Trading Tips Blog

Commodities have been trending strong lately. It’s no surprise that traders still see some upside in uranium. One trader sees a move higher in
Cameco (CCJ). That’s based on the April $24 call option. Expiring in 29 days, the trader paid $0.30 to buy over 28,500 contracts. That’s a 214-fold rise in volume from the prior open interest of 133. With shares near $19, it would take a further 26 percent rally for the option to move in-the-money. Shares of Cameco have Read More About This

Even with increased volatility, most assets are near all-time highs. That includes the Dow and S&P 500, and the Nasdaq has nearly recovered from its brief correction. One other area is Bitcoin, which saw a surge in demand just as new stimulus checks started to hit bank accounts. The cryptocurrency surged as high as $61,500 in weekend trading before slipping down during regular market hours. But traders are looking at this milestone and other trends that could fuel another rally. For ...
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Energy giant
Marathon Oil (MRO) has had strong performance on rebounding oil prices in recent months. But one trader sees an end to the party. That’s based on the July $15 puts. With 121 days until expiration, 5,055 contracts traded against a prior open interest of 111, for a 45-fold rise in volume. With shares around $12, the option is already $3 in-the-money. The trader paid $3.90 for the contracts on average, or about only $0.90 in time premium. Marathon shares have nearly ...
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Jennifer Weber, a senior vice president at
Archer Daniels Midland (ADM), recently picked up 5,905 shares. The buy increased her stake by nearly 8 percent, and came to a total purchase price of just under $298,000. This marks the first insider buy since last September. Insiders are typically sellers of shares, even as prices of the agricultural giant have been trending higher. Overall, insiders own just under 0.4 percent of the company. Concerns of food supply disruption and inflation have led to ...
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Shares of
American Airlines (AAL) have roughly doubled since the announcement of a Covid vaccine in early November. One trader sees a further move higher in the next month. That’s based on the April $29 calls. With 31 days until expiration, over 24,200 contracts traded, a 33-fold rise in volume from the prior open interest of 724. The option buyer paid about $0.62 for the contract. With a share price near $23.50, shares would need to rally another 23 percent in the next ...
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Gordon Crawford, a director at
Lions Gate Entertainment (LGF-B), recently picked up 100,000 shares. The total cost of the buy came to just under $1.6 million, and increased the director’s stake by over 62 percent. This marks the first insider buy of the year. Insiders have been active buyers in the past 18 months, but before that were more likely to be sellers, at a far higher price than where shares trade today. Overall, insiders own just over 2 percent of shares. Shares ...
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Health care and biotech companies have had some big moves over the past year, but seem to be settling back into the relative underperformance that marked the pre-pandemic era. That’s also applied to pharmaceutical companies too, including those who have developed Covid vaccines. The drug industry’s historically rapid development of a vaccine seems to be no longer impressive. Neither does the likely profits to be had thanks to government support and backing. Case in point?
Pfizer (PFE). Shares have shed more than 20 ...
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Stock buybacks and dividends were slashed or eliminated last year. Many firms are starting to resume either or both, and point to which companies are likely to continue to fare well in the post-pandemic world. One company just reported strong growth following a merger, and surprised even more with the possibility that a buyback of up to $60 billion would occur within the next few years. The company?
T-Mobile (TMUS). The telecom company merged with Spring last year, just in time for the ...
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