Online Stock Trading Software

Americans Getting Fatter & Covered Calls

A report by the Trust for America’s Health (TFAH) organization entitled, “F as in Fat: How Obesity Policies are Failing in America, 2007”, recently observed Americans in 31 states continue to exhibit higher rates of obesity as reported from the previous year. Mississippi clocked in with the highest obesity rate for the third year in a row at 30.6%. Statistically about every third Mississipian you see will be obese. Another way to look at it is if a person is in Mississippi and they look to the person on the left and they look to the person on the right and don’t see an obese person, then the person doing all the head turning is probably the person eating too many hamburgers and french-fries.

Stock Option Advisory

CME Bull Put Spreads Strategy Returns +8.7% August 07

In the article, “CME Buying CBOT”, we analyzed Chicago Mercantile Exchange’s (CME) purchase of CBOT with an eye for a bullish strategy for CME. We continued the CME bull put credit spreads saga and for the month of August the strategy experienced a very nice +8.7% return. This strategy has returned over 82% in only nine months. Last month’s CME bull put credit spreads position came the closest to backfiring, as the price of CME stock fell to 505.89 on Thursday August 16 the day before options expiration. If the price of CME’s stock had remained below 530 at the market close on options expiration on Friday August 17, then the position would have experienced a loss of -91.3. And instead of enjoying a nine-month return of 82% we would have instead the ugly experience of an -18% loss over nine months. But fortunately the price of CME’s stock recovered…

Stock Option Investment Advice

Covered Calls Based on Jim Cramer’s Buy Recommendations

There has recently been a spate of media reports detailing the danger of chasing Jim Cramer recommendations. Ignoring this potentially sage advice to stay away, we dive headlong into the sometimes-erroneous hyperkinetic world of Jim Cramer to look at potential covered call trades on stocks he has recently plugged. (Note: Jim Cramer does not endorse any of the option strategies based on his stock selections illustrated in this article or on blog.poweropt.com)

Stock Option Advisory

Whole Foods and Wild Oats Merger Likely To Go Through – Organic Covered Call Opportunities

In our June 6th article entitled, “What do Health Food Supermarkets and Satellite Radio Have in Common? The FTC, Mergers, and Option Investing Opportunities”, we reported on the potential deal between Whole Foods Market and Wild Oats. Now the stock of both companies has risen around 5% since then and the merger looks likely to go through. Today, we will look again to both of these companies and explore potential Covered Call trading ideas.