Just a quick note on Diamond Foods(DMND). I posted an article yesterday: http://optionshoney.com/2012/02/09/big-shake-up-at-diamond-foods-this-is-totally-nutz-ceo-and-cfo-are-out-options-honey/recommending that investors buy shares of the San Francisco snack food maker on a huge 42% decline in the shares. DMND is up close to 6% today, on a day in the red across all the major U.S. stock indexes. Additionally, I suggested buying the Call Options on DMND to take advantage of yesterday’s tremendous share weakness. I bought the Feb 17, 2012 $23 strike Call Options for $1.45 yesterday and hope that a few other traders jumped on that train. Well, I know alot of Wall St. Pros are all over this big trade and yesterday was a record volume day for Options traded on DMND foods, but I hope a few Optionshoney lovers are making money on this trade as well. Forbes reports: Plunge In Diamond Foods Yields Feast Of Options Trades at Forbes(Fri 10:07AM EST). Consider locking in profits today as these DMND Options contracts are trading 61% higher over night:http://finance.yahoo.com/q?s=DMND120218C00023000. Always remember that pigs get slaughtered…no need to be greedy and it’s a very smart move to take 60% of our profits off the table on this rally in DMND shares and the Call Options…But, this stock may run to 28 by the Feb 17th expiration next week and we could still see huge upside in the value of these Call Options contracts. Options are risky financial instruments and please consult your investment advisor before buying any Options contracts or stocks that I research/trade on this site. Stay tuned for more action at Optionshoney.com.
Check out the 2 day chart on DMND courtesy of Fidelity Investments:
Dryships (Drys) has made an amazing run ahead of earnings over the past 4 trading days…If you bought the Feb 17, 2012 2.50 Call Options, let’s not get greedy and it might be time to lock in some big profits today. Or at least take 60% off the table. The contracts that I purchased on Friday Feb 3, 2012 for $13 a contract are now trading at $37 a contract! That’s a huge gain and a smart trader will lock in some of those profits…keep in mind that if Drys has a good earnings report next week, these contracts could still run to $75 plus a contract before Feb 17, 2012 expiration…wish I had crystal ball folks…The more conservative play is to take 60% of your money off the table on the shorter term options contracts and get long the 2014 $5 strike Call Option Leaps on Drys for the bull run…This stock traded $120 a share only a few years back and I would love to see it run back to $20 or $30 a share in the next five years. That is why I am also long shares of the common stock of Drys as well, which have no expiration date…Pending the company never files for bankruptcy protection…Let’s hope not… See below the ten day chart on Drys courtesy of Fidelity Investments:
Atlas Air Worldwide Holdings (AAWW) is up again today on a down tape across major U.S. stock indexes. I am hoping that this is my best Options trade of the year. It is also one of my top stock picks for 2012…Be ready for a continued break out in AAWW…I am personally riding the Mar 16, 2012 $50 and $52.50 strike Call Options on AAWW. Attached is the Options Chains for the Mar 16, 2012 Call/Put Options on AAWW courtesy of Yahoo Finance: http://finance.yahoo.com/q/op?s=AAWW&m=2012-03. If this company blows out earnings this month and the stock trades to $60, all of my $75-$125 Call Option contracts that I purchased on the March $52.50 strike will be worth over $800 a piece…I really hope it jumps to $65 plus and that would be amazing!! And that would definitely make Optionshoney Co-founder Mr. Bolger a very Happy Honey Bee!!!!!!!!! 🙂 I have alot of my personal chips on this trade and ready to get paid…Feel the Buzz baby! Stay tuned for more trades at http://www.Optionshoney.com. Remember that Options are very risky financial instruments and please consult your financial advisor before buying any stock or options…Good luck AAWW Bulls!
Check out this 30 day chart on Atlas Air Worldwide Holdings(AAWW) courtesy of Fidelity Investments: