Mid-Market Update for 8/28/2017

Earnings for the Week

1:15pm (EST)

This could be a slow and choppy week for the market as 2Q earnings season winds down and Wall Street takes their last extended vacations of the summer. Congress is still away but political news remains at the forefront and will get more tense as the looming debt limit nears along with the battle over possible tax cuts. Hurricane Harvey’s impact is still ongoing and will bring additional rain and floods in Texas throughout the week.

In any event, there could be some trading opportunities surrounding earnings events, either before, or after the news.

American (AMSWA). Catalent (CTLT), Perceptron (PRCP) are reporting earnings after today’s close but aren’t stocks I actively follow.

Best Buy (BBY), Hain Celestial (HAIN), H&R Block (HRB), J. Jill Group (JILL), Movado (MOV) and ScanSource (SCSC) are announcing numbers on Tuesday.

Wednesday’s action includes: Analog Devices (AMD), Bob Evans Farms (BOBE), Box (BOX), Chico’s FAS (CHS), DyCom Industries (DY), Five Below (FIVE), Greif (GEF), Semtech (SMTC), Shoe Carnival (SCVL) and Workday (WDAY).

Ambarella (AMBA), Campbell Soup (CPB), Dollar General (DG), Lands’ End (LE), Lululemon (LULU), Palo Alto Networks (PALW) and TD Bank (TD) highlight Thursday’s parade.

There are no major announcements on Friday and ahead of the Labor Day weekend.

Heading into the second half of trading, the Dow is down 22 points to 21,791 while the S&P 500 is off 2 points to 2,440. The Nasdaq is up 10 points to 6,275 and the Russell 2000 is up a point to 1,378.

I have updated our current trades so let’s go check the tape.


Momentum Options Play List

Closed Momentum Options Trades for 2017: 44-19 (70%). All trades are dated and time stamped for verification. New subscribers can look at the past history to see how the trades have played out or to research our Track Records.

Do not risk more than 5% of your trading account on any one trade but do try to take all of the trades. Please remember, all “Exit Targets” and “Stop Targets” are targets. You should not have any “Hard Stops” entered to close any trades or “Exit Orders” in your brokerage account unless I list one. I will send out a “Profit Alert” or “New Trade” if I want you to close a position or if a new trade comes out. Otherwise, follow instructions at all times in the 8am and 12pm–2pm (EST) updates. Also, I will usually give you a heads-up if I think I’m going to send a Trade Alert outside of these time frames.


Amicus Therapeutics (FOLD, $13.55, up $0.45)

FOLD October 15 calls (FOLD171020C00015000, $1.25, up $0.20)

Entry Price: $1.05 (8/25/2017)
Exit Target: $2.10
Return: 23%
Stop Target: None

Action: Resistance is at $13.25-$13.50 with a close above the latter a bullish development. Support is at $12.75-$12.50.


TherapeuticsMD (TXMD, $6.02, up $0.09)

TXMD December 7.50 calls (TXMD171215C00007500, $0.65, flat)

Entry Price: $0.95 (8/17/2017)
Exit Target: $1.90
Return: -31%
Stop Target: None

Action: Support is at $6-$5.75. Resistance is at $6-$6.25.


Intel (INTC, $34.65, down $0.02)

INTC October 37 calls (INTC171020C00037000, $0.16, flat)

Entry Price: $0.53 (8/15/2017)
Exit Target: $1.10
Return: -68%
Stop Target: 10 cents (Stop Limit)

Action: Support is at $34.50-$34.25. Resistance is at $34.75-$35.


TiVo (TIVO, $17.90, down $0.05)

TIVO October 20 calls (TIVO171020C00020000, $0.35, flat)

Entry Price: $0.70 (8/8/2017)
Exit Target: $1.40
Return: -50%
Stop Target: None

Action: Support is at $18-$17.75. Resistance is at $18.50.