Action Alert: AET Hits 119%
Plus: SWHC Blasts Off
PLAY: Sell one more AET July 30 Put (AET SF) at market, good for the day. Hold your remaining position for more gains.
Dear Bottarelli Research Member,
We’re seeing some really nice moves on our LEAPS positions today.
NYSE Euronext, Freeport-McMoRan Copper & Gold, and the United States Oil Fund are all ticking higher today, which is offering a great boost to our NYX January 2010 15 Calls (YVX AC), FCX August 35 Calls (FCX HG), and USO January 2010 30 Calls (KWW AD). Continue to maintain these plays going forward.
But the biggest winner today is Aetna (AET – NYSE).As you can see from the chart, shares of AET are getting clobbered today. And no wonder. Every time President Obama utters the words “health care reform,” Wall Street translates that into “lower profits for AET.” As a result, the AET July 30 Puts (AET SF) that we entered earlier this month for $3.60 have now hit a high of $7.90, good for a strong 119.44% gainer. Sticking to our scaled-selling technique, let’s go ahead and sell one additional contract to lock in these impressive gains.
PLAY: Sell one more AET July 30 Put (AET SF) at market, good for the day. Hold your remaining position for more gains.
UPDATE: If you recall, I issued a special report on Wednesday, December 3rd 2008 titled “The Best 5 Stocks You Can Buy Under $5.00.” As you know, we’ve already taken profits in excess of 100% on three of these five picks. Today, I’d like to lock in profits on our fourth 100% winner, which comes in the form of Smith & Wesson (SWHC – NASDAQ).
If you recall, SWHC was recommended for $2.12 per share. The thesis for the trade was that an Obama-lead political system (dominated by Democratic leadership) has pro-gun Republicans fearing that new regulatory legislation could restrict their right to bear arms. Therefore, they’re stockpiling guns and ammo like never before. As a result, gun sales are exploding. In fact, just yesterday, Attorney General Eric Holder said that the Obama administration will reinstate the assault weapons ban that expired in 2004 during the Bush administration. In response, shares of SWHC are exploding. As I write, they’ve hit a high of $4.00, good for an 88.6% gainer. Let’s lock in these profits now! Sell.
Sincerely,
© 2012 CSR Group, LLC. All rights reserved. Published in USA.
Information, opinion, research, and commentary contained herein is obtained from sources believed to be reliable; their reliability, however, cannot be guaranteed. The maxim of Caveat Emptor applies — let the buyer beware. Bottarelli Research does not provide individual investment advice, act as an investment advisor, or individually advocate the purchase or sale of any security or investment.
Investments recommended in this service should be made only after consulting with your investment advisor, and only after reviewing the prospectus or financial statements of the company. Bottarelli Research reserves the right to use e-mail endorsements and/or profit claims from its subscribers for marketing purposes. All names will be kept anonymous and only subscriber’s initials will be used unless express written permission has been granted to the contrary.
CSR Group, LLC expressly forbids its writers from having a financial interest in any security recommended to readers. Furthermore, all employees and agents of CSR Group, LLC and its affiliate companies must wait 24 hours before following a published recommendation.