Trading Tips Blog

Shares of software feedback company Momentive Global (MNTV) are down 70 percent in the past year. One trader sees a move higher in the coming weeks. That’s based on the December 16th $9.00 calls. With 50 days until expiration, 8,228 contracts traded compared to a prior open interest of 103, for an 80-fold rise in volume on the trade. The buyer of the calls paid $0.58 to make the bullish bet. Shares recently traded for about $8, so the stock would need ...
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It’s no surprise that when the economy is slow, consumers and companies scale back on their spending. And there’s a whole world of defensive industries that tend to fare well no matter what the economy is doing. While trade and commerce may slow during a recession, goods still need to move from their manufacturing point to the end user. And right now, the only way for goods to reach their final point is by truck. That bodes well for Paccar (PCAR). They’re ...
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Magnolia Capital Fund, a major owner of RE/MAX Holdings (RMAX), recently added 18,934 shares. The buy increased the fund’s holdings by just under 1 percent, and came to a total cost of just over $344,000. This is the sixth buy that the fund has made since June. Otherwise, the last insider activity occurred in March 2021, when a company executive last sold shares. Activity was fairly quiet when shares were rising amid the latest real estate boom. Company insiders own about ...
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Shares of semiconductor test systems company Aehr Test Systems (AEHR) have declined 2 percent in the past year, as a massive drop gave way to a recovery rally. One trader sees another drop ahead. That’s based on the March 2023 $22.50 puts. With 142 days until expiration, 2,016 contracts traded compared to a prior open interest of 101, for a 20-fold rise in volume on the trade. The buyer of the puts paid $5.35 to make the bearish bet. The stock recently ...
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The past few years has seen tremendous growth in alternative energy plays. And in a push for more environmentally-friendly ways of doing business. That’s led some to see the end of old-school energy companies like big oil plays. But most renewable technology can’t scale well or still remains ineffective for areas such as transportation. That’s why it’s likely that oil and natural gas will still be valuable commodities for some time. That’s why investors shouldn’t overlook some of the big energy plays ...
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Tobias Lutke, a director at Coinbase (COIN), recently picked up 5,349 shares. The buy increased his stake by about 7 percent, and came to a total cost of just under $390,000. This is the eighth buy made by the director since the end of August. Each buy has been for a similar price, ranging from 4,482 shares to nearly 6,000 shares at a time. Overall, insiders have tilted towards buying in recent months, following massive selling after the company’s IPO last ...
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Shares of packaged food company B&G Foods (BGS) have been cut in half in the past year. One trader sees further downside in the months ahead. That’s based on the January 2023 $12.50 puts. With 87 days until expiration, the options saw a volume of 5,061 contracts, a 42-fold surge in volume from the prior open interest of 121. The buyer of the puts paid $0.85 to get into the trade. Shares recently traded closer to $14.50, so they’d need to fall ...
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It’s likely the stock market won’t end its current downtrend until the Fed stops raising interest rates. But given how bear markets work, we may be closer to the end than the beginning. The best strategy now is to start buying great companies at beaten-down prices, rather than wait for a move higher. That’s because the start of a bull market may come with some skepticism. And investors who wait can miss out on the extreme bargains from the low. By buying ...
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