Impact of Tax Related Year-End Selling of Stocks Should be Minimal

Based on the fact that the market has enjoyed a pretty good year, the impact of tax loss related stock market moves to take tax losses at year-end should be minimal.  While the market is down today, I expect a great January effect to take  hold and for equities to rise in the short term.

Stock Options - $EBAY and $SBUX Calls

Please note, I am long Ebay and Sbux but I believe that the long position calls such as a 6 month call with the strike price equal to market price are great bargains.  I am looking into the value here and in my opinion I like them.

Do You Expect Stock Market Volatility in 2015? $AAPL $FB

If you expect market volatility to enter into 2015, then using stock market options trading strategies might be what you would want to do.  A couple of names that would be worth considering for this may be Apple and Facebook.  I do not personally expect there to be volatility in the coming year, albeit for a few times maybe but less than we had this year.

Holiday Stock Options $AMZN $SPY $EBAY $AAPL

For stock option trading, Holiday sales look strong to me for Amazon and Apple along with Ebay.

I think the stock option play to make is to buy calls of Amazon, Apple, and Ebay.

This is not investment advice, and I am long AMZN, APPLE, and EBAY.

I think with holiday shopping, sales look like they will be strong from what I can see and these options are the ones to play.

Analyst Sells $AZFL and Loads Up on $ECIG

Today, I went ahead and took one day gains in $AZFL and loaded up on $ECIG.

I am now long $ECIG and view this as a superior one week play.

My buy in of AZFL was .0014 per share and the sell price was .0019, all in less than one trading day.  Subscribe and comment on these posts to get in the know and know the moves before the rest.

Disclosure - Long $ECIG

Stock and Option Plays for December 8, 2014

For the stock picks and option strategies for December 8, 2014, we will focus on stocks of AAPL, AMZN, BABA, MSFT, EBAY, TGT, and SBUX.

For options strategies, the daily price fluctuations of AAPL, AMZN, and BABA are positive for a straddle strategy.  In my opinion on these, the next months will bring a wide change in stock price.  I am in a position to say that I like these stocks' chances of going up, and also for a strong change in price even if they were to go down.  For that matter, a hedged option strategy to take advantage of price changes is geared toward these three stocks.  In my opinion, a straddle is good here.

For MSFT, EBAY, TGT, and SBUX, I like being long in these and also purchasing calls is another way to profit from them by putting up less money if you believe they will rise in share price.

Please note, this is only my opinion and is not investment advice.  I am long AAPL, AMZN, BABA, EBAY, TGT, and SBUX.

Stock Options Week Ahead - $SBUX $TGT

In the week of 12/8/2014, two stocks to watch for good options activity are Target and Starbucks, ticker symbols TGT and SBUX.  In full disclosure, I am long both stocks but have no option interest in either of them.

The calls should be in demand because I feel these stocks are undervalued.  Capitalizing on price appreciation without having to buy the shares is good because this way you only pay something like $100 per contract of 100 shares and if the price goes up, you make as much money as you would owning the stock.  Downside risk exists, however, if you have the option going the wrong way.

$AMZN Options Look Prime for Gains

With the price swing today in Amazon shares, AMZN, as far as how they moved throughout the day, the range varied by about $6 per share from the intraday high to the intraday low.  With this, a straddle position looks more appealing.

However at this point, I am still very bullish and am long AMZN.  If I were looking for an options strategy here, I would go for calls at this point.

Options Trading - Daily Range of AAPL $AAPL

For options trading, today was a great day to bet on or against AAPL.  The stock traded between $112.75 and $115.75, which means big price swings in its options.

For the January 2, 2015 options expiring in AAPL, ones with a strike price of $120 are trading at around $1.20 per contract.  This is a great way to bet on the stock if you think it is heading higher in the short term.

I am long AAPL.

FNMA - Great Stock for Options

For those of you looking to trade puts and calls, FNMA offers great potential for options.

In my opinion, and based on my long position in FNMA, I believe the stock is undervalued.  To leverage even higher gains, one could look at a call strategy to capitalize on potentials gains in FNMA without having to put up as much money.

I recommend this stock.

Recommended Stock Market Site

For undervalued stock picks, I would recommend http://undervaluedstockpicks.blogspot.com/

This site is great to find cheap stocks that could add to capital gains potentially.

Finding Value in Covered Calls

If you own at least 100 shares of a stock, you can purchase a covered call to reduce downside risk.  Also, by writing a covered call (selling it) you will receive a premium which is an immediate addition to your brokerage account.

Tax treatment differs based on whether the call is exercised or not.  You will find that there is limited upside with a covered call however, if the stock continues to appreciate past the exercise price.

Stocks - Options That Have Good Risk/Reward

Based on today's tech market slump in the NASDAQ, for trading options there appears to be some names that could bounce back.  If they do not bounce back, market volatility could bring results if you straddle a position to capture both upside and downside possibilities.

Stocks I would like for these instances include AMZN, EBAY, BABA, and INTC.

Please note, I have long positions in AMZN, EBAY, and BABA.