The U.S. trade deficit declined 3.8% from December to January. The trade deficit decline was mostly a result of higher exports. While imports did decline, it was only slightly.
The trade deficit with China continues to widen — clocking in a 12% change from December to January.
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The amount of trade between the world economies has steadily increased over recent years and this trend doesn’t appear to be going to change anytime in the near future. In fact, there’s so much trade between the U.S. and its trading partners, the U.S. shipping ports are cluttered with surplus ocean shipping containers – so many surplus containers are starting to pile up that houses are being constructed from the containers.
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Potential Trades:
With larger and larger amounts of goods being shipped around the world, the shipping industry is looking pretty bullish. Using PowerOptions search tools we discovered the following potential covered calls stock options positions for ocean shipping companies:
| SmartSearchXL covered call search | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Stock Sym |
Stock Price |
Option Sym |
Expire &Strike |
Opt Bid |
%Dnsd. Prot |
%If Unch. |
%If Asgnd. |
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| GMR | 44.51 (-0.67) | GMRDI | 07 APR 45.0 (43) | 1.45 | 3.3 | 3.4 | 4.5 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| OMM | 22.33 (-0.05) | OMMDX | 07 APR 22.5 (43) | 0.55 | 2.5 | 2.5 | 3.3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| OSG | 60.64 (unch.) | OSGDL | 07 APR 60.0 (43) | 2.40 | 4.0 | 3.0 | 3.0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| TOPT | 4.83 (-0.03) | QLTDA | 07 APR 5.0 (43) | 0.10 | 2.1 | 2.1 | 5.7 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The OSG covered calls position is in-the-money with a potential return of 3% (43 days) and downside protection of 4%.
The remaining positions are out-of-the-money covered calls positions with potential returns ranging from 2.1% to 3.4% if the stock price remains unchanged at stock options expiration and potential returns ranging from 3.3% to 5.7% if the underlying stock price increases to or above the strike price of the call option.
The covered calls stock options strategy allows investors to tailor their investments for their own personal risk/reward tradeoff. In-the-money covered calls are generally considered more conservative because they provide greater downside protection, and out-of-the-money covered calls stock options positions generally provide more potential return at the expense of less downside protection.
For more information about how to identify and research great option trades, visit the PowerOptions website. There you will find the data you need to make quick, clear, and informed decisions. You can trade knowing you have found the best investment. Also, PowerOptions will allow you, with a few quick clicks, to quickly and accurately compare trades. PowerOptions‘ premium customer support is second to none in the industry. They can be easily contacted when you need them at their toll-free number to answer customer questions. Call them now toll free at 877-992-7971.
PowerOptions provides a free 14-day trial of its service. So join PowerOptions today, and you too can start reaping the benefits of the covered call investment strategy.
PowerOptions‘ sister company PowerOptionsApplied provides expert stock option trading recommendations. PowerOptionsApplied specializes in covered calls, naked puts and iron condor stock options strategy recommendations. PowerOptionsApplied provides a 30-day risk free trial of its service.
[tags] covered call investment strategy, investment strategy, iron condor, poweroptions, stock option trading, stock options [/tags]