Online Stock Trading Software

Insurance Investing Returns +0.5% in Jan 07

In a PowerOptions WeBlog article, “Hurricanes – Insurance – Options Investing”, we outlined a covered calls stock options strategy for the property & casualty segment of the insurance industry. Using PowerOptions SmartSearchXL stock options search tool, we discovered two attractive covered calls positions. The stock price of both positions dropped after entering the covered calls stock options position, but the positions were still profitable at stock options expiration generating a return of +0.5%, illustrating the beauty of covered calls stock options investing.

Stock Option Advisory

Sewing Covered Calls Without Wal-Mart (WMT)

In the article, “Sewing Up Profits – Covered Call Investing”, we analyzed the retail fabric market and decided a covered calls stock options strategy was prudent for this segment in light of the popularity of hand made clothing by today’s teens. Two positions were selected for this strategy, and both were profitable returning an average of +2.5%. In article, “Sewing Covered Calls Returns Nice +2.5% in Dec 06”, we again selected retail fabric covered calls positions with options expiration in January of 2007 and the positions generated a nice +2.4% average return.

Stock Option Investment Advice

Nexen (NXY) – Oil Delivery – North Sea Prospect

In a press release dated January 8, 2007, Nexen (NXY) announced a major oil field prospect in the North Sea commenced production. The stock is experiencing heavy trading today at 128% of its average volume. The stock has advanced 3.5% today and over 10% in the last week. Nexen’s stock is approaching the 52-week highs it saw in the spring of 2006.

Online Stock Trading Software

DJIA Price Resistance – Total Return of +21.1% in Three Months

In an 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 the article, “DJIA Price Resistance – Another +8.1% Return – Dec. 06”, we noted the continued success of the strategy, and we also selected new positions for January. The January selections were fully profitable returning a very nice +8.1% once again. Since beginning this series on the DJIA at the end of October of 2006, this strategy has returned a very nice +21.1%, in just 3 months!

Stock Option Investment Advice

Telecom & Cable – Yes to AT&T (T) & Comcast (CMCSA)

Sometimes comical, and always entertaining, stock analyst Jim Cramer answered a question in his mailbag column last Friday afternoon. Today, the PowerOptions’ blog takes a look at Cramer’s comments and offer some option trading suggestions. This blog talked briefly about TiVO’s partnership with Comcast (CMCSA) in the 9 January article, “TiVO Partners for Profits – Covered Call”.