ACTIONS:

Buy to open the NUE October 52.50 calls (NUE161021C00052500) for a maximum price of $0.75.

Take profits and sell to close the first half of the BAC September 15 calls at current levels.

Dear Momentum Options Subscriber,

I have been researching two New Trades for the portfolio this morning, and I have one ready now that I want us to get into. I also have a partial Profit Alert for our trade in Bank of America (BAC).

I could take additional action into the closing bell, so stay locked and loaded.

 

Nucor (NUE, $48.81, down $0.12)

Buy to open the NUE October 52.50 calls (NUE161021C00052500) for a maximum price of $0.75.

Action: I like these call options at current levels, and you can use a Limit Order up to $0.75 to get the best fills.

These are the regular monthly options that expire on Oct. 21. I will provide the parameters of the trade in tomorrow’s Pre-Market Update.

 

Bank of America (BAC, $15.48, up $0.08)

BAC September 15 calls (BAC160916C00015000, $0.64, up $0.07)

Entry Price: $0.50 (8/8/2016)

Exit Target: $1.00

Return: 28%

Stop Target: $0.52 (Stop Limit)

Action: Take profits and sell to close the first half of the BAC September 15 calls at current levels to take some risk off of the table ahead of tomorrow’s Fed-speak.

Near-term resistance is at $15.50-$15.75. Support has moved up to $15.25-$15.

 

I hereby disclose that I will be participating in the aforementioned trade(s).

Trade on!

Rick Rouse
Editor and Chief Options Strategist
Momentum Options