TraderPlanet.com :: Commentaries tagged (options)

Complacency 2/9/12

mbwealth, TraderPlanet.com — Thu, 09 Feb 2012 21:27:35 +0000

Do not get complacent because the market is quiet. Inaction can sometimes cause more damage than action. Do not forget to manage your trades. Crude oil is flirting with the $100/barrel level once again. I am mildly bullish but trade small as a trade back under $97.50-98 could mean lower ground. It is not the strength in Crude that I am impressed with but rather the relentlessness in the distillates that continue to push higher. Heating oil and RBOB are approaching the highest level they have ...

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Quiet Trade 2/8/12

mbwealth, TraderPlanet.com — Wed, 08 Feb 2012 21:46:16 +0000

Non event in the markets today but it does feel like markets are taking a breath for a big move...I am just torn on what direction. As trades develop I will try to keep you informed.

Crude will close above $97 on the March contract today which puts the bulls back in control. Support is seen between $97-98 and aggressive traders can reverse their bearish trades and start scaling into long trades. RBOB is approaching $3...a level not seen since last April so expect momentum traders to lift this...

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Building on Strength 2/7/11

mbwealth, TraderPlanet.com — Tue, 07 Feb 2012 20:55:37 +0000

Metals, stocks and even foreign currencies continue to build on strength as 2012 has virtually been a one way trade...will this continue?

Crude oil erased the previous week's losses adding 1.9% today but failed to close above $99 in March. I view that level as the pivot point so I remain bearish still. Be willing to cut loses on any shorts if prices trade through that level in the coming sessions. Natural gas continues to bounce around and I would suggest no long or short trades until we get ...

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True Commodity Play 2/6/12

mbwealth, TraderPlanet.com — Mon, 06 Feb 2012 21:53:50 +0000

After speaking with several prospective commodity clients today I want investors to recognize that by trading etf's or buying stocks in a commodity sector you are not trading commodities. That being said commodity trading is not appropriate for most investors but those financially suitable with some risk tolerance should explore futures, options and managed futures as a pure commodity play. Come on guys you buy your wife diamonds not cubic zirconia right? Crude oil lost ground today but the s...

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Upbeat Expectations 2/3/12

mbwealth, TraderPlanet.com — Fri, 03 Feb 2012 22:32:17 +0000

A positive jobs number and things heating up in Iran and Crude is back on the move advancing 1.5% today. We may see a bounce but until we see a trade back over $99 I still am thinking prices have more downward pressure. My target in March is a trade closer to $93-94 in the coming weeks.

What is disturbing though is the disparity between the Crude daily chart and the distillates as Crude is on the lower end of the recent trading range while heating oil and RBOB are breaking out to new highs. I...

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Watch this and, then, watch how much planning it took

JeffQuinto, TraderPlanet.com — Fri, 03 Feb 2012 13:44:14 +0000

When you watch this video, you are likely to be amazed that this guy actually jumps off a cliff and flies through the air.

But, that is just part of the story.

Watch the entire video and see all of the planning that goes into it and look at the after analysis. He does not "just" jump off a cliff and hope for the best.

Everything he does is according to his well-thought plan.

Success in trading requires every bit as much planning, but most traders just "jump off the cliff" with no real plan.

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Prepare for NFP 2/2/12

mbwealth, TraderPlanet.com — Thu, 02 Feb 2012 21:55:59 +0000

I think the number is fabricated but nonetheless it is market mover so prepare for tomorrow's jobs number.

As of this post Crude is lower by 1% about in the middle of today's range trading lower for the seventh consecutive day. I think we see an additional $3-4 retracement before we run into serious support. If that assumption is correct expect heating oil and RBOB to lose 10-15 cents. Hello volatility...with 7% moves on a daily basis up and down I no longer have the stomach for natural gas. ...

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Not the End 2/1/12

mbwealth, TraderPlanet.com — Wed, 01 Feb 2012 21:22:17 +0000

With a more positive outlook domestically and abroad expect commodities that had previously factored in a more dire picture to get back losses from late 2011.

Today makes it five days in row with Crude down just over 1% as of this post trading at six week lows. A close below $98.30 in March should signal lower ground. $99 should cap further upside and I could see prices drifting back under $94 in the coming weeks. Both RBOB and heating oil are having trouble keeping their heads above water as...

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Corinthian Colleges Call Options In Demand After Earnings Beat

Philstockworld, TraderPlanet.com — Wed, 01 Feb 2012 18:54:51 +0000

Today's tickers: COCO, IPXL & BEN

COCO - Corinthian Colleges, Inc. - Shares in the for-profit provider of post-secondary, career-oriented education programs increased as much as 44.2% to an intraday high of $4.37 at the start of the session after the Company's full-year 2012 earnings forecast of $0.30 a share beat average analyst expectations of $0.24 a share. The stock is off earlier post-earnings report highs, but continues to trade up 30.0% on the day at $3.93 as of 12:30 p.m. in New York...

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The January Effect 1/31/12

mbwealth, TraderPlanet.com — Tue, 31 Jan 2012 20:46:36 +0000

With one month under our belt how is your 2012 looking?

RBOB, OJ, stocks, feeder cattle and all the metals were the upside movers in the month of January while natural gas was the only negative standout. Will these moves set the tone for trading in 2012?

The move lower has been minor but Crude has closed lower for the last four sessions. Today a $3 rally was rejected as prices will close just above $98 the lowest close in one week. I continue to get mixed signals and would suggest waiting for...

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If Equities Fall 1/30/12

mbwealth, TraderPlanet.com — Mon, 30 Jan 2012 21:31:36 +0000

Over the next few sessions we will know but we may see some gains given back in equities as minor chart damage is being done. That being said expect higher trade in Treasuries and commodities on a stock retraction.

Crude continues to flirt with $100 unable to pick a direction. The longer this consolidation pattern continues the larger the breakout the tough part is determining what direction will prices breakout. A settlement above $100.50 or below $98 would likely signal the direction but un...

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Bullish Options Trades Give Eastman Chemical, Solutia Deal Thumbs-Up

Philstockworld, TraderPlanet.com — Fri, 27 Jan 2012 20:07:45 +0000

Today's tickers: EMN, SOA & OSK

EMN - Eastman Chemical Co. - Investors cheered the deal announced by Eastman Chemical Co. and Solutia, Inc., sending shares in both companies up sharply on Friday. Eastman will reportedly pay $3.38 billion for Solutia, the largest takeover in the diversified chemicals space in more than two years. EMN's shares are currently up 6.0% to stand at $49.93 as of 11:30 a.m., and have rallied nearly 25.0% since the start of the New Year. Options activity on Eastman fol...

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More Quantitative Easing 1/26/12

mbwealth, TraderPlanet.com — Thu, 26 Jan 2012 21:17:59 +0000

With the Fed hinting at more quantitative easing do not expect commodities to get inexpensive any time soon.

Crude oil has made a higher high now for the last three sessions and on a close back above $100 traders could start scaling back into longs. I see support at $99 followed by $97 in March contracts.

Natural gas did trade lower today but if you notice the 9 day MA is holding as support. Traders can scale into longs with stops just below that level. It comes in at $2.56 in March.

Stocks w...

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Taking a Breath 1/25/12

mbwealth, TraderPlanet.com — Wed, 25 Jan 2012 20:46:01 +0000

I misread the recent action thinking we were approaching a turning point but now it appear the markets were just taking a breath and now the underlying moves are back on track....trade accordingly. Crude appears to be finding its footing as further sales are being rejected. With a settlement back above $100 I would become more friendly. On a close above $102 in March I then would be looking for buying opportunities thinking we get a new high...trade accordingly. I say a bottom is in on natura...

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Turning Point 1/24/12

mbwealth, TraderPlanet.com — Tue, 24 Jan 2012 22:08:15 +0000

Turing point...not today and probably not tomorrow but I would expect the equity market to give back its recent gains in the very near future. What that likely means is money out of stocks and into Treasuries and commodities...just an opinion. Crude remains in no man's land as prices could go either way in my opinion. My bias is leaning to the bullish side but I would prefer to be buyer on breaks. For instance I see solid support in March just under $94/barrel so long entries closer to that l...

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