On Thursday's stock and option market video, I talked about the unusual call activity in LSI Corporation (LSI). Today, we are seeing those call buyers step in those April 7.50 calls as prices hit a 52 week high.
Teva Pharmaceutical Industries Limited (TEVA) that I mentioned large unusual option activity in with traders buying calls looking for prices to move higher. After forming a bull flag on the daily chart (TEVA) broke out today and was able to lock in a 100% gain on my January 57.5 calls I jumped into for $.60 cents.
Members locked in a 80% return in the April 10/11 bull call spread trade in Micron Technology Inc. (MU) that I put out just ahead of earnings. In previous videos, I have mentioned that we could see a run to $11 with major resistance laying there and the option activity I have been monitoring. Today, we see that $11 held as resistance and an inverted hammer candle formed on the daily chart with today's price action.
Kongzhong Corp. (KONG) is another name I talked about on Thursday's video after I put an alert on our twitter feed and also to our members on the increased call activity. Even though I lost money on this as I traded this on a day trade, members jumped into a swing trade and locked in a +100% return with prices making another run early morning. These names usually start to sell off on day 3 of 4, I have a small short stock position.
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Follow alongside professional trader Josh Belanger as he follows the footsteps of the smart money traders, while he educates you and points out the trades that have the highest probability of making money.
