PriceWatch Alerts

Free Stock Alerts
Every trading day, InvestorsObserver analysts prove our members with trade ideas, research, and analysis.
Check your email and confirm your membership to get information just like these alerts and all 100% Free!

Cisco Systems (NASDAQ: CSCO) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $25.71 while selling the October $26.00 call will produce a new covered call with a break-even point around $24.70. At that price, this position has a target return of 5.3 %. This trade will have roughly 3.9 % downside protection, while still aiming for a 5.3 % return in 94 days. It will lock in that return as long as Cisco Systems is above $26.00 on 10/19/2013. For comparison purposes only, this CSCO covered call aims for an annualized return rate of 20.4 %.

Verizon Communications (NYSE: VZ) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $50.28 while simultaneously selling the January $52.50 call will result in a new position with a target return of 7.3 %. Based on recent prices, this position will cost about $48.91, which is also the trade’s breakeven point. At that level, this covered call has 2.7 % downside protection, while still providing a 7.3 % return in 185 days as long as VZ is above $52.50 on 1/18/2014. For comparison purposes only, this Verizon Communications covered call aims for an annualized return rate of 14.5 %.

Texas Instruments (NASDAQ: TXN) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the October $38.00 call while at the same time buying TXN stock for $37.82 will produce a new covered call with a target return of 4.3 %. Based on recent data, this trade will cost about $36.42, which is also the covered call’s breakeven point. At that price, this covered call has 3.7 % downside protection, while seeking an assigned return of 4.3 % return in 94 days. If TXN is higher than $38.00 on 10/19/2013, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 16.8 %.

Constellation Brands (NYSE: STZ) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $52.39 while simultaneously selling the January $50.00 call will result in a new position with a target return of 5.1 %. Based on recent prices, this position will cost about $47.59, which is also the trade’s breakeven point. At that level, this covered call has 9.2 % downside protection, while still providing a 5.1 % return in 185 days as long as STZ is above $50.00 on 1/18/2014. For comparison purposes only, this Constellation Brands covered call aims for an annualized return rate of 10.0 %.

Nasdaq Stock Market (NASDAQ: NDAQ) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the December $32.00 call while simultaneously buying NDAQ stock for $33.78 will result in a new position with a break-even point around $30.58. At that price, this position has a target return of 4.6 %. This trade has 9.5 % downside protection, while still providing a 4.6 % return in 157 days as long as NDAQ is above $32.00 on 12/21/2013. For comparison purposes only, this Nasdaq Stock Market covered call targets an annualized return rate of 10.8 %.

Check your email for a password to log into our site and read all our Essentials analysis. Add InvestorsObserver.com to your "Safe Senders" list to ensure you receive our messages.

Don't miss out on any vital trading information! Add Support@InvestorsObserver.com to your address book. View complete step-by-step instructions here.