Trading Tips Blog

Most investors know that the holiday season is when retail companies post their best numbers. Indeed, the term Black Friday may have even come into existence on the notion that the day after Thanksgiving was the first day many stores posted a profit for the year. This year is also pointing to a strong holiday trend following a year of lockdowns. With many retail stocks already on the radar, one niche area still has some room to run. That sector? The toymakers ...
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A move higher in global banking giant Credit Suisse Group (CS) appears likely, given the rise in the March 2021 $11 calls. On Friday, over 5,100 contracts traded hands against a prior open interest of 153, for a 33-fold rise in volume. The bet expires in 130 days. With shares at $10.65, the company needs to move about 4 percent higher for the option trade to move in-the-money. The trader paid about $0.75 for the option. Shares of the bank have jumped ...
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Election uncertainty allowed Treasury yields to rise in October. Rising yields mean a higher cost of capital for borrowers across the private sector as well. That put a pinch onto the prices of car loans, and mortgages. With the major election uncertainty—big radical changes—off the table, Treasury yields are coming back down. And that’s likely to be a boon to real estate, particularly housing. Homebuilder stocks have already seen a disproportionately large rally in the past few days. That trend is ...
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James Winnefeld, a director at Molson Coors Beverage Company (TAP), recently picked up 1,000 shares. The buy increased his holdings at the firm by 18 percent, and came to a cost just under $37,000. This is the second insider buy at the company, following a 3,000 share buy from another director last month. Insiders have been sellers before then, with the last insider sale in March 2020. The most recent insider sales have all been at prices as much as 25-40 ...
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At least one trader sees the potential for telecom company Altice USA (ATUS) to surge in the next year. That’s based on the large volume in the January 2022 $35 calls. Expiring in 441 days, the options will move in-the-money on a 19 percent rally higher in shares. Over 2,500 contacts traded against a prior open interest of 157, making for a 16-fold rise in volume. The trader paid $2.20 for the contract on average. Shares of the stock are already Read More About This

At least one trader sees a huge rally ahead for Alibaba (BABA) following Monday’s drop. That’s based on the 15,017 contracts that traded on the October 2021 $380 call option. Against a prior open interest of 173 contracts, it’s a staggering 87-fold surge in volume. The option has nearly a year to expire. Based on the current share price near $297, shares would need to rally 30 percent higher for the option to move in-the-money. Shares of Alibaba dropped on Monday as ...
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With no “red wave” or “blue wave” creating a one-party government in Washington D.C., political elites will have to compromise to get anything done. That means that big, sweeping changes are off the table. That’s good for stocks in general. It’s great for companies that may be sensitive to changes in tax policy. But the real winner? Companies in the healthcare space. There is no political mandate to either greatly increase or decrease the government’s role there. That’s why the managed-care stocks ...
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Harriet Edelman, a director at Bed Bath & Beyond Inc. (BBBY), recently bought 7,500 shares. The buy increased her holdings by 36 percent, and came to a total cost of just under $150,000. This is the second buy from insiders this year following buys from two directors back in July. Those directors have already seen triple-digit returns thanks to the company’s strong performance in the past few months. The last insider sales were in early 2019. Shares of the company have ...
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