Time proves that I am right on my trading idea on YHOO. It is still not late to get into that trade. Expect a big pop in YHOO soon.
Time : 10AM Friday 6/29. YHOO is at 15.69. Buying weekly Call 16 for 5 cents makes sense. Limited loss. Good possible reward. Bid/ask was 0.04/0.05 when I posted.
<<< I have learnt that concentrating on a few stocks pays off better than jumping into new stocsk every day. >>> As you will eventually learn, (probably the hard way), there is a HUGE middle ground in between the 2 extremes you have outlined above.
Time : 10:19 AM ET on Friday. YHOO is trading at 15.79. Again it has falled into a great buying range. Swing trading target is $16 and one month target of $17.
A possible trading idea is to sell 16 Call for July 13 and buy Call 16 for July 20th for a debit of 15 cents. maximum loss is 15 cents per share. Profit is unlimited (theoritically). In practice you might turn your 15 cents into a buck in two weeks.
Unbelieveable but it seems that there is still a chance of YHOO going above $16 today. Lots of buyers for Call 16 expiring today at 1 cent. I know they are covering(as short calls should be a little nervous) but no one is selling them.
Not really. Below is a 1 month chart comparing YHOO to QQQ, I chose the 1-month chart because this thread is almost 1 month old.
I meant today and by the way I never recommend just buying the underlying. Your chart compares the underlying. Please go back and check out my recommended trades. You would have made about 60% in less than a month (the age of this thread).