Hey everyone
The blog will be moving over to contribute to the KDK Fund. You will be able to track the fund's activities from the blog, @kdkfund, and at kdkfund@gmail.com.
Thank you
Thursday, November 21, 2013
Friday, November 15, 2013
Start Putting Stop For End of Year Trade
With the SPY price getting close to the target price of $181.00 (it is now in the $179 area), there should be some interest in moving the stop loss to protect gains on the end of year trade (older posts below). The suggestion would be to put a stop loss in the 176-177 range. This protects your investment. There could be a slight pullback before the final push above $180. This area of stop loss allows for that.
This will be a nice end of the year for those invested. But there are still bullish opportunities for 2014. Good luck to all.
Start of Trade Post
Continuing of Trade Post
This will be a nice end of the year for those invested. But there are still bullish opportunities for 2014. Good luck to all.
Start of Trade Post
Continuing of Trade Post
Friday, October 25, 2013
Continue End of Year Trade
Hey
Now that earnings are generally out, the end of year trade should be fully invested. The $180.00 target on SPY is still the plan. The government shutdown is over. The earnings have been ok without any big misses that would affect the trajectory of the trade. An analysis of the situation will continue to the end of the year. The trade should have started with the SPY trading at $171.00. A $9.00 profit on the trade represents a 5+% return in 3 months time. If you chose to trade options on this information, the profit would be far more.
Possible End of Year Trade
Start End of Year Trade
Happy Trading!
Now that earnings are generally out, the end of year trade should be fully invested. The $180.00 target on SPY is still the plan. The government shutdown is over. The earnings have been ok without any big misses that would affect the trajectory of the trade. An analysis of the situation will continue to the end of the year. The trade should have started with the SPY trading at $171.00. A $9.00 profit on the trade represents a 5+% return in 3 months time. If you chose to trade options on this information, the profit would be far more.
Possible End of Year Trade
Start End of Year Trade
Happy Trading!
Thursday, September 26, 2013
Ford November $20.00 Call Purchase
A Ford November $20.00 call option was purchased for $0.05 before commissions and fees. The target for the options is $.50. The stock is currently trading at $17.25. Reason(s) for the trade are below:
- stock has been consolidating in the last month
- September monthly sales are expected to be positive
- price of option (risk) was acceptable to target price (reward)
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
- stock has been consolidating in the last month
- September monthly sales are expected to be positive
- price of option (risk) was acceptable to target price (reward)
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
Friday, September 20, 2013
Part 1 of End of Year Bull Trade
Hey everyone
Since the Federal Reserve decided not to taper this month, a bullish scenario for the rest of the year is starting to emerge. This big piece of policy allows for a bullish trade in SPY to begin with a 25% commitment. The target for the trade would be $180.00. Currently the SPY trades at $171.61.
Because there are other large pieces to the end of year puzzle to be fit, an argument not to fully commit needs to be heeded. The government still needs to work through their funding issues. Any stoppage will have a negative effect on the market and will put the bullish trade in jeopardy. Corporate earnings are due out next month. Even thought there might be some bad news earnings wise, it is the guidance that is important. Bad guidance will end the bullish trade. Decent guidance will propel the trade.
If the government avoids a shutdown, and there is positive guidance, going full trade would make sense. But if there is a shutdown, and guidance fails, the bullish trade should end at your stop loss.
Current holdings for The Keane Trade are:
- Ford Oct $18.00 call options (link here)
A previous post regarding the idea behind the trade can be found here.
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
Since the Federal Reserve decided not to taper this month, a bullish scenario for the rest of the year is starting to emerge. This big piece of policy allows for a bullish trade in SPY to begin with a 25% commitment. The target for the trade would be $180.00. Currently the SPY trades at $171.61.
Because there are other large pieces to the end of year puzzle to be fit, an argument not to fully commit needs to be heeded. The government still needs to work through their funding issues. Any stoppage will have a negative effect on the market and will put the bullish trade in jeopardy. Corporate earnings are due out next month. Even thought there might be some bad news earnings wise, it is the guidance that is important. Bad guidance will end the bullish trade. Decent guidance will propel the trade.
If the government avoids a shutdown, and there is positive guidance, going full trade would make sense. But if there is a shutdown, and guidance fails, the bullish trade should end at your stop loss.
Current holdings for The Keane Trade are:
- Ford Oct $18.00 call options (link here)
A previous post regarding the idea behind the trade can be found here.
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
Thursday, September 19, 2013
Purchased Ford Oct $18.00
Hey
The Ford October $18.00 call option has been purchased for $0.30 before commissions and fees. The target for the option is $1.00. The stock is trading at $17.61. The reason(s) for the trade are below:
- Continued momentum in the stock based on sales
- Anticipation of decent September month figures
- Upward revisions in EPS and price targets at $20.00 by multiple brokerage firms including Citigroup.
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
The Ford October $18.00 call option has been purchased for $0.30 before commissions and fees. The target for the option is $1.00. The stock is trading at $17.61. The reason(s) for the trade are below:
- Continued momentum in the stock based on sales
- Anticipation of decent September month figures
- Upward revisions in EPS and price targets at $20.00 by multiple brokerage firms including Citigroup.
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
Sold Ford Sep $17.00 Call
Hey
Today the Ford $17.00 Call was sold for $0.74 before commissions and fees. The reason for the sale is that the option was expiring tomorrow and there was a profit on the trade.
The link to the post explaining the purchase is here.
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
Today the Ford $17.00 Call was sold for $0.74 before commissions and fees. The reason for the sale is that the option was expiring tomorrow and there was a profit on the trade.
The link to the post explaining the purchase is here.
**Disclaimer - This blog is just reporting information and should not be considered as a recommendation to buy or sell any financial instrument. Do your due diligence before investing or trading. **
Subscribe to:
Posts (Atom)