Trading Tips Blog

Bitcoin miner Core Scientific (CORZ) is up 194% over the past year. Shares have even held up as bitcoin prices have pulled back in recent months. One trader sees a potential decline over the coming weeks. That’s based on the August 16 $8 puts. With 38 days until expiration, 9,141 contracts traded compared to a prior open interest of 225, for a 41-fold rise in volume on the trade. The buyer of the puts paid $0.40 to make the bearish bet. Core ...
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Most tech trends go through the same phases. First, there’s initial skepticism about whether or not a trend will play out. Once it does start to show some promise, rapid gains are made. But when rapid growth can’t be sustained, prices come back down. From there, companies that can continue to show real growth over time can lead to bigger profits. It may not be quick, but it can be rewarding. Right now, EVs are on the outs with investors. The rapid ...
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Robert Swan, a director at Nike (NKE), recently bought 2,941 shares. The buy increased his stake by 15%, and came to a total cost of $226,516. Swan was the last buyer in October, picking up 13,072 shares for just over $1.25 million. Since then, a few company insiders have been sellers, largely following the exercise of stock options. Going back over the past two years, a similar trend of large insider sales relative to buys continues to hold up. Overall, Nike ...
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Oil and gas exploration company Permian Resources (PR), is up 59% over the past year, bucking the overall sideways or down returns for energy stocks. One trader sees a potential pullback over the summer. That’s based on the September 20 $15 puts. With 74 days until expiration, 1,560 contracts traded compared to a prior open interest of 100, for a 16-fold rise in volume on the trade. The buyer of the puts paid $0.65 to make the bearish bet. Permian shares recently ...
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Stocks have started to trade sideways in recent weeks. That’s not a huge problem with markets at all-time highs. The longer stocks trade sideways, the more likely they’ll have a strong breakout when that trend ends. So far, signs point to a bullish breakout. The economy remains strong, if slowing. Inflation is coming down, and investors are looking forward to a decline in interest rates. That’s a good combination for consumers and companies alike. That’s why investors may want to buy the ...
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Katherine Losness-Larson, a SVP at Hormel Foods Corp (HRL), recently bought 830 shares. The buy increased her stake by 4%, and came to a total cost of $25,000. This is the first insider buy since September, when another SVP bought 1,454 shares, paying just over $54,000 for the stake. Otherwise, insiders have been slight sellers of shares overall, with a mix of option exercises and traditional sales. And both executives and directors have been sellers. Overall, Hormel insiders own 0.2% of ...
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Pharmaceutical giant Pfizer (PFE) is down 23% over the past year. One trader sees further weakness ahead for shares in the coming weeks. That’s based on the August 2 $26 puts. With 28 days until expiration, 15,300 contracts traded compared to a prior open interest of 630, for a 24-fold rise in volume on the trade. The buyer of the puts paid $0.26. Pfizer recently traded for about $28, so shares would need to drop nearly $2, or nearly 7%, for the ...
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Different market sectors move at different times. But when a sector does take off, it will often need to pause for a while before moving higher. This consolidation trend is normal, and in some sectors can last for years, in others, for weeks. The cryptocurrency market has been consolidating for a few months now following bitcoin’s halving in April. That may have shaken out momentum traders hoping for a quick ride to new all-time highs. Today, it’s creating an opportunity across the ...
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