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Technology Stocks Move Higher!! Oracle Options Honey?!! By: Tim Bolger

Oracle Headquarters Redwood Shores

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Oracle Corporation world HQ

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I’ve been a long term bull on Oracle Corporation and believe that it is one of the best run companies on the planet…It has some of the highest gross margins and cutting edge software products on the planet as well…To put the icing on the cake, it is run by CEO and Co-founder Larry Ellison…Ellison dominates the Technology business software sector and almost everything he touches turns to Gold…Attached is my post on Oracle Corp earlier this year:

http://optionshoney.com/2012/01/16/ellison-and-oracle-dominate-the-globe-what-is-the-options-play-honey/.

After a huge run up in the Nasdaq, Oracle has lagged over the past 6 months and I believe that it is starting to get footing and will climb higher…I am a buyer of the stock under $29 a share and I have a $37 twelve month price target on this Tech stock…It is definitely a great stock to park alot of cash into, especially if the markets get very volatile again.  Any pull backs in the stock are excellent opportunities for long term investors to add to their core positions in Oracle shares.  I am watching the Call Options on Oracle very closely and have been monitoring the stock for several years…Remember, Options take patience/precision and are not suitable for all investors.  I often cost average my purchase of Options contracts, just like I would buying shares of a company. I rarely ever back up the truck all at once when buying Options contracts because I do not have a crystal ball that perfectly predicts short term bottoms in stocks and overall market indexes.  So what am I buying?! Options honey?!

Over the past few weeks, I have been diversifying my portfolio with Options contracts on several Technology companies including Juniper (JNPR) and Nuance Communications (NUAN) to name a few…

Oracle Options Honey?!

Trade#1:  I am looking at buying the Oracle (ORCL) March 16, 2012 $30 strike Call Options for .20 cents a contract. 100 shares per Options contract x .20 cents= $20 per contract plus trading fees. Attached is the Mar 16, 2012 expiration Options chains for Oracle Corporation courtesy of Yahoo Finance: http://finance.yahoo.com/q/op?s=ORCL+Options. For $1,000 plus trading fees, I can purchase 50 contracts on ORCL with a $30 strike price. If the stock trades to $31 in the next 3 weeks, my 1k will be worth over $5k. My goal is for the stock to trade to $32, and 1k will be worth 10k for example…I believe ORCL is in an uptrend and if it breaks $30, the stock will run quickly into the low 30s. Good luck to all of the Oracle Bulls!! Remember that options are high risk financial instruments and are not well suited for all traders or conservative investors. Please see the optionshoney.com disclosure and please consult your investment advisor before buying or selling any options/equity securities.

Trade#2: For the longer term bull on Oracle(ORCL), I would think about buying the ORCL Sept 21, 2012 expiration $31 strike Call Options for $1.35 a contract. Attached is the Sept 21, 2012 expiration Options chains courtesy of Yahoo Finance: http://finance.yahoo.com/q/op?s=ORCL&m=2012-09. If the stock trades to $35 by the September expiration, you will almost triple your money…Stay tuned for more options action at Optionshoney.com.

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Bull Market Turns Green in Late Trade!! Visa Call Options Active Ahead of Earnings! By: Tim Bolger

After being in the red most of the day, all of the major U.S. stock indexes turn Green in late trade…The Bulls are in control of this market and stocks continue to grind higher.  Apple(AAPL) is hitting another record high stock price, with an intraday high of $475.15.  Yup, Aapl is approaching a market capitalization of 1/2 trillion U.S. Dollars…and that Tech giant is amazing!! Stock runs to $550 in 2012 in my opinion.  Sorry Exxon Mobile…

About Visa

Visa(V) reports after the bell and I am long the V $110 and $115 strike Feb 17, 2012 Call Options into earnings. Attached is the Feb 17, 2012 V Options Chains courtesy of Yahoo Finance: http://finance.yahoo.com/q/op?s=V+Options.  Check out the volume on the Feb 17, 2012 $110 and $115 strike V Call Options and prices jumping ahead of earnings today after the bell!! I took some profits off the table earlier today on a few of my Visa options contracts and I am hoping for a big earnings beat!! Visa is rallying this afternoon around 1% and the stock is approaching a record high price. I think V could run to $150 a share in 2012 and I am hopeful for an upbeat full year 2012 earnings and revenue guidance that beats the street expectations after the bell!! Keep an eye on BAC, GS, JPM, GNW, and C. All of these financial stocks are set to fly in 2012 and still have huge upside potential…Stay tuned for more of the Options and Market buzz at Optionshoney.com. See below a ten day chart on V courtesy of Fidelity Investments:

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Dryships (DRYS) Leap Call Options?! By: Tim Bolger

Ocean Rig Corcovado and Ocean Rig Olympia naming ceremony at Samsung Heavy Industries 16/12/2010

For the long term bulls on Dryships (DRYS), I would think about buying the Leap Call Options on the stock.  Dryships may trade to $10 plus over the course of the next few years if the global economy continues to improve and the Dry Baltic Index moves higher after plummeting the past few years.  Increased demand from India, China, and many other emerging economies for resources such as iron ore, will be great news for dry bulk shippers, such as Dryships. Attached is the Yahoo Finance Options Chain for the Jan 2014 Call/Put Options on Drys:  http://finance.yahoo.com/q/op?s=DRYS&m=2014-01. I would be a buyer of the DRYS Jan 17, 2014 $5 strike Call Options at around .35 cents a contract. Good luck longs!! Stay tuned for more action at optionshoney.com.

OptionsHoney on Fire!! Call Options on Visa and KKR Financial Holdings Ahead Of Earnings?! By: Tim Bolger

It has been an amazing few weeks for everyone reading Optionshoney.com and jumping in on some of my Options plays!!  I hope everyone is both enjoying my posts and making lots of honey ( i mean money) on my investment research and Options plays.  GNW, GS,  AAWW, POT, DANG, AVL, HL, etc have all been huge winners in 2012 and I have never been more focused in my entire life on hitting home runs…  My 4-5 years of following a majority of the stocks that I am designing Options trades on is starting to pay off tenfold.  I conduct rigorous fundamental research analysis on all of these companies that I post on and I follow the technicals closely as well… GNW and GS being the biggest returns thus far in 2012…

What is my Options play now?! I love Visa and KKR Financial Holdings ahead of earnings.  Both companies are headquartered in the San Francisco Bay Area and that is a place I call home…After Mastercard smashed earnings estimates this past week, I am long the $110 and $115 strike Feb Call Options on Visa(V). Attached is the Feb 17, 2012 Options Chain on V Call/Put Options courtesy of Yahoo Finance: http://finance.yahoo.com/q/op?s=V+Options.  If V blows past estimates on Feb 8, 2012 and investors pile into shares, this could be a massive Options trade!!! More positive V news at: Visa Tops One M Chip Cards In The U.S.
DJ Realtime News – 8:00 AM ET 02/06/2012.

I am also long KKR Financial(KFN)  into earnings after the bell today. Check out the company at:   http://www.kkrfinancial.com. I own the April 2012 KFN $10 strike Call Options for a nickel and the April 2012 KFN $9 strike Call Options for .25 cents.  Here is the Options Chain for the April 2012 Call/Put Options on KFN courtesy of Yahoo Finance: http://finance.yahoo.com/q/op?s=KFN&m=2012-04. KFN is rallying a few percent today ahead of earnings and I am looking for this stock to break out to the upside on a good earnings report after the bell today.  KFN is trading at $9.22 right now and is up 21 cents on a negative day across all the major U.S. stock indexes. KFN is headquartered in lovely San Francisco and is poised to pop.  KFN has a trailing P/E of 5.1 and pays an 8% dividend.  Yes, this is a great value stock and pays an awesome dividend. I think this stock could easily trade to $17-20 dollars in a couple of years.  Go KFN Bulls…and who doesn’t love getting paid an 8% return on your money, while you wait for appreciation in this stock?!!

A profile on KFN courtesy of Yahoo finance:  KKR Financial Holdings LLC, together with its subsidiaries, operates as a specialty finance company with expertise in a range of asset classes. It primarily invests in financial assets, such as below investment grade corporate debt, including senior secured and unsecured loans, mezzanine loans, high yield corporate bonds, and distressed and stressed debt securities; marketable equity securities; and private equity. The company also invests in other asset classes, including natural resources and real estate. Its corporate debt investments are held in collateralized loan obligation (CLO) transactions that the company uses as long term financing for these investments. The senior secured notes issued by the CLO transactions are owned by unaffiliated third party investors and the company owns the majority of the mezzanine and subordinated notes in the CLO transactions. KKR Financial Advisors LLC serves as the manager of the company. KKR Financial Holdings LLC was founded in 2004 and is based in San Francisco, California.   Check out the ten day technical chart courtesy of Fidelity Investments on V and KFN below:

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Awesome Economic Data!! AAWW Moving Higher!!! Call Options?!! By: Tim Bolger

Keep an eye on ATSG and AAWW!! AAWW breaks above the $50 technical that I have been patiently awaiting…A better global economy is great news for both of these air cargo stocks. Go Bulls!!! Show me the Honey baby!!  I posted the other day on Options Honey suggesting that traders consider buying the AAWW Call Options ahead of the company’s upcoming Feb earnings report. Yesterday’s Options post on Optionshoney.com:  http://optionshoney.com/2012/02/02/atlas-air-worldwide-holdings-jumping-higher-trade-call-options-into-feb-13-2012-earnings/. The AAWW 52.50 strike Mar 2012 Call Options are up over 35% from yesterday’s close as AAWW surges over 4% today. ATSG is up over 5% today as well. Check out the 2 day chart below on AAWW, ATSG, and the S & P 500 courtesy of Fidelity Investments.  ATSG and AAWW are clearly outperforming the S & P 500 today and are ready to break out to the upside…Stay tuned for more exciting Options plays on Optionshoney.com…

 

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Genworth Financial (GNW) Blows Past Q42011 Wall St. Earnings Estimates!! Stock Surges! Call Options Jump!! By: Tim Bolger

Thought I would make a quick post here to remind my Optionshoney readers and traders of my huge market call on Genworth Financial (GNW) prior to the earnings release last night after the bell. Attached is my previous post on 1/26/12 suggesting traders buy GNW Call Options on the stocks weakness that day ahead of the upcoming earnings release last night: https://optionshoney.wordpress.com/2012/01/26/gnw-earnings-on-feb-2-2012-buy-call-options-and-sell-put-options-on-stock-weakness-today/

GNW is the Biggest Gainer this morning in the S & P 500*Genworth shares shump 17%, S&P 500 best MarketWatch–9:36 AM. Mortgage delinquencies declined 73% year over year and GNW came in with a Q42011 earnings of 22 cents diluted earnings per share(EPS), beating the street expectations by 4 cents! All of this translated into big money made this morning on my previous post suggesting buying the 7 and 8 strike March 17, 2012 GNW Call Options! Go Bulls. Jumping with Joy this morning that’s for sure… Lock in your profits this morning or hold tight for a bigger upside move and more money made on these Call Options? If you own a bunch of contracts, it might be smart to take 30% off the table and lock in some huge profits made over night…Or just hold tight and ride this baby higher!! If GNW breaks above $10 and continues to move higher with financials, this stock may run to $12 in the next 30 days!! Stay tuned for more honey calls and mega options plays at Optionshoney.com. Yeah baby!!! Are you starting to feel the buzz??? There is alot of honey brewing on this site…Can you feel it?? This is a very exciting day for me and many other lovers of GNW. Remember at 9.25 a share, GNW is still cheap for long term investors. GNW has a book value of close to $33 a share.  Check out the 10 day chart below on GNW courtesy of Fidelity Investments:

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E-Commerce China DangDang Inc(Dang) Soaring in January! Call Options Active! By: Tim Bolger

Chinese E-commerce company DangDang Inc(Dang) has been soaring in the past month and is up big this week on heavy volume. Dang profile: http://finance.yahoo.com/q/pr?s=DANG+Profile. The shares may continue to see huge upside over the long run and is a high growth/high beta stock.  It was recently announced that famous institutional money manager Tiger Global Management has increased there holding in Dang and is the largest institutional shareholder of the company. Clearly, they are betting on the long term growth of Dang as well and have an extremely successful track record of making money in the global equity markets.  Check out this recent article by Seeking AlphaDangdang: Like Rolling Back Time To Buy Amazon At $6at Seeking Alpha(Tue, Jan 17).                                                        

So what is the Options play on Dang??

Options Trade#1:  I like selling the Dang Feb 17, 2012 7 strike Put Options for .65 cents a contract. If I sell 10 contracts I will collect a premium of $650 minus trading fees. If the stock closes above $7 at expiration, I will make $650 minus fees. Worst case scenario, I get exercised on the shares and I am comfortable being long the stock at $7 a share.  By selling the puts it will help finance the potential purchase of 1000 shares of Dang at $7.  Ten contracts x 100 shares per contract=1000 shares. To put on this trade, I will need $7,000 in collateral in my brokerage account in case I get exercised on the shares of stock. Here is the yahoofinance options chain http://finance.yahoo.com/q/op?s=DANG&m=2012-02.

Options Trade#2: For the big Dang bulls, I would think about buying the Dang Jun 15 2012 8 and 9 Call Optionshttp://finance.yahoo.com/q/op?s=DANG&m=2012-06 I like the 8 strike Calls at .95 cents and the 9 strike Calls at .45 cents on a pullback in the stock to around 6.75.   I also like buying the 1o strike leap call options on Dang.  I would think about buying the Dang Jan 17, 2014 10 strike Call Options for around 1.90 a contract.  http://finance.yahoo.com/q/op?s=DANG&m=2014-01. If Dang stock trades back to over 30 in the next few years, these leap call options will be worth big money!!  Stay tuned for more action on optionshoney.com.

http://finance.yahoo.com/q/ta?s=DANG&t=6m&l=on&z=l&q=l&p=&a=&c=

Chart forE-Commerce China Dangdang Inc. (DANG)

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