Blue Horseshoe Stocks: Cleaning Up on Options Trading

Options Winners

We’ve been firing on all cylinders with regard to our short term options ideas recently. Yesterday we offered up some ideas for AAPL and BIIB and in both cases, multi-bag intraday returns were attainable no matter which set of contracts were chosen from our target ranges.

Apple, Inc. AAPL

We went bearish on AAPL for a number of reasons, chief among them being a disappointing earnings release, and negative statements by CEO Tim Cook. We were looking for activity in the range of the AAPL Weekly $97-95.50 Puts provided the stock continued to backslide, and were duly rewarded for the idea.

$97 Puts – Trading Range: 1.58-3.72  – Max Gain: 135%
$96.50 Puts – Trading Range: 1.27-3.27 – Max Gain: 157%
$96 Puts – Trading Range: 1.05-2.85 – Max Gain: 171%
$95.50 Puts – Trading Range: .83-2.45  – Max Gain: 195%
$95 Puts – Trading Range: .65-2.10 – Max Gain: 223%

Biogen, Inc. BIIB

On the other side of the fence, BIIB was gapping up hard in the premarket and we liked the chances of seeing some more upside. We highlighted BIIB Weekly $267.50 through $280 Calls and it worked out in spades.

$267.50 Calls – Trading Range: 6.30-17.50  – Max Gain: 178%
$270 Calls – Trading Range: 4.70-15.30 – Max Gain: 226%
$272.50 Calls – Trading Range: 3.45-12.30 – Max Gain: 257%
$275 Calls – Trading Range: 2.45-10.50  – Max Gain: 329%
$277.50 Calls – Trading Range: 1.74-8.45 – Max Gain: 386%
$280 Calls – Trading Range: .99-7.00 – Max Gain: 607%

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Fresh Ideas*

Under Armour, Inc. UA – We’ll go ahead and signal some new options ideas this morning as the opportunity has presented itself in the form of an impressive Under Armour earnings beat. Wildly exceeded expectations are fueling a premarket gap-up, and we’re going to be taking a look at UA Weekly $75-79.50 Calls provided UA holds that $75-mark on any early dips.

Facebook, Inc. FB –  FB is also cruising in early trading today on the strength of a well-received earnings release of its own. We’re going to respond by tagging FB Weekly $105-110 Calls for observation as we head into week’s end.

*Pertaining to both of the preceding ideas, remember to always consider the inherent elevating risk associated with trading weekly options contracts as the end of the week approaches!


Extended Watchlist:
NESC, NUOT, RCAP, GNBT, CDII

Blue Horseshoe Stocks: Options Review, Fresh Ideas & More

Speed Commerce, Inc. SPDC

We were just reminding our readers about SPDC yesterday, which we’ve now tracked for three sessions since  our premarket report on Friday. We observed a low of .018 that day, and the stock hasn’t looked back since.

After another excellent PPS-enhancing performance on Monday, we suggested our subscribers continue to watch yesterday for the possibility of a protracted uptrend, and what followed was the biggest single-session move yet, and new highs for SPDC.

From an early low of .038, the stock rushed to .057 in the closing minutes. That represented a 50% intraday pop, and an overall three-day increase above our observed low of .018 amounting to 217%


Options Ideas

Rambus, Inc. RMBS – Recap

RMBS was the subject of an options trading idea we submitted yesterday morning, after noticing the stock gapping up in the premarket on a post-market earnings beat from the prior day. We targeted the RMBS 02/19 $12 Calls, and those contracts traded in a range from .37-.59; good for intraday gains of up 59%

Apple, Inc. AAPL

It’s been awhile since we signaled any AAPL options, but we’re presented with an opportunity this morning as the stock is down considerably in early trading on deflated sales forecasts, amongst other things. We’ll look for chances on the bearish side of things, namely the AAPL Weekly $97-95.50 Puts to try to take advantage of the consequences of shaken investor confidence.

Biogen, Inc. BIIB

An impressive beat on revenues and EPS is leading BIIB to a notable gap-up this morning,  we’ll definitely want to look for the possibility of a nice intraday upswing from the stock. To ensure we catch the heaviest action we’ll begin by monitoring every set of contracts in the range of BIIB Weekly $267.50 through $280 Calls.


Extended Watchlist:
CDII, LTNC, GNPT, GDSI, TPIV

Blue Horseshoe Stocks: New Options Ideas & More

New Options Ideas

The market, which has been struggling mightily here in the opening weeks of 2016 for numerous reasons, appears to be in line for some measure of a rebound today, based on early trading activity. Q4 earnings season has kicked off, which should result in an increase of options trading opportunities in the days and weeks ahead.  In the event this trend holds and progresses, we’re going to want to have a few options contracts ready and waiting in the hopper to watch for swing-trade possibilities.

Shire plc SHPG

SHPG shares are gapping up to the tune of more than 5% in the premarket this morning in the wake of the revelation that Shire would be acquiring US-based Baxalta for a whopping $32B. The deal figures to create the largest rare-disease drugmaker conglomerate in the world.

We like to take advantage of blockbuster reveals such as this, and the trading hysteria they tend to create. For this particular situation, we are going to set our sights on SHPG Weekly $175-180 Calls.

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Acadia Pharmaceuticals, Inc. ACAD

ACAD has been tumbling down in terms of PPS in recent sessions. The reported possibility of dilution as a result of fundraising via public offering has had investors coming down on the bearish side of the fence. We want to be on the lookout for the possibility of a rebound. If such a move occurs we’re going to have the ACAD 02/19 $29 Calls and 03/18 $30 Calls on our radars moving forward.


Alcoa, Inc. AA – Possible Recovery Play

AA is striking us as a stock whose time for a rebound may be fast approaching. We want to signal this as a potential bottom-play. The strength index is heading into heavily oversold territory, and a triple-bottom setup suggests AA could be nearing basement-level prices.

We’re going to add this to our current list of bottom-watch plays, which also includes KOOL, MGI, GNBT, and MAXD.


Extended Watchlist:
HCTI, IMTV, BLTA, AAPL

Blue Horseshoe Stocks: SUNE, DIS Updates & More

SunEdison, Inc. SUNE

We first began mentioning SUNE last month, as we were noticing the stock had been steadily beaten back since midsummer. We placed the stock on bottom-watch and since reaching its ultimate low of 2.55 on November 20th, it has been making steady strides to the upside.

We tagged the stock for more intensive tracking in yesterday’s premarket report, and were met with even more advances. SUNE put forth a modest but solid 15% increase as it traded in a range from 5.65-6.47. From our observed low just a few weeks ago, SUNE has produced an overall increase of 154%  We’ll continue to stay hot on its trail for as long as the bullish trend remains intact.


Options Recap – The Walt Disney Co. DIS

We were able to take advantage of the excitement surrounding DIS yesterday morning by submitting Weekly DIS $112-116 Calls for tracking, and in what seems like it’s become a regular occurrence for us, each and every set of contracts in our specified range made excellent intraday moves.

Here are the gains that were possible during yesterday’s session with these calls:

$112 Calls – Trading Range: 1.25-2.32  – Max Gain: 86%
$113 Calls – Trading Range: .80-1.58  – Max Gain: 98%
$114 Calls – Trading Range: .46-.95 – Max Gain: 107%
$115 Calls – Trading Range: .29-.54 – Max Gain: 86%
$116 Calls – Trading Range: .16-.29 – Max Gain: 81%


More Chatroom Success

Our good friend and chatroom participant, DJ, was up to his old tricks yesterday, entering yet another winning play into the mix.

NUVI was .008 x .009 at the time of DJ’s post (pictured above) and the stock ended up pushing to .0272 for an awesome 240% intraday surge.

Once again, a great example of why its a good idea to participate in our daily trader’s chats. To get involved, just send a Skype request to ‘stocksumo’.


Fresh Options Ideas – AAPL

This morning we’re looking to AAPL for a possible rally; the stock is gapping up and thus we will be looking for a potential dip-and-rip scenario. We are going to want to keep the Weekly $111-113 Calls on watch for today and tomorrow.

In the event AAPL pushes past the $113-mark, we’d of course look to roll up our strike prices to the $114’s and possibly even $115’s, depending on the magnitude of the surge.


Extended Watchlist:
SNGX, CHIT, EFFI, SRCO, VNTH, BTFL

Blue Horseshoe Stocks: Options Updates, Fresh Ideas & More

Apple, Inc. AAPL – Options Update

For the third consecutive session yesterday, we were treated to exceptional intraday performances by the AAPL Weekly $114-116 Calls that we initially signaled on Tuesday.

AAPL continued to bull its way to its highest PPS levels in over two months, and managed to close above $120 on the day. As a result, the contracts we were monitoring provided the following opportunities:

$114 Calls – Daily Range:  4.34-6.70 – Max Gain: 54%
$115 Calls – Daily Range: 3.47-5.70 – Max Gain: 64%
$116 Calls – Daily Range: 2.53-4.70 – Max Gain: 86%

While those gains were respectable, sharp traders will have seen greater opportunities in rolling up their strike prices to stay closer to the money as AAPL continued to run. The stock gapped up to crack the $121-mark in the premarket this morning, and so we’ll definitely be looking for quick-strike chances* in the range of the Weekly $119-121 Calls.

*Just remember, contracts with weekly expiration represent exploding offers. Extreme caution is required for trading these options on Friday!


LinkedIn Corp. LNKD

Speaking of fresh options ideas, LNKD is soaring in the premarket this morning, so we’re going to be tracking a range of contracts in this chain as well. We had tremendous success with LNKD calls this summer, and given the current conditions, we believe history could repeat itself today.

We’ll be prospecting a wide range in the LNKD Weekly $235-245 Calls as the session commences, as it seems that things could get very interesting(…and don’t forget the warning above about trading weeklies on a Friday!).


Extended Watchlist:
VPER, PHOT, URBF, APPG, MIL, JDST, APDN(Bottom-Watch)

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