SPY in the middle of its $438-$442 range.
QQQ have key support level at $365.
Todays trade I am looking at is a trade on BB ( Blackberry ) This darling stock from years past has for the most part been in the doldrums except when some traders decide to take it briefly for a spin. Earnings are not to Sept 23 and the stock is at $9.90 as i am writing this trade idea, If Blackbery opens up around this price and is still below $10.25 then I will be taking this trade. This trade will be a two pronged approach , I will be buying the stock and then immediately selling a 10-8 put spread expiring Sept 17 and selling a 10 call expiring Sept 17 and should get around $1.85 in credit . My breakeven on the spreads is $8.15 and max loss is $15.00
The max potential loss is if the stock goes bankrupt and the spread is $15 loss potential.
If the stock closes at $10.00 or higher I will be assigned the stock and keep the entire premium . This would result in a 18.5 % return.
On Wednesday $TROW (T. Rowe Price Group Inc.) reached high of $211.10 near all-time high for the stock. It’s been bullish for quite a while now and since the last reported earnings on July 29, the company appears to be on a strong growth trajectory. The company reported 36.3% revenue growth for the 2nd Quarter on YoY basis along with strong EPS. The stock is currently trading above 20EMA and 50EMA. Once it breaches the previous high of $212.41 it has no immediate resistance. With the financial sector in general, investment advisory and retail investments at sky high, $TROW would be benefitted in the future as well. I’ve added it in my Watchlist for the next couple of years.
On the downside, with stochastics in the overbought area volume receding, the stock might visit the immediate support level of $196 in the short term.