Hi all, I'm back, with the article for this week. No volatile earnings for next week, so no trades for the next week.
Anyway, I just want to tell you that I recently posted an article on seeking alpha about Sturm Ruger & Co. RGR. This article has been posted here before. It is only that the seeking alpha article was edited a bit more. Here is the URL to my article: http://www.seekingalpha.com/instablog/3588711-ong-kang-wei/790541-sturm-ruger-a-beaten-up-stock-up-for-grabs. (RGR is up more than 9% since I first recommended it a week ago. It went up 9% on Friday because it's direct competitor Smith and Wesson SWHC reported better than expected earnings. Even though it climbed quite a big deal, I still maintain my strong buy rating. Also, even though it stopped selling guns for quite a while, March to May, I believe it will still beat analyst expectations like the past 10++ quarters.)
About the market, Friday saw a big increase of almost 280 points on the Dow. The European leaders have come out with a plan to save their crisis-stricken countries. I don't know much, but I am still cautious about the market, which is moving quite violently on EU news these days. One day its good news and the
next it's bad.
Other than large moves in the market on Friday, Oil and other commodities also gapped higher on these news. A better Europe will obviously mean a better world, I think that is the main reason for all these big moves. But, Europe is still in dire straits and I don't think it will recover so fast. It's sure meant to recover in the future but it will be long. Lastly, the Euro also gapped a higher to around 1.26 against the US Dollar.
In options, results were quite good, with Whole Foods Market WFM closed out for a 40% gain, Tiffany TIF closed out for a 22% gain and Research In Motion and RIMM closed for a 17% gain. RIMM plunged almost 20% after reporting losses five times as much as expected, delayed release of the Blackberry 10, and a cut in workforce of about 5000, or 30%. Moving on to the losses, the Apollo APOL trade resulted in a 9% loss. This time it wasn't the stock which moved little, it was the option that depreciated a bit too fast, from time decay. The stock moved 10%. Ross Stores ROST was also closed out for a minor 2% loss. If closed earlier, I could have gained up to 20%. That's why, a target is important and the principle in options (not stocks!!), is, when you get a good gain, grab and go!
So, that's all for this week's report, please go to www.traders2results.blogspot.com to see results of previously done trades and my current positions. A tutorial can also be found there.
For a profitable week!
For those in USA, happy Independence day!
Anyway, I just want to tell you that I recently posted an article on seeking alpha about Sturm Ruger & Co. RGR. This article has been posted here before. It is only that the seeking alpha article was edited a bit more. Here is the URL to my article: http://www.seekingalpha.com/instablog/3588711-ong-kang-wei/790541-sturm-ruger-a-beaten-up-stock-up-for-grabs. (RGR is up more than 9% since I first recommended it a week ago. It went up 9% on Friday because it's direct competitor Smith and Wesson SWHC reported better than expected earnings. Even though it climbed quite a big deal, I still maintain my strong buy rating. Also, even though it stopped selling guns for quite a while, March to May, I believe it will still beat analyst expectations like the past 10++ quarters.)
About the market, Friday saw a big increase of almost 280 points on the Dow. The European leaders have come out with a plan to save their crisis-stricken countries. I don't know much, but I am still cautious about the market, which is moving quite violently on EU news these days. One day its good news and the
next it's bad.
Other than large moves in the market on Friday, Oil and other commodities also gapped higher on these news. A better Europe will obviously mean a better world, I think that is the main reason for all these big moves. But, Europe is still in dire straits and I don't think it will recover so fast. It's sure meant to recover in the future but it will be long. Lastly, the Euro also gapped a higher to around 1.26 against the US Dollar.
In options, results were quite good, with Whole Foods Market WFM closed out for a 40% gain, Tiffany TIF closed out for a 22% gain and Research In Motion and RIMM closed for a 17% gain. RIMM plunged almost 20% after reporting losses five times as much as expected, delayed release of the Blackberry 10, and a cut in workforce of about 5000, or 30%. Moving on to the losses, the Apollo APOL trade resulted in a 9% loss. This time it wasn't the stock which moved little, it was the option that depreciated a bit too fast, from time decay. The stock moved 10%. Ross Stores ROST was also closed out for a minor 2% loss. If closed earlier, I could have gained up to 20%. That's why, a target is important and the principle in options (not stocks!!), is, when you get a good gain, grab and go!
So, that's all for this week's report, please go to www.traders2results.blogspot.com to see results of previously done trades and my current positions. A tutorial can also be found there.
For a profitable week!
For those in USA, happy Independence day!
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