Archive for November, 2006

Bond ETF Calendar Call - Returns +3.4% in Nov.

Monday, November 27th, 2006

In the article, ” Bond ETFs - Calendar Calls and the Business Cycle “, we outlined a bond ETF calendar calls stock options strategy. This strategy is mostly geared for a softening economy, but may perform well in an environment of relatively unchanging interest rates as well, as is the case of the current interest […]

General Motors (GM) Discontinues Saturn Ion

Monday, November 27th, 2006

General Motors ( GM ) confirmed on Tuesday the company plans to discontinue manufacturing its beleaguered Saturn Ion. The vehicle is currently being manufactured in its Spring Hill, TN factory. The company stated it would find another vehicle for the plant to manufacture in order to avoid layoffs.
This is the latest in a spate of […]

Dril-Quip (DRQ) - Muddy Profits

Tuesday, November 21st, 2006

Dril-Quip has a 25-year history of successfully supplying equipment to the offshore drilling industry. Dril-Quip’s (DRQ) website touts its Mudline Suspension System introduced in 1982 and its Spar Wellhead System introduced in 1990.
Dril-Quip announced record third-quarter profits in early November and the company has a high level of insider ownership by its co-chief executive […]

Making Money on Credit Returns 3%

Monday, November 20th, 2006

In article, “Visa - Plastic Money - IPO“, we analyzed the credit card industry and we used PowerOptions patented SmartSearchXL stock options search tool to find two potential income producing covered calls strategy positions, one for Master Card (MA) and one for American Express (AXP). Both positions returned the maximum potential profit with an average […]

No Stopping GamesStop (GME)

Monday, November 20th, 2006

Year to date US video game sales are up 11% from a year ago and analysts are expecting a record-breaking fourth quarter for the industry. Investors were concerned earlier in the year when the video game industry experienced a slight downturn. A subsequent strong sales period and the release of two new hardware platforms are […]

Abercrombie & Fitch (ANF) - Big 3Q Profits

Sunday, November 19th, 2006

Wednesday, Abercrombie & Fitch Co. (ANF) announced its third-quarter profit earnings were up 43%. A chief source of growth was its teen chain, Hollister Co., jumping 8% in same-store sales. For the year, Abercrombie expects its EPS to be around $6.60 - up from $3.88 last year.
The company operates 851 stores in the United States […]

DJIA - Price Resistance - Nice +8.1% for Nov. 06

Saturday, November 18th, 2006

In article, “DJIA - Stock Price Resistance“, we outlined a bearish strategy for the Dow Jones Industrial Average when the index is close to its historic high using bear call spreads options. In article, “DJIA - Price Resistance - Revisited“, we analyzed the results of the selections in “DJIA - Stock Price Resistance” denoting […]

Labor Ready (LRW) - Handy Profit Potential

Friday, November 17th, 2006

Labor Ready’s ( LRW ) stock price was up 8.25% on Wednesday and appears like it may go even higher. Labor Ready supplies manual labor workers for construction, manufacturing, and skilled trades. The company’s customers are primarily small to midsize businesses that use the company for resource leveling. It is extremely helpful for short-term projects […]

Home Depot (HD) & Lowes (LOW) - US Housing Market

Thursday, November 16th, 2006

Housing starts are down nearly 18% from a year ago and there has been a negative trend in housing starts in the months leading up to September 2006. ( realtor.org ) Both the long and short-term housing start trends are forecasted to decrease. Analysts predict this is good news for landlords and bad news for […]

Time Warner (TWX) - News Corp (NWS) - Black Market DVD

Tuesday, November 14th, 2006

Will the Chinese turn from their black market wares and embrace the legal offerings of American companies? News Corp (20th Century Fox) (NWS) is betting on it and is planning to sell inexpensive DVDs to Chinese consumers. A similar concept turned many US consumers from free file sharing websites to legitimate download sites such as […]