Trading Tips Blog

Wall Street megabank Morgan Stanley (MS) is down nearly 10 percent over the past year, as financial stocks have been hit by rising interest rates. One trader is betting on a bounce higher in the coming months. That’s based on the February 2024 $87.50 calls. With 86 days until expiration, 25,470 contracts traded compared to a prior open interest of 201, for a 127-fold rise in volume on the trade. The buyer of the calls paid $0.95 to make the bullish ...
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Earnings season is winding down, following the statements from many big-name companies. But a company that’s been trending higher, combined with strong earnings, can trend even higher. Add in the high likelihood of a seasonal rally, and investors should target these companies to find a winner. The power of seasonality, stock momentum, and improving fundamentals from earnings is hard to argue against, even for a stock making a new 52-week high. One compelling opportunity now is Ross Stores (ROST). The discount retailer ...
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Scott Wagner, a director at BILL Holdings (BILL), recently purchased 8,750 shares. The buy increased his stake by a massive 973 percent, and came to a total cost of $507,500. The buy came a day after another director bought 17,710 shares, paying just over $1 million, and increasing their position by 92 percent. Prior to those buys, insiders have been sellers going back to 2021. Overall, BILL Holdings insiders own about 4 percent of shares. The business management software company is down ...
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Oil and gas producer Phillips 66 (PSX) has underperformed the market over the past year, returning just 6 percent. One trader sees the potential for a move higher. That’s based on the February $135 calls. With 86 days until expiration, 11,002 contracts traded compared to a prior open interest of 161, for a 68-fold rise in volume on the trade. The buyer of the calls paid $0.95 to make the bullish bet. Phillips 66 recently traded for just over $116, so they ...
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Every year, a few former market darlings can’t seem to catch a break. The shares get hit hard. And business slows down, leading to a massive price and valuation compression. After a while, however, the market finds new stocks to dislike, and what’s hated can start on the path to becoming loved again. This can happen to any stock in any sector. Often, it happens to an industry leader that gets passed up by a new leader, even if they’re still ...
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Stephen Luczo, a director at AT&T (T), recently bought 62,500 shares. The buy increased his stake by 13 percent, and came to a total cost of $971,875. This marks the only insider activity at the telecom company over the past two years, and well after AT&T has spun off its entertainment division, reduced its dividend, and moved back to having a core focus on the telecom sector. Overall, AT&T insiders own 0.1 percent of shares. The telecom has struggled this year ...
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Electric vehicle manufacturer Fisker (FSR) is down 60 percent over the past year, as demand for new cars has slowed. One trader sees further downside in the weeks ahead. That’s based on the December 15 $2 puts. With 24 days until expiration, 18,694 contracts traded compared to a prior open of 146, for a massive 128-fold rise in volume on the trade. The buyer of the puts paid $0.10 to make the bearish bet. Shares recently traded just under $3, so would ...
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Just as the autumn months are weak for the market, the final few weeks of the year tend to bode well for stocks. They tend to fare best for retailers, amid the rush of the holiday season. December has historically made the difference for a retailer earning a profit for the year or not. Many retailers are starting to come heavily off their lows, but have more upside ahead through the holiday season. That’s especially true for the most beaten-down companies. Among ...
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