Sell to close the Transocean (RIG) August 21, 2010 75 call option at the market price. Read More
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Europe is back in focus this week as Greece moves closer to defaulting on its debt. Germany’s Angela Merkel, meanwhile, has been campaigning that aid to their wayward EU partner is not assured (no doubt in a bid to exact stricter conditions tided to that aid). Greek stocks have plunged to new lows and yield on its sovereign bonds have soared. Read More
Yesterday we closed out the Google September 18, 2010 560 put option for a gain of 32 percent. Our sale was prompted by a near-term bullish perspective on the market rather than any improvement in Google’s valuation. As a result, we may well return to buy another put on the stock on a bounce. We also added a bullish position in CVS Caremark (CVS), buying the August 21, 2010 37 call option. Set a limit to pay no more than $2.25 per contract if you don’t own it yet. Our Transocean (RIG) call option has given up some ground after the tragic fire and sinking of a drilling rig in the Gulf of Mexico last week that left 11 dead. Look for the stock to continue to trade off of the price of oil leading up to the company’s quarterly results on May 5. The Transocean August 21, 2010 75 call option is a buy for new clients. Officials from Romania’s Ministry of Economy, Trade and Business Environment continue to make a case of allowing Gabriel Resources (GBU.TO, GBRRF) to proceed with its Rosia Montana gold project. This time it was Tudor Serban, the Ministry’s secretary of state is was speaking last week at a conference on modern mining in Romania who argued the project will attract much-needed foreign capital to the country. While there’s a vocal opposition to the project, economic realities are likely to trump cultural and environmental concerns, though we can’t say when the company will get the go ahead to advance the project. We can say, however, that the stock is likely to soar on the news when it comes. The stock remains a buy for new clients as a long-term play on gold. Read More
Buy to open the CVS Caremark August 21, 2010 37 call option. Set a limit to pay no more than $2.25 per contract. Read More
Sell to close the Google September 2010 560 put option at the market. Read More
The US dollar has come under pressure this week as the European Union has moved forward with a rescue package for the ailing Greek government. The EU’s loan package isn’t the be all and end all though and the issue of Greece ultimately defaulting on its debt is still a possibility. The bailout of Athens should only be viewed as a temporary reprieve for the euro. Read More
Last week we covered two of our positions, selling the Qualcomm April 17, 2010 39 call option for a 44 percent gain, and the Micron Technology July 17, 2010 10 call option fora more modest 6 percent gain. We added one position during the week as well, buying the Google… Read More
Sell to close the Qualcomm April 39 call option (AAO1017D39) at the market. Read More
Sell to close the Micron Technology July 10 call option (MU1017G10) at the market. Read More
Buy to open the Google September 560 put option (GOP1018U560). Set a limit to pay no more than $37 per contract. Read More