Trading Tips Blog

Shares of app brokerage Robinhood Markets (HOOD) have seen shares slide nearly 90 percent from their 52-week high as a slowing market has caused retail traders to scale back their activities. One trader sees a further decline ahead. That’s based on the August $8 puts. With 108 days until expiration, 10,650 contracts traded compared to an open interest of 200, for a 53-fold rise in volume on the trade. The buyer of the puts paid $1.04 to enter the trade. Shares recently ...
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When the stock market is rallying, it can be tough to find a stock to buck the trend. But when markets are skeptical of any economic growth, buying tried-and-true companies being sold off with the speculative names can be a winning strategy. That tends to mean investing in companies of quality. That can mean being in an industry with few competitors, or having a business model that can profit in any economic environment. Defense contractors are one such area for investors to ...
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Ruth Porat, a director at Blackstone (BX), recently added 5,000 shares. The buy increased her stake by 46 percent, and came to a total of just under $550,000. This is the third buy from the director this year. She previously bought another 5,000 shares back in February, shelling out over $630,000 at the time. Going further back, company insiders, including directors, have been inclined to be sellers of shares. Overall, insiders at the asset management giant own 0.7 percent of shares. Shares ...
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Shares of athletic apparel company Nike (NKE) have been in a downtrend for the past few months, but the share price has moderated in recent weeks. One trader sees the possibility for a rebound ahead. That’s based on the September $125 calls. With 137 days until expiration, 10,714 contracts traded compared to a prior open interest of 300, for a 36-fold jump in volume on the contract. The buyer of the calls paid $12.43 to get into the trade. Shares are going ...
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Even with the short-term fears hitting the economy right now, technology continues to develop at a rapid rate. And the implementation of new technologies takes years to play out, across multiple economic cycles. That means that thosewho invest in these big trends during a market downturn can earn excess returns as those trends continue to grow and play out over a period of months and years. There are many big trends today. But one that may have become overlooked is the rollout ...
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Richard King, a director at Huntington Bancshares (HBAN), recently picked up 2,178 more shares of the company. The buy increased his holdings by nearly 3 percent, and came to a total price of just over $30,000. This is the second buy at the regional bank year-to-date. The prior buy was also from a director. Company executives have been regular sellers of shares over the past three years, with the net result of large sales by insiders overall. Overall, company insiders own ...
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Shares of mining giant Freeport-McMoRan (FCX) have been in a strong uptrend until the past few trading days, when shares quickly dropped. One trader sees the stock returning to rally mode. That’s based on the August $49 calls. With 112 days until expiration, 3,283 contracts traded compared to a prior open interest of 121, for a 27-fold rise in volume on the trade. The buyer of the calls paid $2.21 to get into the position. Shares last traded just under $42, so ...
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Every industry has a key metric that analysts are looking for. That could relate to gross profit margins, sales volume, or the spread between the cost of borrowing and the cost of lending. For the restaurant industry, sales are a key component. Higher-end chains may look at how many times a table turns over in the course of an evening, but for most players, that still translates to plain sales. Chipotle Mexican Grill (CMG) just reported that their sales have been unaffected ...
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