Bottom Plays, Options Idea & More

ML Capital Group, Inc. MLCG – Update
 
The first thing we want to do today is take a look back to Thursday morning at a play we designated for observation in our watchlist.

MLCG has followed up our alert with three consecutive sessions of higher highs and higher lows. On Thursday, we witnessed the stock changing hands at .0008, and yesterday we saw it reach a high of .0014. That marks a laudable three-day swing of 75% with very heavy volume coming in over that time-span.

We’ll continue to monitor MLCG for a continuation of the bullish pattern we’ve seen established thus far.

Special Reminders:

Axion Power International, Inc. AXPW
& Skyline Medical, Inc. SKLN

Now, we’d like to reiterate our opinion of both of these [unrelated] stocks, which we recently presented as bottom-watch plays.

Each one is still giving us the impression that their rebounds could occur soon, so we just wanted to remind our readers that these plays are still on our radar. In both cases, the stocks appear heavily oversold and ripe to begin a significant recovery, so let’s not let them fall by the wayside just yet.

Valeant Pharmaceuticals International, Inc. VRX-  Options Idea

We’ll close out this morning’s report with our first fresh options idea of the week. We’ve been watching over the past week as the stock has taken a real pounding, falling from just below the $70-level to below the $30-level.

We’re going to signal a set of contracts with an extended expiration period, the VRX 04/22 $32 Calls, which will give us plenty of time in which to see the stock put some distance between itself and the newly-established 52-week low it saw yesterday.

Extended Watchlist:
MXOM, FABU, DXMM, PPCH, ADMD, CGRW, ROX(Form-4 Bottom-Watcher)

Blue Horseshoe Stocks: BAC, SEAS Recaps & More

Options Recap

 We continued our run of success with options plays on Friday– three of the four ideas we offered ended up turning in notable intraday performances. 


Bank of America Corp. BAC

Our BAC selection was new on Friday morning. After we noticed a PR alluding to an increase of the company’s massive share buyback program, we highlighted one set of options contracts in particular, the BAC Weekly $13.50 Calls.

We witnessed those trade in an intraday range from .16-.37, which represented a move of 131% ultimately proving to be our biggest runner of the day.

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United Parcel Service, Inc. UPS

Our designation of UPS April 8th $104 Calls was one of a pair of ideas that we formulated on Thursday which would carry their success into Friday’s session as well.

Those contracts rose from a daily low of 1.50 and ended up hitting 2.03 for an intraday move of 35%, and a two-session swing of 332% over our observed low of .47 on Thursday.
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SeaWorld Entertainment, Inc. SEAS

The other play from Thursday morning that we highlighted was the SEAS April 15th $18 Calls, and those too traded in similar fashion, putting up a nice intraday gain which also measured as a big increase from the prior session.

On Friday those contracts ran from 1.20-1.95, which marks a 63% intraday pop, and a total jump of  388% over Thursday’s low of .40.

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Our sincerest congratulations to all of our readers both old and new who have been following along with our regular options ideas. A vast majority of our picks in this arena in 2016 have been absolutely stellar, despite highly irregular and uncertain economic conditions.  As always, we’re going to be doing our best to continue this pattern of success indefinitely.

LegacyXChange, Inc. LEGX

On the stock side of things, we had LEGX in our watchlist on Friday, and it managed a respectable intraday move. From an early low of .0243 the stock achieved an afternoon high of .0379; that was good for intraday gains of up to 55%

Extended Watchlist:
SCIE, PCSV, VPRO, STTX, LINE,

Blue Horseshoe Stocks: Options Roundup & More

Options Roundup

We produced three sets of options ideas in yesterday morning’s premarket report, and considering our recent track record with options plays, it should come as no surprise that we hit on some big gainers with all of them.

Petroleo Brasiliero SA (Petrobras) PBR

We’ve successfully come up with winning options ideas for PBR on so many occasions, we’ve lost count at this point. Our targeted contracts yesterday were the Weekly $5 and $5.50 Calls, and both sets recorded solid moves on the day.

For the $5’s we saw a nice run from .42-.77, an intraday swing of 83%, while the $5.50 Calls doubled that performance with a 166% pop from .12-.32. 

We mentioned that the idea could serve for swing trades into today, and it appears as if PBR’s gap up will extend the gains we’ve seen thus far, especially considering that oil is presently at its highest price in months. In addition to staying on top of those 5.50’s, we’ll explore the possibility of rolling up our strike price to the 6.00-level. We’ll just need to see the stock hold support at its previous resistance point of 5.72 on any early pullbacks.

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United Parcel Service, Inc. UPS

The next idea we came up with was to take a look at UPS April 8th $104 Calls, which we found attractive for a number of reasons that we listed in our report, and those contracts put up a top-notch performance as well.

They started out from a low of .47 and would end up hitting a daily high of 1.50; gains of up to 219% were there for the taking.

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SeaWorld Entertainment, Inc. SEAS

We were very interested in Seaworld’s PR concerning the halting of the Killer Whale breeding programs and theater show phase-out yesterday(>>View PR). The announcement was received well by the investing community, as well as the company seeing goodwill on social media for doing the right thing- at one point on Twitter, #Seaworld was trending in the Top 3 for the US in the wake of the news.

We set our sights on SEAS April 15th $18 Calls, and were met with an excellent intraday gain opportunity as they ran 150% from .40-1.00.

Sparta Commercial Services, Inc. SRCO

We also want to give ourselves a pat on the back for SRCO, which we included in yesterday’s extended watchlist. The stock made a respectable intraday move for us, to the tune of 60% as it traded in a range from .003-.0048 on roughly six times the 3-month average volume.

Bank of America Corp. BAC – Fresh Options Idea

BAC is currently gapping up in the premarket on news that the company will be increasing the scope of their share buyback program, and we’re going to signal a set of options contracts for observation to correspond with that. We’re going to be taking a look at BAC Weekly $13.50 Calls for a possible daytrade*.

*Don’t forget, trading weekly options contracts on a Friday is a very risky proposition, and is recommended for seasoned traders only.

Extended Watchlist:
DNR, CHK, WLL, XCO, GRPN, GDPM, LEGX, COTE(Possible bottom bouncer)

Blue Horseshoe Stocks: Fresh Options Ideas & More

Fresh Options Ideas

We’ve formulated a few new angles of approach with respect to options ideas that we’re going to share this morning, each with its own specific reason for appearing attractive at the present time.

United Parcel Service, Inc. UPS

We’re going to be taking a look at a range of medium-term UPS contracts, namely the April 8th $104 Calls, which we feel have a good chance at performing well in coming weeks on account of a number of factors.

The shipping sector as a whole is currently doing well due to boosted online sales, as top competitor FedEx’s reported earnings yesterday certainly reflected. We also like the look of the UPS chart from a technical perspective, as the following annotations demonstrate:

We also learned this week that the company is going to be increasing the size of its CNG (compressed natural gas) powered fleet, including an infrastructure build-out of several new CNG stations to support it. (>> VIEW PR)

SeaWorld Entertainment, Inc. SEAS

We also are going to be monitoring a range of Seaworld options, once again due to a fresh news release, as well as an attractive chart setup. As you can see on the provided snapshot, SEAS is showing a multiple bottom formation, and if it can continue to rebound off of its recent relative lows, appears to have a shot at a nice rebound over the next few weeks if history is any indicator.

We’re going to be watching the SEAS April 15th $18 Calls, which last traded at .16. If SEAS can rebound to the upper $19 range by that expiration date, the gains on these contracts could realistically approach ten-bagger territory.

SeaWorld, which has been under fire for years over their Killer Whale shows, has just announced that it will immediately cease its orca breeding programs, beginning a phase-out of the theatrical dog-and-pony-style performances and shift toward more natural displays. (>>View PR)

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Bonus Idea:

Watch PBR 5.00 an 5.50 Weekly Calls for potential day/swing trade opportunities)

Extended Watchlist:
MLCG, SRCO, SDOC, SIPC, CLF, KEG

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