1:05pm (EST)
Gilead Sciences (GILD, $46.77, up $0.18)
January 50 calls (GDQAJ, $0.50, flat)
Entry Price: $0.55 (12/04/09)
Exit Target: 80 cents
Return: -9%
Stop Limit: 25 cents
Action: We think the Drug stocks are going to have a good week as there will be a lot of buzz in the sector this week.
A123 Systems (AONE, $17.67, up $0.49)
January 21 calls (ZKQAU, $0.50, up $0.10)
Entry Price: $0.80 (12/04/09)
Exit Target: $1.60
Return: -38%
Stop Limit: NONE
Action: We LISTED the January 15 puts (ZKQMC, $0.75, up $0.10) for protection for those of you who wanted some. This would make the trade a strangle option trade and while the puts will protect you on a move back to $14, they will limit the upside potential should AONE rally back above $20.
TiVo (TIVO, $10.01, down $0.05)
February 12.50 calls (TUKBV, $0.75, flat)
Entry Price: $0.75 (11/30/09)
Exit Target: $1.50
Return: 0%
Stop Limit: None
Action: TiVo jumped out to some nice gains this morning as the stock hit a high of $10.30. There isn’t much action in the current month’s option chains but these call options have traded over 5,000 contracts today and have hit a high of 80 cents today. The February 10 calls (TUKBB, $1.50, flat) have traded over 4,000 contracts.
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