by Ian Harvey
March 11, 2015
We, at Stock-Options-Made-Easy have always maintained an optimistic view that the bull market is far from over and has more legs-to-run. This became apparent as Wednesday trading began that the current bull market for U.S. stocks was celebrating its seven-year anniversary – this means that the bulls have logged more than 84 months without posting a decline of 20% that marks a retreat into bear territory.
And we at Stock-Options-Made-Easy have certainly taken advantage of this current situation as can be seen with some of the results achieved within a very short time-frame.
Last week saw members of the “Cut-to-the-Chase” Series make serious gains on the following options trades:-
• Entergy Corporation (NYSE:ETR) Calls – Profit Potential (P.P) 256%
• Marathon Oil Corporation (NYSE:MRO) Calls –P.P: 436%
• Splunk Inc (NASDAQ:SPLK) Calls – P.P: 107%
• Kite Pharma Inc (NASDAQ:KITE) Calls – P.P: 70%
And this week so far:-
• Shake Shack Inc (NYSE:SHAK) Calls – P.P: 56% -- especially for smart traders before the earnings report.
According to facts that have been bandied around about the Dow Jones Industrial Average Indices (DJIA), this current bull run is the third-longest on record, with the average lasting slightly less than 59 months. As for Armchair Trader Members, there have been some great results as well:-
• J C Penney Company Inc (NYSE:JCP) Calls – 100% Profit
And this week
• Urban Outfitters, Inc. (NASDAQ:URBN) Calls – 112%
During this time statistics since March 9th, 2009, state that the Dow Jones Industrial Average Indices (DJIA) has gained a healthy 159%; the S&P 500 Index (SPX) is up 193%; whilst the Nasdaq Composite (COMP) is up a whopping 266%.
After relentless strength last week, the S&P 500 finally took a breather on Tuesday, dropping 1.1%. This move looked quite horrible, but arguably healthy and necessary for future movement and profit.
Not to be left out Active Trader Members which includes the Armchair Trader Members trades as well, as above, have also benefitted from:-
• Dollar General Corp. (NYSE:DG) Calls – 100%
• Palo Alto Networks Inc (NYSE:PANW) Calls – 100%
A sideways move occurred on Wednesday, but yesterday saw a surge again to be slowly deteriorated and eventually settle in somewhat similar territory that has been experienced for the past 3 days.
Yesterday’s surge and pullback that was experienced was due to The European Central Bank (ECB) decision to cut interest rates and expand their stimulus efforts which saw early gains, but when crude oil futures lost ground and a stronger-than- anticipated jobless claims was forecast many traders become anxious and caused a pull-back.
All the more reason to be vigilant and providing space to take advantage of these pull-backs – and definitely options trading can fulfill this need!
Best of Trading,
Director of Stock Options Made Easy