Trading Tips Blog

As was expected, the selling spilled over into this week. Many stocks have fallen from their highs and are in the process of testing their moving averages. A key moving average for institutional investors is the 5-day simple moving average. The area around the average often triggers investors to buy a company. Here is a list of six blue chip companies that have fallen to their 5-day moving averages and how to use options to trade it. A “blue-chip” company ...
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Real estate is a powerful asset class, and one that often competes with stocks and bonds. Most of the world’s ultra-wealth have either made their money in real estate, or keep a significant chunk of their net worth in the real estate market, given its large market cap. In today’s capital markets, there are plenty of companies that offer exposure to the real estate sector with the liquidity of a company on a publicly-traded stock exchange. These opportunities cover a variety ...
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Franchise Group Inc (NASDAQ: FRG) has been testing its $27 resistance again last week as the it has several times over the past year. Before the price made a run at that level last week, there was insider buying by the CEO and 10% owner Brian Randall Kahn. The buying is an indication of an expected rise in price and a potential breakout. Franchise Group operates a retailer, franchisor operator, and acquirer of franchised and franchisable businesses. The company’s insiders ...
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It can be difficult for inexperienced investors in a bearish climate if they don’t know options, futures, or have never shorted stock. The motivation behind creating inverse ETF products was to allow investors to simply buy shares and make money in the market sells off. In addition to making money as the market declines, companies have been able to add leverage that is two to three times the daily movement of the underlying. Here are five inverse and leveraged ETFs ...
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Some of the best stocks on the stock market are recession proof investments, or companies that can perform well in a bear market. Each bear market is different, but include a major stock market crash, from the tech bubble bursting to the Great Recession of the financial crisis to this year’s Covid Crash. But there are a few qualities that apply to recession proof stocks. They’re companies that are capable of growing their revenues and earnings over time, while also providing ...
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Normally, a selloff in the market would claim retail companies as one of its victims. However, the selling on Thursday and Friday of last week didn’t have the same breadth of selling that the market experienced on June 11. On Friday, the option market bulls looked toward Kohl's Corporation (NYSE: KSS) as a surge in bullish option activity helped lift the stock price by 2.44%
Kohl’s is joining a handful of other companies that are being added to the ...
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Last month brought on the selling from insiders as executives sold $6.7 billion of stock in August. The ringing of the cash register with the market at a high isn’t exactly a terrible thing, but it’s a reflection of the perception of valuation. A company that saw a lot of selling activity and notional value by insiders came from Bill.com Holdings Inc (NYSE: BILL) as the stock is falling from its 52-week high. According to the Financial Times, the ...
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In a volatile period like we just experienced last week, it can be hard to know where to look at investing. Using option activity can help you see where large trades being made and helps identify a direction, timeframe, and magnitude of the expected movement. While nothing is 100%, it is an important indicator that can be used to find opportunities. The following seven companies experienced multiple days with bullish unusual option activity. Unusual Option Activity Stock #1: General Motors Company ...
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