Stocks to Watch Trade Ideas
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Stock Only Trade: For those of you who don't use options and might be looking for a stock only trade, consider buying WFC at the market price and unloading it if you see more than a 5% drop or when it hits the 35 area.
Option Trade: If you are looking for a hedged trade on WFC, consider an April Covered Call with a sold call at 31. That's potentially a 6.1% assigned return (14.7% annualized*) and the stock would have to fall 7.5% to cause a problem. You might even catch a little bit of the stock's 2.8% dividend.
Stock Only Trade: For those of you who don't use options and might be looking for a stock only trade, consider buying SBUX at the market price and unloading it if you see more than a 5% drop or when it hits the 54 area.
Option Trade: If you are looking for a hedged trade on SBUX, consider a April Covered Call with a sold call at 46. That's potentially a 5.6% assigned return (13.3% annualized*) and the stock would have to fall 10% to cause a problem. You might even catch a little bit of the stock's 1.7% dividend.
Stock Only Trade: For those of you who don't use options and might be looking for a stock only trade, consider buying A at the market price and unloading it if you see more than a 5% drop or when it hits the 40 area.
Option Trade: If you are looking for a hedged trade on A, consider a May Covered Call with a sold call at 33. That's potentially a 7% assigned return (14.1% annualized*) and the stock would have to fall 13.7% to cause a problem. You might even catch a little bit of the stock's 1.1% dividend.
Stock Only Trade: For those of you who don't use options and might be looking for a stock only trade, consider buying BP at the market price and unloading it if you see more than a 5% drop or when it hits the 45 area.
Option Trade: If you are looking for a hedged trade on BP, consider an April Covered Call with a sold call at 39. That's potentially a 5.4% assigned return (13% annualized*) and the stock would have to fall 8.2% to cause a problem. You might even catch a little bit of the stock's 5.3% dividend.
Stock Only Trade: For those of you who don't use options and might be looking for a stock only trade, consider buying CRM at the market price and unloading it if you see more than a 5% drop or when it hits the 157 area.
Option Trade: If you are looking for a hedged trade on CRM, consider a January 120/115 Bull Put spread for a 70 cent credit. That's a potential 16.3% return (97.4% annualized*) and the stock would have to fall 14.7% to cause a problem.