11:00am (EST)
We have action to take on a trade in our Weekly Wrap that has come down to the wire. Shares of Aruba Networks (ARUN, $21.45, up $0.85) are surging again today and have been all week.
We recommended a LEAP option trade back in October that has struggled but we stuck with the chart and said to stay long. We can now take a slight profit. We used the breakout to play near-term options for our Daily that has handed us a sweet triple-digit return so our patience has been rewarded.
Subscribers, check the Weekly Wrap Premium section/ Members Area for the update and we will be back shortly with our midday Daily report.
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Aruba Networks (ARUN, $21.45, up $0.85) LEAP Option Trade
January 20 calls (ARUN140118C00020000, $1.50, up $0.90)
Original Entry Price: $1.45 (10/11/13)
Exit Target: $1.50
Return: 3%
Stop Target: None
Action: Close the options at current levels as they are in-the-money. This trade was down 93% coming into the week and after waiting 3 months we can finally take a profit. Although it was only a slight gain, we used the breakout to play the February call options in our Daily. Some of you jumped on the January 20 calls early in the week judging by your emails and also made some great profits. Right on!