The Prepared Mind: April 7, 2014

Henny Penny , sometimes known as Chicken Little,  is famously known for warning in response to an acorn falling from a tree, “The sky is falling.  The sky is falling.”  This refrain was echoed by the financial media on Friday as while the markets were taking a beating.   On Friday morning, I read a market summary which started with:   “ The broad stock market, as measured by the Standard & Poor 500 Index ($SPX) made new all-time intraday and closing highs on consecutive days this week.  That, coupled with some new buy signals from breadth makes our intermediate-term outlook bullish. (Larry McMillan, CBOE Options Hub)”  This seemed like a very reasonable assessment of the market when it was published at 10:20 AM on Friday morning.  Soon afterwards the markets started selling off and it was not just one Chicken Little.  The central character of the folk tale had been replaced by a movement.  The afternoon financial reporting gave us  a veritable parade of Chicken Littles and panels of Chicken Littles, each trying to warn us of impending doom.  Is the sky falling or is it merely an acorn?

Initial evidence suggests Larry McMillan’s early Friday market analysis may be correct.    All the major indexes I follow ended the week in positive territory.  These indexes, with the exception of the NDX, are all only a solid up day away from achieving more new highs.  The current sell-off appears to be rotational change focused on momentum stocks in the high tech laden NASDAQ 100(NDX) and the small-cap Russell 2000(RUT.)   Some analysts see a move from momentum and speculative issues to value based issues.  This does not mean the long awaited correction in bull market has not started.  However, the VIX and other VIX based trading vehicles exhibit investor’s lack of concern about the market.

The volatility indices remain remain neutral to bullish.  All the trading vehicles associated with volatility on the S&P 500 exhibited bullish behavior last week – every indicator exhibited  decrease in anticipated future implied volatility – current, short term, mid-term, and long-term.   The response of the volatility products on Friday was muted in comparison to the media noise and movement in the RUT and NDX.  This disconnect was highlighted by the spot VIX which remained below the Newman Line or 14%.    A VIX under 14% is indicative of a consensus “What, me worry?” attitude about any near term concern about volatility events.  Bullish (or bearish on the market) VIX treads were of a size and structure indicating  they were to protect existing bullish portfolios.

 

It will be a quiet week for economic reports.  The focus will be on retail sales, consumer credit and small business and consumer confidence.  These reports generally have minimal impact on the markets.  A number of Fed  governors and board members will be speaking this week.  Their comments and views will be dissected in hopes a getting a more accurate gauge of the timing and substance of future Fed behavior.

 

Alcoa (AA) announces earnings on Tuesday.  This announcement is traditionally viewed as the beginning of  the earnings season.  Despite this announcement, there will be few earnings announcements this week.  The number of earnings announcements will increase dramatically next week. The two current front month options (April and May) include the bulk of upcoming earnings announcements. If you trade a stock, always know when earnings announcements will occur. I scan stocks announcing earnings the coming week using the following criteria:  Price > 20, 30 Day Implied Volatility > 20, and Average Daily Option Volume > 200 contracts.  It is your responsibility to confirm these earnings dates. Earnings dates can and do change.

 

Trading advice to remember:

  “Chance favors the Prepared Mind.” – Louis Pasteur

 

Monday April 7:

Economic:  Gallup US Consumer Spending Measure – 8:30, TDAmeritrade IMX – 12:30..

International Economic:  Bank of Japan Announcement.

Other:  St Louis Federal Reserve Bank President James Bullard speech on monetary policy and the economic outlook in Los Angeles – 11;5 AM.

Optionable Earnings:  None meeting criteria.

Tuesday April 8 :

Economic:  NFIB Small Business Optimism Index – 7:30, ICSC-Goldman Store Sales – 7:45, Redbook – 8:55, JOLTS – 10:00, Construction spending – 10:00, Global Manufacturing PMI – 11:00.

International Economic:  Great Britain Industrial Production – 4:30 AM.

Other:  Minneapolis Federal Reserve Bank President Narayana Kocherlakota speech in Rochester, Minnesota – 1:30, Philadelphia Federal Reserve Bank President Charles Plosser speech on prudential regulation in Philadelphia – 2:45.

Optionable Earnings: 

Symbol

Company Name

April 4 Close

IV30

B/A

XEPS

AA Alcoa Inc

$12.63

38.8

A

$0.02

TCS Container Store Group Inc

$35.41

52.9

A

$0.27

 

 

Wednesday April 9:

Economic:  MBA Purchase Applications – 7:00, Wholesale Trade – 10:00, EIA Petroleum Status Report –10:30.

International Economic: German Merchandise Trade – 2:00 AM, Great Britain Merchandise Trade – 4:30 AM.

Other:  FOMC Minutes – 2:00, Chicago Fed President Charles Evans speech on Fed communications in Washington – 3:30, Federal Reserve Governor Daniel Tarullo dinner speech in Washington – 7:00.

Optionable Earnings:

Symbol

Company Name

April 4 Close

IV30

B/A

XEPS

STZ Constellation Brands, Inc.

$84.89

34.7

B

$0.76

BBBY Bed Bath & Beyond Inc.

$69.80

30.8

A

$1.60

 

 

Thursday April 10:

Economic:  Chain Store Sales, Jobless Claims – 8:30,  Import and Export Prices – 8:30, Bloomberg Consumer Comfort Index – 9:45,  EIA Natural Gas Report – 10:30.

International Economic: China Merchandise Trade Balance, Bank of Japan Minutes – 7:50 PM, China PPI and CPI – 8:30 PM.

Other:  Chicago Fed President Charles Evans on panel discussing central banking after the recession, in Washington – 11:50 AM.

Optionable Earnings: 

Symbol

Company Name

April 4 Close

IV30

B/A

XEPS

FDO Family Dollar Stores, Inc.

$58.02

36.4

B

$0.92

 

Friday April 11:

Economic:  Employment Situation – 8:30., Consumer Sentiment – 9:55, Farm Prices 3:00.

International Economic: Germany CPI – 2:00 AM.

Optionable Earnings: 

Symbol

Company Name

April 4 Close

IV30

B/A

XEPS

JPM JPMorgan Chase & Co.

$60.66

21.0

B

$1.45

FAST Fastenal Company

$51.20

30.3

B

$0.37

 

Monday April 14:

Economic:  Retail Sales, Business Inventories – 10:00.

International Economic:  EMU Industrial Production – 5:00 AM.

Optionable Earnings:  

Symbol

Company Name

April 4 Close

IV30

B/A

XEPS

C Citigroup Inc

$47.68

23.6

B

$1.26

JBHT J.B. Hunt Transport Services, Inc.

$73.80

24.4

B

$0.68

 

 

 

 

 

Papale on Reverse Time Decay

Sea Turtle.  Manta Ray.  Sting Ray.  Angel Fish.  These are just a few of what my son and I saw on a dive the other day here in Mexico.  I have been a diver for 15 years but my 12 year old just got certified a few months ago and we did our first official dive together.  A fairly shallow reef just north of Playa Del Carmen.  Good visibility and lots and lots of fish.  Best part.  Got to see it all with Alec.  Great day.

Time decay can work in reverse.  What I mean by that is if you buy an in the money vertical spread and it stays in the money heading into expiration, the price of the spread moves up – toward parity.  First say you are short a 40 – 50 call spread with stock at 30.  Traders love these out of the money spreads because they can collect the theta.  If the stock stays below $40, the whole spread goes out worthless and we keep the premium we collected when we sold it.

Now compare that with being long the 40-50 put spread.  Same risk profile.  This spread however is a debit spread.  We might pay say $8 for it.  If the stock behaves the same way as in the call spread example and stays below $40, the spread will settle at $10.  Here we make $2  as both options in our spread move to parity.  So remember there is no performance difference between being long a put spread and short a call spread with same strikes.  Both behave the same only in reverse.

The Prepared Mind: March 31, 2014

“Chance favors the prepared mind.” — Louis Pasteur

There was a divergence in movement of the individual indices this past week.  The Dow Jones Industrials were up small with the S&P 100 and S&P 500 showing small losses.  The small cap dominated Russell 2000 and tech laden NASDAQ 100 showed losses of 2% and 3% respectively.  This level of divergence is a rare occurrence and is viewed by some technical analysts as a bearish indicator. Other bearish indicators have been noted by these analysts.  Put-call ratios continue to rise and are at bearish levels.  Analysts are receiving sell signals from a number market breadth indicators.  Examples of market breadth indicators are the Chaikin oscillator, up/down volume ratio, up/down volume spread, on-balance volume, Arms index and cumulative volume index. These indicators often become inaccurate when different indexes behave in a divergent manner.

Index

Close

Weekly Change

% Weekly

% YTD

Volatility of  Index

Dow Jones Industrials (DJIA)

16,323.06

20.36

0.12%

-1.94%

13.55% (VXD)

S&P 500 (SPX)

1,857.62

-8.78

-0.47%

0.65%

14.41% (VIX)

NASDAQ 100 (NDX)

3,570.38

-76.83

-2.11%

-0.81%

18.09% (VXN)

Russell 2000 (RUT)

1,150.72

-39.59

-3.33%

-1.51%

21.00% (RVX)

S&P 100 (OEX)

822.40

-1.24

-0.15%

-0.22%

13.45% (VXO)

CBOE Volatility Index (VIX)

14.41

-0.59

-3.93%

NA

 

All the indicators are not bearish.  The volatility indices remain bullish.  Individual volatility indices are hovering are neutral to bullish levels.  Two of the larger trades last week in April VIX Options (Sale of the April 16 Straddle and a sale of April 17 calls) profit from a neutral to bullish market environment.  The wild card is the S&P 500.  The SPX is range bound with support at the 1840 level and resistance at 1880.  Many market observers believe market momentum is being built and stored during the continued trading in this range.  Any movement outside the range will then propel the market in that direction.  Stay tuned.

 

 

 

 

 

 

This is “Employment Week.”  The focus will be beyond  the employment numbers released at this  week culminating in Friday’s Employment Situation Report.   Motor vehicle sales will be released on Tuesday.  Traders are looking to see if an improvement in weather will lead to an improvement in March sales.  Analysts will be looking for emerging trends in the  ISM and PMI numbers to be release this week.

 

Google goes ex on a special stock dividend this week.  You can not trade Google options or stock and not understand the details or impact of this occurrence. If you trade Google options you must read the following document:

http://www.cboe.com/publish/ttstocksm/14-154.pdf

 

It is your responsibility to understand the impact upon your positions and your account.  My explanation is not the final word.  Read the CBOE circular and ask your broker any questions you may have.  My current understanding of the situation is in the following paragraph.

 

GOOGLE has declared a special stock dividend to holders of Class A and Class B shares.  The payable date is Wednesday April 2nd. The Ex-date for the distribution will be Thursday April 3rd.  Shareholders of 100 shares of Class A or B stock will get 100 shares of Class C (this is a new class) stock.  The new Class C shares will use the symbol GOOG, the old GOOG (Class A shares) will use the symbol GOOGL.  In a nutshell, on Thursday, April 3, 2014, trading in GOOG option series will be on an adjusted basis.  An investor who was long one GOOG June 1000 strike call will now own (explained in the Research Circular) one GOOG1 (that’s a number one after the GOOG symbol).  Why?  The GOOG1 option holder is entitled to 100 shares of the old Class A, AND 100 shares of the new Class C shares. A seller of an old GOOG option has an obligation for Class A & B shares. Once again, it is your responsibility to understand the impact of this upon your positions and any trades you make now or in the future.

 

This will be one of the quietest weeks of the quarter for earnings. Be aware of future earnings dates.  The earnings season for the first quarter wil be here soon. The two current front month options (April and May) include the bulk of upcoming earnings announcements. If you trade a stock, always know when earnings announcements will occur. I scan stocks announcing earnings the coming week using the following criteria:  Price > 20, 30 Day Implied Volatility > 20, and Average Daily Option Volume > 200 contracts.  It is your responsibility to confirm these earnings dates. Earnings dates can and do change.

 

Trading advice to remember:

  “Chance favors the Prepared Mind.” – Louis Pasteur

“One of the funny things about the stock market is that every time one person buys,

another sells, and both think they are astute.” – William Feather

 

Monday March 31:

Economic:  Chicago PMI – 9:45. Dallas Fed Manufacturing Survey – 10:30.

International Economic:  EMU HICP Flash – 5:00 AM, China PMI Manufacturing Index – 9:45 PM.

Optionable Earnings:  None meeting criteria.

Tuesday April 1 :

Economic:  Motor Vehicle Sales, ICSC-Goldman Store Sales – 7:45, Gallup US ECI – 8:30, Redbook – 8:55, PMI Manufacturing Index – 9:45, ISM Manufacturing Index – 10:00, Construction spending – 10:00, Global Manufacturing PMI – 11:00.

International Economic:  EMU PMI Manufacturing Index – 4:00 AM.

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

APOL Apollo Education Group Inc

$32.40

60.0

A

0.18

 

Wednesday April 2:

Economic:  MBA Purchase Applications – 7:00, ADP Employment Report – 8:15, Gallup U.S. Job Creation Index – 8:30, Factory Orders – 10:00, EIA Petroleum Status Report –10:30.

International Economic: EMU GDP – 5:00 AM, EMU PPI – 5:00

Other:  Atlanta Federal Reserve Bank President Dennis Lockhart speech on the economic outlook in Miami – 12:30, St Louis Federal Reserve Bank President James Bullard welcoming remarks in St. Louis – 5:00 PM.

Optionable Earnings:

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

MON Monsanto Company

$110.80

22.2

B

3.1

TXI Texas Industries, Inc.

$87.80

31.1

A

-0.53

 

Thursday April 3:

Economic:  Challenger Job-Cut Report – 7:30, Gallup US Payroll to Population 0 8:30, International Trade – 8:30, Jobless Claims – 8:30,  PMI Services Index – 9:45, , Bloomberg Consumer Comfort Index – 9:45,  ISM non-Manufacturing Index – 10:00, EIA Natural Gas Report – 10:30,  Global Composite PMI – 11:00, Global Services PMI – 11:00.

International Economic: EMU PMI Composite – 4:00 AM.

Other:  European Central Bank Announcement – 7:45 AM.

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

GBX Greenbrier Companies Inc

$43.70

39.8

B

0.63

SCHN Schnitzer Steel Industries, Inc.

$28.56

31.9

B

0.14

MU Micron Technology, Inc.

$22.24

59.3

A

0.59

 

Friday April 4:

Economic:  Employment Situation – 8:30., Consumer Sentiment – 9:55, Farm Prices 3:00.

International Economic: No major announcements.

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

KMX CarMax, Inc

$45.45

33.1

B

0.53

 

Monday April 7:

Economic:  Gallup US Consumer Spending 0 8:30, TDAmeritrade IMX – 12:30.

International Economic:  Bank of Japan Announcement – No scheduled time.

Optionable Earnings:  None meeting criteria

 

Papale on Earnings

One of my kids loves limes.  I am not sure where he got this taste but whenever he can he will slice the thing up and eat it.  We hold him back a bit as we were told the acid is not good for the teeth.  Well, the lime market it seems has gone parabolic over the last year or so with prices doubling.  Heavy rain and disease has limited the crop and hence the supply.  So son I hate to break it to you but your days of munching on limes are over for now.  Looks like you have to go back to plain old candy.

It seems like we are in a perpetual earnings season.  After the end of one quarter of reporting the next quarter starts.  Playing the earnings is a popular option trade.  There are basically two different ways to play earnings.  One is to play the expected move in implied volatility heading to the earnings day.  In most stocks, IV goes up as we head to the earnings announcement date.  Many traders get long vega and ride it up to the earnings date.  Often before the date of the earnings is released they sell out of the positions.  If IV goes up enough they can profit without having to be exposed to the earnings itself.

The other approach is to have positions in the market to take advantage of the earnings release itself.  In nearly all cases, IV falls once earnings are released.  The real question becomes how much will the stock move.  There are a number of strategies a trader can use to take a position on both vega and stock direction.  The trader just needs to determine his expectation and structure the trade accordingly.  And of course don’t forget to manage risk.

The Prepared Mind: March 24, 2014

The markets reversed the previous week’s five consecutive down days.  The back and forth in week-to week price movement brings to mind this week’s market word – “whipsaw.”  A whipsaw is when a market or security heads in one direction and is followed quickly by movement in the opposite direction.  The origins of the term are from a two person “whipsaw” which was operated by pushing and pulling the saw from opposite ends.  The market has exhibited classic whipsaw activity the past month.  The back and forth movement has not be limited to security prices alone.  Consumer sentiment, financial news reporting, and movement in the in option implied volatility are all showing signs of being whipsawed.

The best defense against being “whipsawed” is to not respond to every market gyration.  There are many strategies and tactics traders may use when trading this type of market.  The first approach is to implement strategies which work over broader price ranges.  Many option traders will use low beta or gamma strategies.  These strategies do not move one-to-one to market movements up or down.  This market action activity rewards two seemingly contradictory stances – patience and nimbleness.   Applications of these states of mind are the product of trading experience.  Be aware of how your strategies are behaving and will behave in relations to movements in price, time and implied volatility.

Index

Close

Weekly Change

% Weekly

% YTD

Volatility of  Index

Dow Jones Industrials (DJIA)

16,302.70

237.03

1.48%

-2.09%

14.29% (VXD)

S&P 500 (SPX)

1,866.40

25.27

1.37%

1.26%

15.00% (VIX)

NASDAQ 100 (NDX)

3,647.21

19.08

0.53%

2.07%

17.35% (VXN)

Russell 2000 (RUT)

1,190.31

9.29

0.79%

3.14%

19.38% (RVX)

S&P 100 (OEX)

823.64

13.69

1.69%

-0.03%

13.26% (VXO)

CBOE Volatility Index (VIX)

15.00

-2.82

-15.82%

NA

 

VIX options and futures continue to be very active over the past week.  The futures and the spot cash showed less of a reaction to this week’s rally versus previous rallies.  Higher lows in the VIX appear to be yet another reaction to whipsawing.  Block trades in the VIX are leaning towards strategies which profit from market range rather than market direction.

 

 

 

 

 

 

 

Economics reports will focus on housing and manufacturing.  The most important reports are  new home sales and pending home sales.  Will home prices move upwards from past month’s sluggish movement?  Regional Fed manufacturing surveys will provide the first readings of post-Winter factory activity.  Fed Governors are on tour this week.  Traders and financial analysts will be parsing their comments in an attempt to geain clarification of Janet Yellen’s comments last week about QE2.

This will be one of the quietest weeks of the quarter for earnings. Be aware of future earnings dates.  The two current front month options (April and May) include the bulk of upcoming earnings announcements. If you trade a stock, always know when earnings announcements will occur. I scan stocks announcing earnings the coming week using the following criteria:  Price > 20, 30 Day Implied Volatility > 20, and Average Daily Option Volume > 200 contracts.  It is your responsibility to confirm these earnings dates. Earnings dates can and do change.

 

Trading advice to remember:

  “Chance favors the Prepared Mind.” – Louis Pasteur

“One of the funny things about the stock market is that every time one person buys,

another sells, and both think they are astute.” – William Feather

 

Monday March 24:

Economic:  Chicago Fed National Activity Index – 8:30, PMI Manufacturing Index Flash – 9:45.

International Economic:  China PMI Flash Index – Sunday @ 9:45 PM, EMU PMI Composite Flash – %:00 AM,.

Other:  Federal Reserve Gov. Jeremy Stein welcoming remarks at Fed conference in Washington – 9:00 AM, Dallas Federal Reserve Bank President Richard Fisher speech on forward guidance, in London – 1:45 PM.

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

SONC Sonic Corporation

21.59

36.1

A

$0.06

 

Tuesday March 25 :

Economic:  ICSC-Goldman Store Sales – 7:45, Redbook – 8:55, FHFA House Price Index – 9:00, S&P Case-Shiller HPI, New Home Sales – 10:00, Consumer Confidence – 10:00, Richmond Fed Manufacturing Index – 10:00, State Street Investor Confidence – 10:00. 

International Economic:  Great Britain CPI and PPI – 5:30 AM.

Other:  Atlanta Federal Reserve Bank President Dennis Lockhart fireside chat on the economic outlook, in Atlanta – 4:00 PM, Philadelphia Federal Reserve Bank President Charles Plosser speech on economic outlook and monetary policy in New York – 7:00 PM.

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

CCL Carnival Corporation

$39.99

27.8

B

($0.08)

HDS HD Supply Holdings Inc

$23.32

37.8

B

($0.02)

WAG Walgreen Company

$66.50

27.7

B

$0.93

FIVE Five Below Inc

$38.83

54.3

A

$0.45

PVH PVH Corp

$119.12

31.2

A

$1.44

 

Wednesday March 26:

Economic:  MBA Purchase Applications – 7:00, Durable Goods Orders – 8:30, PMI Services Flash – 9:45,  EIA Petroleum Status Report –10:30.

International Economic: Great Britain GDP – 4:30 AM.

Other:  St Louis Federal Reserve Bank President James Bullard on panel discussing unconventional monetary policy, in Hong Kong – 2:00 AM.

Optionable Earnings:

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

FRAN Francesca’s Holdings Corp

$20.02

61.0

B

$0.28

LNN Lindsay Corporation

$80.82

30.9

B

$1.13

 

Thursday March 27:

Economic:  Jobless Claims – 8:30,  GDP – 8:30, Corporate Profits – 8:30, Bloomberg Consumer Comfort Index – 9:45,  Pending Home Sales – 10:00, EIA Natural Gas Report – 10:30,  Kansas City Fed Manufacturing Index – 11:00.

International Economic: EMU EC Economic Sentiment – 6:00 Am.

Other:  Cleveland Federal Reserve President Sandra Pianalto speech to RISE student conference at the University of Dayton, Ohio – 8:30AM, Chicago Fed President Charles Evans speech on the economy and monetary policy in Hong Kong – 9:30 PM.

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

ACN Accenture Plc

$83.06

24.7

B

$1.07

CONN CONN’S, Inc.

$33.31

71.3

B

$0.80

GME GameStop Corp.

$38.44

46.3

B

$0.78

LDOS Leidos Holdings Inc

$42.10

30.0

B

$0.43

LULU Lululemon Athletica inc.

$48.74

60.0

B

$0.72

SIG Signet Jewelers Ltd.

$102.01

31.4

B

$2.15

RHT Red Hat Inc

$58.47

40.3

A

$0.26

RH Restoration Hardware Holdings Inc

$64.78

58.3

A

$0.83

 

Friday March 28:

Economic:  Personal Income and Outlays – 8:30, Consumer Sentiment – 9:55, Farm Prices 3:00.

International Economic: No major announcements.

Other: Kansas City Federal Reserve President Esther George speech on the economy in Kansas City – 1:15 PM. 

Optionable Earnings: 

Symbol

Company Name

Mar 21 Close

IV30

B/A

XEPS

CEO CNOOC Limited (ADR)

$150.47

26.0

 

Monday March 31:

Economic:  Chicago PMI – 9:45. Dallas Fed Manufacturing Survey – 10:30.

International Economic:  EMU HICP Flash – 5:00 AM.  

Optionable Earnings:  None meeting criteria

 

Papale on Trading Weeklies

Our regularly scheduled blog will be interrupted today due to massive amounts of NCAA Tournament Basketball.   Due to the extreme nature of this once a year event, all unessential services and programming will be halted until further notice including chores around the house, shuttling kids to activities and anything requiring prolonged movement away from the TV.  Only essential activities such as going to the refrigerator, re-arranging cushions on the couch and monitoring of brackets will be conducted.  Stay tuned for further updates.

Seems these days expiration week comes every week.  Well, in reality I guess it does with the weeklies.  But for those that focus on the standard monthly options tomorrow is the day.  If you carry positions into expiration week you should keep in mind a few things.  First, while the theta can be big, so can the accompanying gamma.  All extrinsic value goes to 0 at expiration so erosion must work off all remaining extrinsic value.  Deltas will settle at either 0 or 1 depending on whether they finish in or out of the money.  So for options close to at the money, the movement of delta can be dramatic as markets determine whether that option will finish in or out of the money.   Strikes outside where the market thinks it will settle trade at their intrinsic value.   Extrinsic value only exists if the market sees a possibility of the underlying reaching that strike by expiration.  With all the interest in weeklies this sort of high octane trading is becoming more commonplace.  Just watch your risk and have a plan to take both profit and loss.

The Prepared Mind: March 18, 2014

What a difference one week can make.  Seven days ago the markets were wrapped in in a near all-encompassing blanket of euphoria.  The entire focus of the financial media was on new highs.  Last weekend’s business articles focused on the when and where of forthcoming new highs for indexes.  Articles on the possibility of a stock market bubble were relegated to “off Wall Street” internet pages.  Optimism has been replaced by concern.

The indexes were down five straight days with the S&P 500 dipping into the red for the year.  Fingers were pointed at Vladmir Putin and the crisis in Crimea, but there are other factors contributing to last week’s malaise.  Economic reports from China contributed to the aura of concern.  Chinese exports, factory production, and retail sales were all weaker than forecasted last week.  The overall consensus is bearish when reports from Russia and China are combined with disappointing European industrial production and declining U.S. consumer confidence.

 

Index

Close

Weekly Change

% Weekly

% YTD

Volatility of  Index

Dow Jones Industrials (DJIA)

16,065.67

-387.05

-2.35%

-3.90%

16.76% (VXD)

S&P 500 (SPX)

1,841.13

-36.91

-1.97%

-0.51%

17.82% (VIX)

NASDAQ 100 (NDX)

3,628.13

-76.00

-2.05%

1.36%

18.89% (VXN)

Russell 2000 (RUT)

1,181.02

-22.41

-1.86%

2.04%

21.83% (RVX)

S&P 100 (OEX)

809.95

-16.75

-2.03%

-2.14%

17.22% (VXO)

CBOE Volatility Index(VIX)

17.82

3.82

27.29%

NA

 

The VIX and VIX futures proved to be prescient by exhibiting a cautionary stance the week before last.  Friday was the second busiest day ever for VIX options with over 1.8 million option contracts being traded.  The heaviest trading was in March calls.  It is not readily apparent if these were opening trades or covering of front month short call positions.  March VIX settlement will be on the open this Tuesday.  All March positions will be in play for a volatility event on Monday.

All eyes will, again, be on the Ukraine and Crimea. The  upcoming week is loaded with news with the potential to move markets.  This news includes the FOMC meeting, Janet Yellen’s first quarterly press conference, Fed forecasts and domestic economic reports focusing on industrial production, manufacturing and housing.  Be wary of the perfect storm of less than stellar news from here and abroad..

 

This will be one of the quietest weeks for earnings.. Major announcements include: Men’s Wearhouse, Urban Outfitters, Carnival Corporation, Hertz, Adobe, Oracle, FedEx, Guess?, ConAgra, PetroChina, Nike, Darden Restaurants and Tiffany.  .    Keep an eye on bellwether and “hot’ stocks.  Keep an eye on “hot stocks.”  These stocks will respond with the most volatility to any negative market news.  I scan stocks announcing earnings the coming week using the following criteria:  Price > 20, 30 Day Implied Volatility > 20, and Average Daily Option Volume > 200 contracts.  It is your responsibility to confirm these earnings dates. Earnings dates can and do change.

 

Trading advice to remember:

  “Chance favors the Prepared Mind.” – Louis Pasteur

“One of the funny things about the stock market is that every time one person buys,

another sells, and both think they are astute.” – William Feather

 

Monday March 17:

Economic:  Empire State Manufacturing Survey – 8:30, Treasury International Capital – 9:00, Industrial Production – 9:15, Housing Market Index – 10:00. 

International Economic:  EU HICP – 6:00.

Optionable Earnings:  No earnings meeting criteria.

Tuesday March 18 :

Economic:  ICSC-Goldman Store Sales – 7:45, CPI (Consumer Price Index) – 8:30, Housing Starts – 8:30, Redbook – 8:55.

International Economic:  EU Merchandise Trade – 8:00, Japan All Industry Index – 11:30PM.

Other:  FOMC meeting begins.

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

CCL Carnival Corporation

$38.51

27.8

B

($0.08)

DSW DSW Inc.

$39.58

34.2

B

$0.29

FDS FactSet Research Systems Inc.

$103.63

29.3

B

$1.22

HTZ Hertz Global Holdings, Inc.

$25.81

44.5

B

$0.32

ADBE Adobe Systems Incorporated

$67.08

33.3

A

$0.12

ORCL Oracle Corporation

$37.65

26.9

A

$0.67

 

Wednesday March 19:

Economic:  MBA Purchase Applications – 7:00, Current Account – 8:30,  EIA Petroleum Status Report –10:30.

International Economic: Bank of England Minutes – 5:30 AM.

Other:  FOMC meeting announcement – 2:00, Fed Chair Press Conference – 2:30.

Optionable Earnings:

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

FDX FedEx Corporation

$136.68

24.3

B

$1.52

VRA Vera Bradley, Inc.

$27.27

55.3

B

$0.46

XONE ExOne Co

$41.18

67.9

A

$0.01

FNV Franco-Nevada Corporation

$52.50

35.5

A

$0.22

GES Guess?, Inc.

$28.67

40.8

A

$0.80

 

Thursday March 20:

Economic:  Jobless Claims – 8:30,  Bloomberg Consumer Comfort Index – 9:45,  Philadelphia Fed Survey – 10:00, Existing Home Sales – 10:00, Leading Indicators – 10:00,  EIA Natural Gas Report – 10:30.

International Economic: Germany PPI – 3:00 AM.

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

PTR PetroChina Company Limited (ADR)

$98.07

24.5

D

$4.61

CAG ConAgra Foods, Inc.

$29.47

21.7

B

$0.60

LEN Lennar Corporation

$40.35

37.5

B

$0.28

CTAS Cintas Corporation

$59.62

25.3

A

$0.71

NKE Nike Inc

$78.53

25.8

A

$0.73

SLW Silver Wheaton Corp. (USA)

$26.53

38.6

A

$0.25

TIBX Tibco Software Inc.

$21.03

41.1

A

$0.11

 

Friday March 21:

Economic:  Atlanta Fed Business Inflation – 10:00

International Economic: No major announcements.

Other:  Quadruple Witching – Expiration

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

DRI Darden Restaurants, Inc.

$49.01

26.4

B

$0.82

TIF Tiffany & Co.

$92.24

27.4

B

$1.52

 

Monday March 24:

Economic:  Chicago Fed National Activity Index – 8:30, PMI Manufacturing Index Flash – 9:45.. 

International Economic:  China PMI Flash Index – Sunday @ 9:45 PM.

Optionable Earnings:  

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

SONC Sonic Corporation

$20.88

36.1

A

$0.06

 

 

The Prepared Mind: March 10, 2014

This week marks the 5th anniversary of the March 9, 2009 closing low for the S&P 500.  The recovery from the nadir closing of the financial crisis has been stunning.  I am repeating the numbers in the following chart for emphasis.  The 5 year growth in the indexes has ranged from 150% (DJIA and OEX) to over 250% (NDX and RUT.)  This has been a very impressive bull market.

Last week’s market shrugged off troubles in the Ukraine.  Monday started with a major sell-off.   On Tuesday it was all forgotten, with gains exceeding the market losses on Friday and Monday.   We finished the week with new highs and a plethora of market optimism.  Some of the headlines for the week:

“Stocks Rise 1%, S&P 500 Reaches New High”

“Better U.S. economic date trumped geopolitical jitters, spurring talk of a bubble. However, that may be overdone.”

“Next Stop, Nasdaq 5000”

“The Nasdaq could revisit its old high sooner than many investors think.”

”No technical resistance left in SPX”

“Strong confirmation of new highs”

Index

Close

Weekly Change

% Weekly

% YTD

Volatility of  Index

Dow Jones Industrials (DJIA)

16,452.72

131.01

0.80%

-0.95%

13.37% (VXD)

S&P 500 (SPX)

1,878.04

18.59

1.00%

2.08%

14.11% (VIX)

NASDAQ 100 (NDX)

3,704.13

8.03

0.22%

4.21%

15.23% (VXN)

Russell 2000 (RUT)

1,203.43

20.89

1.77%

4.68%

18.66% (RVX)

S&P 100 (OEX)

826.70

8.46

1.03%

0.45%

12.97% (VXO)

CBOE Volatility Index (VIX)

14.11

0.11

0.79%

NA

 

 

 

The euphoria was near universal echoing lines from an American classic “Home on the Range:”

Where seldom is heard a discouraging word

And the skies are not cloudy all day.

If there was any dissent, it came from the VIX and VIX futures.  New highs are normally accompanied by lower prices for VIX.  The prices actually held constant or gained minimal amounts last week.  This market behavior shows a bit less optimism than the financial talking head are exhibiting.

The markets will again be locked focused on the Ukraine.  Crimea will be holding a referendum on becoming part of Russia.  The EU, the U.S., and the Ukraine consider the vote to be “illegitimate.  Economic reports highlight the consumer sector – retail sales and consumer confidence.  Recent retail sales have been adversely affected by adverse weather conditions.  It is hoped an easing of the polar vortex will be reflected in February retail sales.  Many analysts are calling for better consumer confidence numbers resulting from the onset of spring.

 

It will be a quiet week for earnings. These announcements are concentrated in the retail sector.    Major announcements include: Men’s Wearhouse, Urban Outfitters, Diamond Foods, American Eagle Outfitters, Verifone, Dresser-Rand, Williams-Sonoma, Aereopostale, Dick’s Sporting Goods and Hibbett Sports.    Keep an eye on bellwether and “hot’ stocks.  These stocks are often indicators for behavior in indexes or industry sectors.  I scan stocks announcing earnings the coming week using the following criteria:  Price > 20, 30 Day Implied Volatility > 20, and Average Daily Option Volume > 200 contracts.  It is your responsibility to confirm these earnings dates. Earnings dates can and do change.

 

Trading advice to remember:

  “Chance favors the Prepared Mind.” – Louis Pasteur

“One of the funny things about the stock market is that every time one person buys,

another sells, and both think they are astute.” – William Feather

 

Monday March 10:

Economic:  TD Ameritrade IMx – 12:30 PM. 

Other: Philadelphia Federal Reserve Bank President Charles Plosser speech on monetary policy, banks and protectionism in Paris – 4:45 AM, Chicago Fed President Charles Evans speech on the economy and monetary policy in Columbus, Georgia – 12:40 PM.

International Economic:  Bank of Japan Announcement.

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

IOC InterOil Corporation (USA)

$59.49

55.7

D

($0.04)

MED Medifast Inc

$25.52

66.0

A

$0.37

PWRD Perfect World Co., Ltd. (ADR)

$25.66

64.0

A

$0.44

URBN Urban Outfitters, Inc.

$36.99

35.2

A

$0.55

 

Tuesday March 11 :

Economic:  NFIB Small Business Optimism Index – 7:30, ICSC-Goldman Store Sales – 7:45, Redbook – 8:55, JOLTS – 10:00, Wholesale Trade – 10:00.

International Economic:  No major announcements.

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

DKS Dicks Sporting Goods Inc

$53.61

32.9

B

$1.11

IMOS ChipMOS Technologies (Bermuda) Ltd

$23.02

47.0

B

$0.28

CZR Caesars Entertainment Corp

$25.70

61.0

A

($1.45)

DMND Diamond Foods, Inc.

$30.55

50.8

A

$0.08

DRC Dresser-Rand Group Inc.

$58.28

31.0

A

$1.29

FURX Furiex Pharmaceuticals Inc

$91.54

79.5

A

($1.05)

PAY VeriFone Systems Inc

$30.06

55.5

A

$0.15

 

Wednesday March 12:

Economic:  MBA Purchase Applications – 7:00, Quarterly Services Survey – 10:00, EIA Petroleum Status Report –10:30.

International Economic:  EMU Industrial Production – 6:00 AM, China Industrial Production – 9:00 PM, China Retail Sales – 9:00 PM.

Optionable Earnings:

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

QIWI Qiwi PLC

$39.75

81.4

B

$0.28

MTDR Matador Resources Co

$24.24

53.7

A

$0.28

MW The Men’s Wearhouse, Inc.

$54.98

48.3

A

($0.11)

WSM Williams-Sonoma, Inc.

$58.89

31.1

A

$1.35

 

Thursday March 13:

Economic:  Jobless Claims – 8:30,  Retail Sales – 8:30, Import and Export Prices – 8:30, Bloomberg Consumer Comfort Index – 9:45,  Business Inventories – 10:00, EIA Natural Gas Report – 10:30.

International Economic: Bank of Japan Minutes – 7:50 PM.

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

CCL Carnival Corporation

$39.19

25.7

B

($0.07)

DG Dollar General Corp.

$59.41

35.6

B

$1.01

GOGO Gogo Inc

$24.29

85.0

B

($0.27)

MEI Methode Electronics Inc.

$34.74

71.3

B

$0.39

CTB Cooper Tire & Rubber Co

$23.80

34.0

A

$0.21

MFRM Mattress Firm Holding Corp

$44.40

61.8

A

$0.29

TAHO Tahoe Resources, Inc.

$23.97

45.5

A

($0.09)

ULTA Ulta Salon, Cosmetics & Fragrance, Inc.

$87.30

56.6

A

$1.07

 

Friday March 14:

Economic:  PPI-FD (Producer Price Index – Final Demand) – 8:30, Consumer Sentiment – 9:55,

International Economic: No major announcements.

Optionable Earnings: 

Symbol

Company Name

Mar 27 Close

IV30

B/A

XEPS

ANN Ann Inc

$35.61

36.3

B

$0.07

BKE The Buckle, Inc.

$45.89

30.3

B

$1.21

 

 

Monday March 17:

Economic:  Empire State Manufacturing Survey – 8:30, Treasury International Capital – 9:00, Industrial Production – 9:15, Housing Market Index – 10:00. 

International Economic:  No major announcements.

Optionable Earnings:  No earnings meeting criteria.

 

Papale on Protective Put Strike Selection

Last week it seem 49ers coach Jim Harbaugh was almost traded to the Cleveland Browns.  Rumor has it he wanted more money and more power (what else in new).  I am not a student of the game in the same way our fearless leader Steve Lentz is, but I have never heard of a coach being traded.  Players, cards, coins, cigarettes in prison – yes.  But not a coach.  Anyway it seems that is off the table at least for now.  I wonder how he did at the combine?

When markets reach new highs there is a tendency to consider ways to protect against a selloff.  If you are long stock, a basic and effective way is to buy a put.  A put give the owner the right to sell a stock at a predetermined price within a predetermined time.  For example, if I own AAPL and I am a bit nervous I might buy a put to protect from a selloff.  The amount of protection and how long I am protected is based on the strike price and month of the put.  If I don’t want to lose more than 5% or so, with AAPL around $530, I would look to buy a put with a strike price of 500 or 505.

Remember, the more protection the higher the price.  And if I want to be protected going out to June I would want to buy the June 500 put, which will cost more than the April puts.  Like all insurance, more time of coverage and smaller deductable (more protection/less out of pocket) equals more cost.  There is no right or wrong here.  Each investor or trader must look at his or her own risk/reward scenario and make the choice most suited to their own individual situation.

 

The Prepared Mind: March 3, 2014

“Chance favors the prepared mind.” — Louis Pasteur

Color me confused.  Fourth quarter economic growth was revised from 2.4% from 3.2% and mystery troops (supposedly Russian) have entered Crimea yet the S&P 500 hit a new intraday high on Friday and anew new closing high at 1,859.45.  The SPX was up 4.3% in February – the best February performance since 1998.  The second close above 1,850 has given further impetus to those calling the February move a breakout.  Much credit was given to Janet Yellen’s Thursday comments concerning a possibility of a delay in tapering the Fed’s bond buying programs.  A glimmer of hope was all that was need to push the SPX to a new high,  The week’s gains were tempered by concerns about the Ukraine leading to an end of day sell-off.  The spot VIX and its monthly futures moved in opposite directions this week.  The VIX declined 0.68 or 4.63% while the VIX futures and VIX options showed gains. (I am adding the following table of the VIX and VIX futures to this and future blogs.)

  Close Change % Change
VIX

14.00

-0.68

-4.63%

Mar (VXH4)

15.25

0.10

0.66%

Apr (VXJ4)

15.70

0.25

1.62%

May (V4M4)

16.40

0.30

1.86%

June (VXM4)

17.00

0.40

2.41%

The gains in the VIX futures and the implied volatility of the VIX options  may be the direct result of using volatility to hedge long equity positions.  Next week’s employment release and/or the turmoil in the Ukraine may have been the impetus behind this movement.  One of the larger trades of the week was the purchase on Thursday of nearly 10,000 VIX APR 18 calls at 1.10.  Was this a hedge or a directional trade? Large VIX trades are generally hedged by selling another option – i.e. put on as a spread.

Here is a capsule view of last week’s market numbers:

Index

Close

Weekly Change

% Weekly

% YTD

Volatility of  Index

Dow Jones Industrials (DJIA)

16,321.71

218.41

1.36%

-1.95%

13.22% (VXD)

S&P 500 (SPX)

1,859.45

23.20

1.26%

0.78%

14.00% (VIX)

NASDAQ 100 (NDX)

3,696.10

33.50

0.91%

3.91%

15.01% (VXN)

Russell 2000 (RUT)

1,182.54

19.38

1.67%

2.22%

19.52% (RVX)

S&P 100 (OEX)

818.24

10.91

1.35%

-0.86%

12.93% (VXO)

CBOE Volatility Index (VIX)

14.00

-0.68

-4.63%

NA

 

The markets will be locked focused all week on the Ukraine and on the myriad of employment numbers on Wednesday through Friday.  Domestic unemployment is expected to remain unchanged at 6.6%.  Additional economic reports will cover construction, consumer sentiment, and manufacturing.

Earnings are slowing to a trickle.  Major announcements include: Big Lots, Bob Evans Farms, PetSmart, Brown-Forman, Costco, Staples, Children’s Place, Kroger, and Footlocker,   Keep an eye on bellwether and “hot’ stocks.  These stocks are often indicators for behavior in indexes or industry sectors.  I scan stocks announcing earnings the coming week using the following criteria:  Price > 20, 30 Day Implied Volatility > 20, and Average Daily Option Volume > 200 contracts.  It is your responsibility to confirm these earnings dates. Earnings dates can and do change.

 

Trading advice to remember:

  “Chance favors the Prepared Mind.” – Louis Pasteur

“One of the funny things about the stock market is that every time one person buys,

another sells, and both think they are astute.” – William Feather

 

Monday March 3:

Economic:  Motor Vehicle Sales, Gallup US Consumer Spending Measure – 8:30, PMI Manufacturing Index – 8:58, ISM Manufacturing Index – 10:00, Construction Spending – 10:00, Global Manufacturing PMI – 11:00. 

International Economic:  EMU PMI Manufacturing – 4:00 AM, All Global PMI Manufacturing..

Optionable Earnings: 

Symbol

Company Name

Feb 28 Close

IV30

B/A

XEPS

AKRX Akorn, Inc.

$26.80

51.9

B

$0.13

CLDX Celldex Therapeutics, Inc.

$31.59

76.5

B

($0.28)

EVEP EV Energy Partners, L.P.

$35.28

30.0

B

$0.20

JKS JinkoSolar Holding Co., Ltd.

$30.81

83.3

B

$0.86

MGA Magna International Inc. (USA)

$87.19

25.4

B

$1.53

NUS Nu Skin Enterprises, Inc.

$84.52

71.5

B

$1.99

ROC Rockwood Holdings, Inc.

$81.12

43.8

B

$0.31

SSW Seaspan Corporation

$21.92

28.5

B

$0.24

SSYS Stratasys Ltd

$127.15

50.8

B

$0.41

GEVA Synageva Biopharma Corp

$118.42

59.6

A

($1.02)

MR Mindray Medical International Ltd

$35.69

56.2

A

$0.50

SCTY SolarCity Corp

$86.14

68.6

A

($0.56)

URS URS Corp

$45.41

33.1

A

$0.19

VIPS Vipshop Holdings Ltd – ADR

$116.57

76.3

A

$0.37

 

Tuesday March 4 :

Economic:  ICSC-Goldman Store Sales – 7:45, Gallup Economic Confidence Index – 8:30, Redbook – 8:55.

Other: Richmond Federal Reserve Bank President Jeffrey Lacker speech in New York – 4:15PM.

International Economic:  Japan PMI Composite – 6:15 PM, China PMI Composite- 8:45 PM.  

Optionable Earnings: 

Symbol

Company Name

Feb 28 Close

IV30

B/A

XEPS

AZO AutoZone, Inc.

$538.46

24.6

B

$0.56

BRLI Bio-Reference Laboratories Inc

$25.55

40.0

B

$0.14

HTH Hilltop Holdings Inc.

$24.48

32.6

B

$0.38

AVAV AeroVironment, Inc.

$31.88

47.2

A

$0.19

HCI HCI Group Inc

$48.05

56.0

A

$1.51

SQM Sociedad Quimica y Minera de Chile

$30.45

41.8

A

$0.33

VEEV Veeva Systems Inc

$35.85

74.1

A

$0.06

YY YY Inc (ADR)

$75.00

78.1

A

$0.53

 

Wednesday March 5:

Economic:  MBA Purchase Applications – 7:00, ADP Employment Report – 8:15, Gallup US Job Creation Index 8:30, PMI Services Index – 8:58, ISM Non-manufacturing Index – 10:00, EIA Petroleum Status Report –10:30, Beige Book 2:00. .

International Economic:  EMU PMI Composite – 4:00 AM, EMU GDP – 5:00 AM, .

Other:  Dallas Federal Reserve Bank President Richard Fisher speech in Mexico City – 7:00 PM, San Francisco Federal Reserve Bank President John Williams speech on the economic outlook in Seattle – 8:30 PM..

Optionable Earnings:

Symbol

Company Name

Feb 28 Close

IV30

B/A

XEPS

CSIQ Canadian Solar Inc.

$43.07

75.5

B

$0.55

MEMP Memorial Production Partners LP

$22.16

21.2

B

$0.55

PETM PetSmart, Inc.

$66.62

27.0

B

$1.22

SN Sanchez Energy Corp

$29.46

51.1

A

$0.36

 

 

Thursday March 6:

Economic:  Chain Store Sales, Challenger Job Cut Report – 7:30, Gallup US Payroll to Population – 8:30, Productivity and Costs – 8:30, Jobless Claims – 8:30,  Bloomberg Consumer Comfort Index – 9:45,  Factory Orders – 10:00, EIA Natural Gas Report – 10:30.

Other:  Bank of England Announcement – 5:00 AM, EMU European Central Bank – 7:00AM

Optionable Earnings: 

Symbol

Company Name

Feb 28 Close

IV30

B/A

XEPS

NAV Navistar International Corp

$37.20

53.8

D

($1.55)

AFAM Almost Family Inc

$27.75

53.1

B

$0.26

BIG Big Lots, Inc.

$29.44

61.2

B

$1.45

BITA Bitauto Hldg Ltd (ADR)

$40.11

82.4

B

$0.34

CIEN Ciena Corporation

$25.12

55.3

B

($0.01)

CNQ Canadian Natural Resource Ltd

$36.29

24.8

B

$0.56

JOY Joy Global Inc.

$56.04

36.8

B

$0.64

KR The Kroger Co.

$40.14

24.8

B

$0.73

PLCE Children’s Place Retail Stores, Inc.

$55.06

42.0

B

$0.94

A NQ Mobile Inc (ADR)

$21.21

153.7

A

$0.11

AMBA Ambarella Inc

$33.91

64.7

A

$0.11

FNSR Finisar Corporation

$23.93

54.8

A

$0.36

HRB H & R Block Inc

$31.69

36.7

A

($0.08)

QIHU Qihoo 360 Technology Co Ltd

$110.76

69.1

A

$0.29

TFM The Fresh Market Inc

$32.85

60.2

A

$0.42

VNET 21Vianet Group Inc

$25.85

57.3

A

$0.04

 

Friday March 7:

Economic:  Employment Situation – 8:30, International Trade – 8:30.

International Economic: China CPI – 8:30 PM, China PPI – 8:30 PM (On Saturday March 8.)

Optionable Earnings: 

Symbol

Company Name

Feb 28 Close

IV30

B/A

XEPS

FL Foot Locker, Inc.

$41.83

31.1

B

$0.75

 

 

Monday March 10:

Economic:  TD Ameritrade IMx – 12:30 PM.. 

Other: Philadelphia Federal Reserve Bank President Charles Plosser speech on monetary policy, banks and protectionism in Paris – 4:45 AM.

International Economic:  Bank of Japan Announcement.

Optionable Earnings:  

Symbol

Company Name

Feb 28 Close

IV30

B/A

XEPS

IOC InterOil Corporation (USA)

$57.85

53.0

D

($0.04)

MED Medifast Inc

$26.82

50.2

A

$0.37

PWRD Perfect World Co., Ltd. (ADR)

$20.23

61.0

A

$0.44

URBN Urban Outfitters, Inc.

$37.62

35.4

A

$0.55