Trading Tips Blog

Shares of Bank of America (BAC) have been dropping along with the rest of the market over the past few weeks. One trader sees the possibility of a rebound by the summer. That’s based on the August $44 calls. With 174 days until expiration, 2,260 contracts traded compared to an open interest of 120, for a 19-fold rise in volume. The buyer of the calls paid $4.28 to make the trade. Shares of the bank last traded around $45, making this ...
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Long-term investors can use market corrections to their advantage. It’s the perfect time to target great companies at reasonable prices. One key strategy comes from buying shares of companies that have a history of raising a dividend over time. Dividend growth investing may not pay off over a short period of time, but buying during a correction can tend to create capital gains as stocks rebound. One dividend growth play that went on sale this week is Home Depot (HD). The company ...
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Cascade Investment LLC, a major holder of Republic Services Inc (RSG), recently added 362,747 shares. The buy increased the fund’s holdings by 0.33 percent, and came to a total cost of just over $42.5 million. Cascade is best known as the fund owned by billionaire Bill Gates, for his personal holdings outside of Microsoft. The fund last bought nearly a year ago, with a mere 10,055 share buy for about $1 million even. While the fund has been a regular buyer, company ...
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Shares of electric mobility company Plug Power (PLUG) have generally been in a decline over the past year. However, one trader sees the possibility for a major move higher ahead. That’s based on the March 11 $28 calls. Expiring in 15 days, 5,844 contracts traded compared to an open interest of 148, for a 39-fold rise in volume. The buyer of the calls paid $0.22 to make the trade. Shares of the stock recently traded close to $21, so shares would need ...
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Commodities look like an early winner for 2022 as traditional and risk-on assets have continued to sink since the start of the year. Companies looking to make astute mergers and improvements in the space are likely to benefit from this trend. That’s true for companies in the base and precious metals areas. Base metals play well to themes of inflation, as do precious metals. Investors looking for a blend of both can likely see outstanding performance in the months ahead. Barrick Gold ...
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Kent Masters, Chairman, President and CEO at Albemarle Corp (ALB), recently bought 5,241 shares. The buy increased his holdings by over 49 percent, and came to a total cost of just under $1,000,000. He was joined by company president Netha Johnson, who picked up 1,060 shares at a cost of just under $188,000. The buy increased the President’s stake by about 17 percent. Overall, company insiders own just 0.3 percent of company shares. The stock is up about 23 percent in the ...
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Shares of wireless communication giant Qualcomm (QCOM) have been on a long-term surge over the past few years, although shares have been dropping with the overall market more recently. However, one trader sees the potential for a rebound in the coming weeks. That’s based on the March $175 calls. With 29 days until expiration, 2,828 contracts traded compared to an open interest of 171, for a 17-fold jump in volume. The buyer of the calls paid $5.30 to make the trade. Shares ...
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The stock market selloff has been hitting tech stocks the hardest. That’s turned some high-flying valuations into more reasonable ones. While maybe not an extreme value, companies that are able to report growing earnings in spite of the economic headwinds right now could be at a solid entry point. That’s especially true for industry-leading tech companies that are also contending with the issues of larger companies, such as regulatory ones. The perfect example of this is Nvidia (NVDA). The graphics processing giant ...
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