Trading Tips Blog

Shares of United Airlines Holdings (UAL) have declined 36 percent in the past year amid a dropping market and higher energy costs. One trader sees further downside ahead. That’s based on the January 2025 $20 puts. With 836 days until expiration, 16,154 contracts traded compared to a prior open interest of 171, for a 94-fold rise in volume on the trade. The buyer of the puts paid $3.11 to make the bearish bet. Shares of the airliner recently went for about ...
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There are few surefire ways to profitably invest in the short-term. But investors who target companies whose shares are being rapidly bought by institutional investors can likely see a big win in a short amount of time. That’s because some companies become known as acquisition candidates well before an official announcement. And those who buy early can own shares ahead of a buyout. The return from such a trade may not be huge, but it will likely be more consistent than ...
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Magnolia Capital Fund, a major owner of RE/MAX Holdings (RMAX), recently added 35,390 shares. The buy increased the fund’s stake by 1.7 percent, and came to a total price of just over $650,000. The fund has been a repeated buyer of shares since June, buying up anywhere from 32,000 to 47,000 shares at a time, even at prices as much as 25 percent higher as where the stock trades today. Going further back, company insiders have generally been sellers of shares ...
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Shares of Carnival Corporation (CCL) have lost 60 percent of their value in the past year. One trader sees the potential for a further decline in the coming weeks. That’s based on the November $9 put. With 46 days until expiration, 5,155 contracts traded compared to a prior open interest of 127, for a 41-fold rise in volume on the trade. The buyer of the puts paid $1.11 to make the downside bet on the company. Shares recently traded right around $7.50, ...
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Right now, the US dollar is rapidly appreciating against other currencies. International investors are moving to the dollar as a safe-haven, which is weakening other currencies. That also makes US exports more expensive on a relative basis, which tends to be bad news for multinational companies headquartered in the United States. However, not all trends last forever. And those who get into the trend at the right time can make big profits when the trend shifts. That’s particularly true when investing in ...
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R. Brad Martin, a director at FedEx Corp (FDX), recently picked up 1,500 shares. The buy increased his holdings by 2.2 percent, and came to a total price of just over $215,000. This is the first buy at the global logistics provider since the summer, when another company director picked up 900 shares in July and a third director bought 607 shares in June. Otherwise, company executives have been regular sellers of shares. Overall, insiders at the company own about 7.7 ...
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Shares of The Coca-Cola Company (KO) are up about 6 percent in the past year, far outperforming the drop in the S&P 500. One trader sees shares continuing to rally in the coming weeks. That’s based on the October 21 $55 calls. With 21 days until expiration, 2,804 contracts traded compared to a prior open interest of 104, for a 27-fold rise in volume on the trade. The buyer of the calls paid $2.88 to get into the trade. Shares recently traded ...
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The stock market is retesting its June lows. It may head lower, or it may bounce from here. While the data most likely suggests a push lower, we’re starting to see some companies get so oversold that they’re looking like attractive long-term buys amid this latest dip. Investors who buy now may have to deal with some volatility, but given the steep discounts to last year’s highs, it’s clear that buyers today can make big returns when markets get bullish again. Many ...
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