UNH: http://www.marketwatch.com/story/in...ses-boom-in-sector-2014-05-29?dist=tcountdown http://stockcharts.com/freecharts/perf.php?UNH,AET,CI,HUM,WLP http://finance.yahoo.com/q/ks?s=UNH+Key+Statistics http://finance.yahoo.com/q/co?s=UNH+Competitors http://finance.yahoo.com/q/bc?s=UNH&t=2y&l=off&z=l&q=l&c= Trade: with UNH at 79.37 Jan '15 65/62.5 bull put spread for a net credit of $25 Yield = 25/225 = 11.1% in 231 days or 17.6% annualized Prob = 95.6% Expectation = .956(25) - .02(225) - .024(113) = 23.9 - 4.5 - 2.7 = 16.7 Price.....................Profit / Loss.....................ROM % 45.00...................... (225.00)....................... -90.00% 55.00...................... (225.00)...................... -90.00% 62.50...................... (225.00)...................... -90.00% 64.75............................... 0.00............................ 0.00% 65.00............................ 25.00......................... 11.10% 70.00............................ 25.00......................... 11.10% 75.00............................ 25.00......................... 11.10% 80.00............................ 25.00......................... 11.10% 85.00............................ 25.00......................... 11.10%
http://www.marketwatch.com/story/junk-bonds-turn-up-the-risk-for-retirees-2014-05-29 A low risk, high yield strategy: TLT: http://finance.yahoo.com/q/bc?s=TLT&t=5y&l=off&z=l&q=l&c= Trade: Jan '16 90/85 bull put spread for a net credit of $75 Yield = 75/425 = 17.64% in 592 days = 10.88% annualized Prob = 96% Expectation = .96(75) - .015(425) - .025(212) = 72 - 6.4 - 5.3 = 60.3 Expected annualized yield = 60.3/425= 14.2 in 592 days or 8.7% In terms of dividends TLT itself is yielding 3.03%
UNH: http://finance.yahoo.com/news/unitedhealth-down-sell-204507881.html http://finance.yahoo.com/q/bc?s=UNH&t=2y&l=on&z=l&q=l&c= Trade: with UNH at 79.47 Jan'15 90/95 bear call spread for a net credit of $63 Yield = 63/437 = 14.4 % in 228 days or 23.1% annualized Prob = 86% Expectation = .86(63) - .06(437) -.08(218) = 54.2 - 26.2 - 17.4 = 10.6
HSH: http://finance.yahoo.com/news/hillshire-talk-tyson-pilgrims-pride-102834959.html http://finance.yahoo.com/q/bc?s=HSH&t=1y&l=off&z=l&q=l&c= Trade: Jan '15 45/35 bull put spread for a net credit of $35 Yield = 35/965 = 3.6% in 180 days or 7.4% annualized. Prob = 98% Expectation = .98(35) - .02(1000)= 34.3 - 20 = 14.3
Tiananmen: It is the 25th anniversary of Tiananmen Square: http://www.youtube.com/watch?v=YeFzeNAHEhU http://www.reuters.com/article/2014/06/03/us-china-tiananmen-idUSKBN0EE0WN20140603 http://www.cnn.com/2014/06/02/world/asia/china-guo-jian-detained/ http://www.youtube.com/watch?v=HNtA8RZ1FAA
PHH: http://finance.yahoo.com/news/bear-day-phh-corp-phh-050027558.html http://www.thestreet.com/story/12703055/1/phh-corp-stock-downgraded-phh.html?puc=yahoo&cm_ven=YAHOO https://www.moodys.com/research/Moo...PR_300947?WT.mc_id=NLTITLE_YYYYMMDD_PR_300947 http://finance.yahoo.com/news/weakness-seen-phh-corporation-phh-105147775.html http://finance.yahoo.com/news/phh-corporation-announces-first-quarter-200500783.html http://finance.yahoo.com/q/ks?s=PHH+Key+Statistics http://finance.yahoo.com/q/bc?s=PHH&t=5y&l=on&z=l&q=l&c= Trade: With PHH at 23.73 Nov 25/30 bear call spread for a net credit of $80 Yield = 80/420 = 19% in 149 days or 46.7% annualized Price...............Profit / Loss..............ROM % 17.00................ 80.00.................. 19.00% 20.00................ 80.00.................. 19.00% 25.00................ 80.00.................. 19.00% 25.56................ 24.10.................... 4.82% 25.80.................. 0.00.................... 0.00% 29.54.............. (373.90)............... -74.78% 30.00.............. (420.00)............... -84.00% 35.00.............. (420.00)............... -84.00% 37.50.............. (420.00)............... -84.00%
http://www.telegraph.co.uk/history/...matic-original-footage-of-D-Day-invasion.html http://www.telegraph.co.uk/history/...erans-Association-hanging-up-our-colours.html
FL: http://finance.yahoo.com/news/foot-locker-beats-q1-earnings-133004499.html http://finance.yahoo.com/q/ks?s=FL+Key+Statistics http://investing.money.msn.com/investments/financial-statements?symbol=fl http://stockcharts.com/h-sc/ui?s=fl Trade: with FL at $49.94 Jan 43/40 bull put spread for a net credit of $40 Yield = 40/260 = 15.38% in 219 days or 26% annualized Prob = 81% Expectation = .81(40) - .10(260) - .09(130) = 32.4 - 26.0 - 11.7 = -5 Price................Profit / Loss............ROM % 30.00............... (265.00).............. -88.33% 35.00............... (265.00).............. -88.33% 40.00............... (265.00).............. -88.33% 42.65.................... 0.00.................. 0.00% 42.77................... 12.30................. 4.10% 43.00................... 35.00................ 15.38% 49.94................... 35.00................ 15.38% 55.00................... 35.00................ 15.38% 60.00................... 35.00................ 15.38% http://www.youtube.com/watch?v=foyZteDSWCk zen
Why only a $40 credit? optionsXpress is reporting NBBO of $0.35/$0.85. In my experience, they usually fill pretty close to the middle ($60). This obviously raises the expected profit.