Take GMCR Profits!
Plus: Earnings Preview, Watch IBM and CREE
PLAY: Sell your GMCR February 85 Calls (QGM BQ) at market, good for the day.
Dear Bottarelli Research Member,
Good morning. Citigroup’s $7.6 billion fourth-quarter loss (after taking charges linked to repaying government funds) has once again set a bearish overtone on the financial sector. As it stands today, JP Morgan reported a profit and sold off, while Citigroup reported a loss and sold off. That’s why we’re holding the FAZ February 17 Calls (FEW BQ). Remain positioned for more financial weakness.
In other news, the GMCR February 85 Calls (QGM BQ) that we entered for $3.20 just hit a high today of $4.09, good for a quick gainer. Lock in these profits now!
PLAY: Sell your GMCR February 85 Calls (QGM BQ) at market, good for the day.
Going forward, maintain your FDX February 90 Calls (FDX BR) and WHR February 85 Calls (OFW BQ). And finally, we have some earnings news to preview. After today’s close, International Business Machines (IBM – NYSE) is expected to issue a fourth-quarter report that will highlight signs of stabilization in the U.S. Analysts surveyed by Thomson Reuters estimate that Big Blue will earn $3.47 a share on revenue of $26.96 billion.
Also on the docket is Cree (CREE – NASDAQ), the leader in the LED lighting revolution (which promises to make incandescent light bulbs obsolete). They also report after today’s bell. Stay tuned for a possible earnings spread. Other notable high-beta earnings plays scheduled for this week are as follows:
Wednesday:
- Wipro (WIT – NYSE)
- Seagate Technology (STX – NYSE)
Thursday:
- Goldman Sachs Group (GS – NYSE)
- Google (GOOG – NASDAQ)
Friday:
- Schlumberger Limited (SLB – NYSE)
- Johnson Controls Inc. (JCI – NYSE)
- Harley-Davidson (HOG – NYSE)
As always, I’ll keep you fully informed on any new earnings plays. But until then…
Lock and load!
Sincerely,
© 2012 CSR Group, LLC. All rights reserved. Published in USA.
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