Trading Tips Blog

Airline carrier
Delta Air Lines (DAL) has pulled back in recent weeks, as fears of a slowing economy may soften demand for air travel. One trader sees a further downside in the weeks ahead. That’s based on the May $29 puts. With 35 days until expiration, 5,772 contracts traded compared to a prior open interest of 114, for a 51-fold rise in volume on the trade. The buyer of the puts paid $0.38 to make the bearish bet. Shares recently traded just under ...
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When an industry starts out, there may be dozens, if not hundreds of competitors. But, much like the automotive industry, eventually the space will consolidate into a few big players. Sometimes, that consolidation will occur through acquisitions. Other times, an economic crisis or two will also help to shake out weaker competitors. And consumer tastes and preferences may make it easy for a big player to stay big, even if newer companies try and grab market share. The shakeout in the cryptocurrency broker ...
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Jeffrey Gould, President and CEO at
BRT Apartments Corp (BRT), recently added 4,858 shares. The buy increased his holdings by less than 1 percent, and came to a total cost of $90,721. He was joined by a senior vice president who bought the same quantity on the same day. Over the past year, members of the Gould family have been steady and consistent buyers, with one insider sale from the company COO this year. Overall, company insiders own 20.2 percent of shares. The ...
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Construction machinery manufacturer
Caterpillar (CAT) has traded flat over the past year, following a sizeable drop and rally over the past few months. One trader sees shares moving higher into the summer. That’s based on the August $260 calls. With 127 days until expiration, 35,041 contracts traded compared to a prior open interest of 560, for a 63-fold rise in volume on the trade. The buyer of the calls paid $3.83 to make the bullish bet. Share recently went for about $220, ...
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When a growth trend is underway, nearly every company that plays to that trend will rally. At least, at first. However, weaker companies will get squeezed out by competition, leading to only a few big players. Of those players, a few will win based on quality. Others will cater to a lower-end market. When a sector is still new, chances are the higher-end product will perform better than the lower-end one until a few iterations of the technology are worked out. Right ...
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Edgar Smith, a director at
Business First Bancshares (BFST), recently reported the purchase of 17,109 shares. The buy increased his holdings by 1 percent, and came to a total cost of $400,220. He was joined by another director who bought 3,664 shares, paying just over $80,100. Other company directors have been buyers of shares over the past two years, with just one insider sale from a director over the same time period. Overall, insiders at the regional bank own about 6.3 percent ...
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Precious metals explorer and producer
Silvercorp Metals (SVM) has rallied in recent weeks as gold and silver have jumped higher. One trader sees that trend continuing in the months ahead. That’s based on the October $7.50 calls. With 191 days until expiration, 20,109 contracts traded compared to a prior open interest of 127, for a staggering 158-fold jump in volume on the trade. The buyer of the calls paid $0.18 to make the bullish bet. Shares recently traded for just under $4, ...
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Some market sectors are cyclical. Others tend to be slow and steady. The financial sector has characteristics of both. It tends to be slow and steady most of the time, but fears hitting the financial sector can lead to big losses quickly. Investors who can sort through real dangers and find undervalued companies capable of growing their market share can win when the sector shifts back to slow and steady. One niche of the financial service space is asset management. This space ...
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