1:10pm (EST)
The bears are leading the way as we head into the second half of trading and wrap up what has been another good week. The bulls have seen some green today but look exhausted after trying to hold support. They can’t quit just yet as the fear of lower lows still exists but a flat to slightly down session would not be too harmful.
The Dow is currently down 17 points to 15,095 while the S&P 500 is lower by 3 points to 1,658. The Nasdaq is up a 6-pack to 3,612 while the Russell 2000 is 2 points to 1,029.
We have two more winning positions we are closing today for our Weekly Wrap that will return us some nice gains. The trades were opened in late June and July when nobody wanted to buy the market (like now) and we sold call options to lower our cost basis.
We recommended buying Sonus Networks (SONS, $3.34, down $0.01) at $3 on 7/8/13 and 3 days later we sold the August 3 calls (SONS130817C00003000, $0.35, down $0.05) for 35 cents which lowered the cost basis to $2.65. We will be called-away at $3 on the close and the trade will make 13%.
We recommended buying Nvidia (NVDA, $15.34, up $0.21) at $14.07 on 6/27/13 and we sold the August 15 call (NVDA130817C00015000, $0.35, down $0.20) for 35 cents as well. This lowered the cost basis to $13.72. As long as $15 holds into the close, we will get called-away and the trade will make 9%.
While we like hitting the home runs for our Daily on trades that have the potential to make 100% or more, the Weekly Wrap provides us nice monthly double-digit gains that add up over a year.
Ten trades that return 10% doubles your money and 5 trades that return 20% make you 100% if equally invested.
We have a number of other trades that are currently in play for our Weekly Wrap and if you haven’t signed up for the newsletter, we urge you to do so this weekend.
We have a few stocks in the $2-$3 range that we expect to return 50%-100% and a $7 stock that we have been beating the drum on since shares were at $4. We expect this hidden gem that has no analyst coverage to trade to $15 in 2014.
It is our favorite trade for 2013 and we are encouraging all of our subscribers to add this one to their retirement and speculative accounts. The company is making a rapid expansion into the casual fast-food industry and their stores will be all the craze in 2014.
You haven’t heard of them now but you will. They could become the next Chipotle Mexican Grill (CMG, $404.35, up $2.87). It would be nice to imagine owning 1,000 shares of the company we are harping about at $7 to see shares trade to $400. A $7,000 investment to $400,000, sign us up!
For now, let’s keep our expectations in check but we do believe shares will double or even triple from current levels over the next few years.
If you are not a subscriber, we are offering you the chance to join the Weekly Wrap for 3-months for a 50% discount! We have gotten many requests to add 1-month memberships but most of our trades usually take 3 weeks or more to play out and it doesn’t make sense for us to do this. However, because we believe in the publication and the stock we are touting, we are offering a 3-month membership to the Weekly Wrap for just $130.50.
This is a 50% discount from the regular price of $261. All you have to do is enter this coupon code:
Coupon code: 9D81A110
To subscribe, please go here.
Associate with: Weekly Wrap – 3 Month Subscription Only $261 for 3 months
Weekly newsletter – Stock market review and analysis for upcoming week.
Make sure you associate the coupon with the 3-month WEEKLY WRAP subscription. If you have trouble email us.
This Weekly Wrap newsletter is now 30-3 for 2013 and 74-5 since 2011. The best part about this newsletter is that we have never lost sleep worrying about the portfolio. We do the homework to find the best trades, hidden gems, and undervalued stocks that could be ready to rock. From time-to-time we may also buy LEAP options or short a stock if we feel we can make a double-digit profit.
The newsletter comes out every Sunday night with New Trades and Profit Alerts throughout the week. We hope you considerer joining us this Sunday.
We have some last minute updates for our Daily option trades and we will be watching the close to see if the bears get more aggressive or if the bulls hold current levels. If we do not have a Profit Alert or New trade before the close, have a great weekend everyone and we will be back Sunday night with the Weekly Wrap and Monday morning with the Daily.
