submitted by AnnaLisbeth to AppDevelopment [link] [comments]
submitted by xmr-rusticbison to Bitcoin [link] [comments]
This theory, perhaps most notably posed by Raffael Danielli, posits that out-of-control margin trading caused a flash crash in at least one major bitcoin exchange market, a development that had a cascading effect across the larger bitcoin market.The price fell to 300 in January 2015. Then, a hack to Bitstamp brough it down to under 170 dollars to bounce back to over 200.
In the post on his quantitative analysis blog Matlab Trading, Danielli asserts that margin traders, specifically those on Hong Kong-based bitcoin trading platform Bitfinex, had invested significant funds into long positions as bullish sentiment rose in July.
| | submitted by coincrazyy to BitcoinAll [link] [comments] |
 | You might want to say: "Retard, there have been at least a dozen posts about RKT already." Well, there is some itsy bitsy tiny bit of new information... submitted by Zaratar to wallstreetbets [link] [comments] Hold on to your butts 🚀Yes, you might have seen the stock price climb to ~$26 after IPO and fall back to $19 and not listened to this brilliant retard telling you not to sell the GODDAM stock. Maybe because you have read the "sEeKinG alPhA aNaLysT" giving it a "meh" rating.Well, in an effort to give you another chance on those sweet tendies, Rocket announced pre-earnings numbers, before the actual earnings date of September 2. This is what it looks like:
What does this all mean?
FAQ for 🌈🐻Q: But what if the interest rates go back up tomorrow?A: It won't, as that would collapse the S&P 500 overnight. They have to keep interest rates low so that the money stays in the stock market. Q: This sounds like the next subprime mortgage crisis. What if people start defaulting on their mortgages? A: They are not the ones lending the money, so they don't care. They package the mortgages and hand it to someone else. They keep mortgages for only 3 weeks on average during the process, then they are off the hook. Q: Aren't there other mortgage companies with online services? A: Yes, but nothing this streamlined and easy to use. And they have very good brand recognition with the Rocket brand and Quicken Loans. Again, it is like TurboTax: yes there is other tax software out there, but who cares? Q: But the stock price does not reflect the fundamentals. Didn't it crash last week and then stall? A: Yes there was some price discovery after IPO and you would have been right up until Monday of this week. But since the pre-earnings announcement, the stock price is picking up some serious steam. Once the mainstream media catches on and price exceeds the ATH (probably tomorrow), this will go to the moon. If this does not look like a RKT platform I do not know what does: https://preview.redd.it/lyevy8wx6bi51.png?width=1260&format=png&auto=webp&s=10da2d7c8be7d4a83c0b798c16aafaa94bacfc20 The PlayJust stop reading and load up the cart already. |
Here’s what I want Steam to be: a place where I can easily and conveniently find games I wish to buy, buy them, and access them. I do not believe Valve and I’s outlook on this aligns.The last paragraph hits right on the nose the issue I've had with Steam for literally years. Back around 2008 when I first started buying games there, it was a pretty tightly curated market space with clearly delineated categories of games. A racing game was always just in the "Racing" category. Action games were under "Action" and simulations were under, you guessed it, "Simulation".
Valve seem to have some small interest in Steam performing these functions, but a much greater excitement for layering endless experimental systems on top of each other. The act of buying and playing games must itself be gamified from every possible angle.
Over the years, it’s introduced trading cards, badges, and a marketplace for in-game items. It’s given us countless different kinds of fake money, earned by spending real money, usually to be spent on stickers, emotes, profile backgrounds, and other gew-gaws I couldn’t even be confident in the function of.
...And as these experiments rumble on and mutate into ever less necessary forms, Valve neglects the core experience. The store is less usable now than it’s ever been, utterly clogged with nonsense and shovelware with incredibly poor moderation. Efforts to tailor the experience algorithmically have created more problems than they’ve solved, making it increasingly difficult to get to the page you actually want, rather than the one Steam thinks you’d like.
Richard Dobatse, a Navy medic in San Diego, dabbled infrequently in stock trading. But his behavior changed in 2017 when he signed up for Robinhood, a trading app that made buying and selling stocks simple and seemingly free.
Mr. Dobatse, now 32, said he had been charmed by Robinhood’s one-click trading, easy access to complex investment products, and features like falling confetti and emoji-filled phone notifications that made it feel like a game. After funding his account with $15,000 in credit card advances, he began spending more time on the app.
As he repeatedly lost money, Mr. Dobatse took out two $30,000 home equity loans so he could buy and sell more speculative stocks and options, hoping to pay off his debts. His account value shot above $1 million this year — but almost all of that recently disappeared. This week, his balance was $6,956.
“When he is doing his trading, he won’t want to eat,” said his wife, Tashika Dobatse, with whom he has three children. “He would have nightmares.”
Millions of young Americans have begun investing in recent years through Robinhood, which was founded in 2013 with a sales pitch of no trading fees or account minimums. The ease of trading has turned it into a cultural phenomenon and a Silicon Valley darling, with the start-up climbing to an $8.3 billion valuation. It has been one of the tech industry’s biggest growth stories in the recent market turmoil.
But at least part of Robinhood’s success appears to have been built on a Silicon Valley playbook of behavioral nudges and push notifications, which has drawn inexperienced investors into the riskiest trading, according to an analysis of industry data and legal filings, as well as interviews with nine current and former Robinhood employees and more than a dozen customers. And the more that customers engaged in such behavior, the better it was for the company, the data shows.
Thanks for reading The Times. Subscribe to The Times More than at any other retail brokerage firm, Robinhood’s users trade the riskiest products and at the fastest pace, according to an analysis of new filings from nine brokerage firms by the research firm Alphacution for The New York Times.
In the first three months of 2020, Robinhood users traded nine times as many shares as E-Trade customers, and 40 times as many shares as Charles Schwab customers, per dollar in the average customer account in the most recent quarter. They also bought and sold 88 times as many risky options contracts as Schwab customers, relative to the average account size, according to the analysis.
The more often small investors trade stocks, the worse their returns are likely to be, studies have shown. The returns are even worse when they get involved with options, research has found.
This kind of trading, where a few minutes can mean the difference between winning and losing, was particularly hazardous on Robinhood because the firm has experienced an unusual number of technology issues, public records show. Some Robinhood employees, who declined to be identified for fear of retaliation, said the company failed to provide adequate guardrails and technology to support its customers.
Those dangers came into focus last month when Alex Kearns, 20, a college student in Nebraska, killed himself after he logged into the app and saw that his balance had dropped to negative $730,000. The figure was high partly because of some incomplete trades.
“There was no intention to be assigned this much and take this much risk,” Mr. Kearns wrote in his suicide note, which a family member posted on Twitter.
Like Mr. Kearns, Robinhood’s average customer is young and lacks investing know-how. The average age is 31, the company said, and half of its customers had never invested before.
Some have visited Robinhood’s headquarters in Menlo Park, Calif., in recent years to confront the staff about their losses, said four employees who witnessed the incidents. This year, they said, the start-up installed bulletproof glass at the front entrance.
“They encourage people to go from training wheels to driving motorcycles,” Scott Smith, who tracks brokerage firms at the financial consulting firm Cerulli, said of Robinhood. “Over the long term, it’s like trying to beat the casino.”
At the core of Robinhood’s business is an incentive to encourage more trading. It does not charge fees for trading, but it is still paid more if its customers trade more.
That’s because it makes money through a complex practice known as “payment for order flow.” Each time a Robinhood customer trades, Wall Street firms actually buy or sell the shares and determine what price the customer gets. These firms pay Robinhood for the right to do this, because they then engage in a form of arbitrage by trying to buy or sell the stock for a profit over what they give the Robinhood customer.
This practice is not new, and retail brokers such as E-Trade and Schwab also do it. But Robinhood makes significantly more than they do for each stock share and options contract sent to the professional trading firms, the filings show.
For each share of stock traded, Robinhood made four to 15 times more than Schwab in the most recent quarter, according to the filings. In total, Robinhood got $18,955 from the trading firms for every dollar in the average customer account, while Schwab made $195, the Alphacution analysis shows. Industry experts said this was most likely because the trading firms believed they could score the easiest profits from Robinhood customers.
Vlad Tenev, a founder and co-chief executive of Robinhood, said in an interview that even with some of its customers losing money, young Americans risked greater losses by not investing in stocks at all. Not participating in the markets “ultimately contributed to the sort of the massive inequalities that we’re seeing in society,” he said.
Mr. Tenev said only 12 percent of the traders active on Robinhood each month used options, which allow people to bet on where the price of a specific stock will be on a specific day and multiply that by 100. He said the company had added educational content on how to invest safely.
He declined to comment on why Robinhood makes more than its competitors from the Wall Street firms. The company also declined to comment on Mr. Dobatse or provide data on its customers’ performance.
Robinhood does not force people to trade, of course. But its success at getting them do so has been highlighted internally. In June, the actor Ashton Kutcher, who has invested in Robinhood, attended one of the company’s weekly staff meetings on Zoom and celebrated its success by comparing it to gambling websites, said three people who were on the call.
Mr. Kutcher said in a statement that his comment “was not intended to be a comparison of business models nor the experience Robinhood provides its customers” and that it referred “to the current growth metrics.” He added that he was “absolutely not insinuating that Robinhood was a gambling platform.”
ImageRobinhood’s co-founders and co-chief executives, Baiju Bhatt, left, and Vlad Tenev, created the company to make investing accessible to everyone. Robinhood’s co-founders and co-chief executives, Baiju Bhatt, left, and Vlad Tenev, created the company to make investing accessible to everyone.Credit...via Reuters Robinhood was founded by Mr. Tenev and Baiju Bhatt, two children of immigrants who met at Stanford University in 2005. After teaming up on several ventures, including a high-speed trading firm, they were inspired by the Occupy Wall Street movement to create a company that would make finance more accessible, they said. They named the start-up Robinhood after the English outlaw who stole from the rich and gave to the poor.
Robinhood eliminated trading fees while most brokerage firms charged $10 or more for a trade. It also added features to make investing more like a game. New members were given a free share of stock, but only after they scratched off images that looked like a lottery ticket.
The app is simple to use. The home screen has a list of trendy stocks. If a customer touches one of them, a green button pops up with the word “trade,” skipping many of the steps that other firms require.
Robinhood initially offered only stock trading. Over time, it added options trading and margin loans, which make it possible to turbocharge investment gains — and to supersize losses.
The app advertises options with the tagline “quick, straightforward & free.” Customers who want to trade options answer just a few multiple-choice questions. Beginners are legally barred from trading options, but those who click that they have no investing experience are coached by the app on how to change the answer to “not much” experience. Then people can immediately begin trading.
Before Robinhood added options trading in 2017, Mr. Bhatt scoffed at the idea that the company was letting investors take uninformed risks.
“The best thing we can say to those people is ‘Just do it,’” he told Business Insider at the time.
In May, Robinhood said it had 13 million accounts, up from 10 million at the end of 2019. Schwab said it had 12.7 million brokerage accounts in its latest filings; E-Trade reported 5.5 million.
That growth has kept the money flowing in from venture capitalists. Sequoia Capital and New Enterprise Associates are among those that have poured $1.3 billion into Robinhood. In May, the company received a fresh $280 million.
“Robinhood has made the financial markets accessible to the masses and, in turn, revolutionized the decades-old brokerage industry,” Andrew Reed, a partner at Sequoia, said after last month’s fund-raising.
Image Robinhood shows users that its options trading is free of commissions. Robinhood shows users that its options trading is free of commissions. Mr. Tenev has said Robinhood has invested in the best technology in the industry. But the risks of trading through the app have been compounded by its tech glitches.
In 2018, Robinhood released software that accidentally reversed the direction of options trades, giving customers the opposite outcome from what they expected. Last year, it mistakenly allowed people to borrow infinite money to multiply their bets, leading to some enormous gains and losses.
Robinhood’s website has also gone down more often than those of its rivals — 47 times since March for Robinhood and 10 times for Schwab — according to a Times analysis of data from Downdetector.com, which tracks website reliability. In March, the site was down for almost two days, just as stock prices were gyrating because of the coronavirus pandemic. Robinhood’s customers were unable to make trades to blunt the damage to their accounts.
Four Robinhood employees, who declined to be identified, said the outage was rooted in issues with the company’s phone app and servers. They said the start-up had underinvested in technology and moved too quickly rather than carefully.
Mr. Tenev said he could not talk about the outage beyond a company blog post that said it was “not acceptable.” Robinhood had recently made new technology investments, he said.
Plaintiffs who have sued over the outage said Robinhood had done little to respond to their losses. Unlike other brokers, the company has no phone number for customers to call.
Mr. Dobatse suffered his biggest losses in the March outage — $860,000, his records show. Robinhood did not respond to his emails, he said, adding that he planned to take his case to financial regulators for arbitration.
“They make it so easy for people that don’t know anything about stocks,” he said. “Then you go there and you start to lose money.”
(Bloomberg) — Syed Shah usually buys and sells stocks and currencies through his Interactive Brokers account, but he couldn’t resist trying his hand at some oil trading on April 20, the day prices plunged below zero for the first time ever. The day trader, working from his house in a Toronto suburb, figured he couldn’t lose as he spent $2,400 snapping up crude at $3.30 a barrel, and then 50 cents. Then came what looked like the deal of a lifetime: buying 212 futures contracts on West Texas Intermediate for an astonishing penny each.
What he didn’t know was oil’s first trip into negative pricing had broken Interactive Brokers Group Inc. Its software couldn’t cope with that pesky minus sign, even though it was always technically possible — though this was an outlandish idea before the pandemic — for the crude market to go upside down. Crude was actually around negative $3.70 a barrel when Shah’s screen had it at 1 cent. Interactive Brokers never displayed a subzero price to him as oil kept diving to end the day at minus $37.63 a barrel.
At midnight, Shah got the devastating news: he owed Interactive Brokers $9 million. He’d started the day with $77,000 in his account.
![BULLISH $SQ $DKNG $BA Option Plays [07/21/2020]](https://a.thumbs.redditmedia.com/-9mOImfyMqHjQZ4p-2qCT1L0DkweyVcZnkawcJ5NZP4.jpg "BULLISH $SQ $DKNG $BA Option Plays [07/21/2020]") | Recap submitted by iKalculated to wallstreetbets [link] [comments] Previous Research: https://www.reddit.com/options/comments/hrbexa/bullish_options_plays_24_month_horizon/?utm_source=share&utm_medium=web2x https://www.reddit.com/options/comments/huwfat/short_long_option_plays_07202020/?utm_source=share&utm_medium=web2x This post covers Option Plays for $SQ, $DKNG, $BA The time frame of these options are 3-6 months out, to avoid Theta burn and maximize ITM potential. The beauty of long plays is that the stock only needs to move a few % to be profitable, with a long time horizon as a hedge. Close the position within 2-4 months to minimize theta and maximize delta opportunity. I have also included a shorter time frame with higher risk/reward and lower premiums. Short plays are laid out, but not recommended. 1) Square, Inc $SQ [Information Technology Services] - BULLISH Square, Inc. engages in the provision of credit card payment processing solutions. It is a cohesive commerce ecosystem that helps sellers start, run, and grow their businesses. The firms sellers downloads the Square Point of Sale mobile app, they can quickly and easily take their first payment, typically within minutes. Bullish Square Case: The ongoing shift toward electronic payments has created, and will continue to create, room for acquirers to see strong growth without stealing share from each other. Ancillary services are becoming a more critical engine for growth and will help Square fully monetize its merchant client base and improve margins. Electronic payment growth is shifting overseas, and Square’s business model looks portable into international markets, as the company does not rely on a large local salesforce to attract merchants. $SQ profile, from FindMarketPlays early access platform In both previous research posts, I discussed the bullish case of Twitter hinging on a successful subscription platform. Source: https://www.theverge.com/2020/7/8/21317266/twitter-subscription-platform-codename-gryphon-job-listing Subscription platforms require a reliable payment processor. Guess who Dorsey is going to choose to process payments for Twitter's subscription platform? $SQ overlaid with $SHOP, following the same trajectory $SHOP is trading at a 69x Price to Revenue multiple, with -$1.16 EPS. $SQ is trading at a 11x Price to Revenue multiple, with $0.72 EPS. Not only is $SQ profitable, it is in a similar niche to $SHOP and has a huge growth opportunity with Twitter's subscription platform. Let's take a look at the unusual options activity scanner: $2 Million in $97.5 calls, expiring Aug 21. Earnings Aug 5 $190 Jan 15 Calls $100 Jan 15 Calls Big bullish bets on $SQ, notably dated around Jan 15. Coincidentally, that is the timeframe I pegged for $TWTR $40 Calls, and for the Subscription platform to be announced. Personal Experience: I set up a Shopify site for a girl I know who started a brick-and-mortar clothing store. She is... technologically challenged, to say the least. Guess what she used for payments in retail? Square. Even with Shopify's poor integration with Square, she stuck with it (Against my advice for inventory & tracking purposes). As states reopen, and smaller brick and mortars are back, farmers markets, carnivals, etc, expect growth from $SQ. I am eyeing a $118-$122 entry to incorporate the stock into my portfolio, and purchase options. With this information, I propose: Short Term Play [HIGH RISK]: SQ $130c Aug 7 2020, trading at $6.57 at time of writing. 41% Probability ITM. Earnings Aug 05 2020. Long Term Play: SQ $160c Jan 15 2021, trading $11.03 at time of writing. 23% Probability ITM 2) DraftKings, Inc $DKNG [Internet Software/Services] - BULLISH DraftKings, Inc. operates as a digital sports entertainment and gaming company. It provides online and retail sports wagering offerings, online daily fantasy contests and online casino games. $DKNG profile, from FindMarketPlays early access platform Currently, only 5 states have legal online gambling [Delaware, Nevada, New Jersey, Pennsylvania, and West Virginia]. 23 states have Sports Betting legal and or in legislation. From https://investmentu.com/sports-betting-stocks/ Focus on casino gambling! You can gamble at a casino whether there are sports on or not, and the following states are most likely to legalize online casino gambling in the next 12 months [based on legislation]:
Source: https://www.bettingusa.com/states/ $DKNG overlaid with $PENN, following the same trajectory 52 Week high for $DKNG is $44. With Americans sitting at home, legalizing online gambling makes sense financially for governments and to satiate the appetite of the restless, short-attention span population. Let's take a look at the unusual options activity scanner: A stream of bullish plays, ranging from $30 to $40, expiring July 24 and Aug 21. $DKNG is both a stock and option play. I am eyeing a $28-$30 entry to incorporate the stock into my portfolio, and purchase options. Personal Experience: A buddy of mine ran an (illegal) sports book in college, and netted 6 figures over the course of four years. Tons of potential tax dollars on the line. With this information, I propose: Short Term Play [HIGH RISK]: DKNG $40 Aug 21 2020, trading at $3.50 at time of writing. 36.5% Probability ITM. Earnings Aug 13 2020.\*21,690 open interest in this position, which would control 2.2 MILLION Shares*\** Long Term Play: DKNG $45c Jan 15 2021, trading $6.70 at time of writing. 28% Probability ITM 3) Boeing, Co $BA [Aerospace & Defense] - BULLISH Boeing is the cornerstone of millions of stock portfolios. I remember hawking the stock price while on vacation in Paris, when the plane crashed in March '19. My ex was pissed. I was more pissed for not picking up some stock and options when it bottomed around $100 a few months ago. Bullish Boeing case: Boeing has a large backlog that covers several years of production for the most popular aircraft, which gives us confidence in aggregate demand for aerospace products. Boeing is well-positioned to benefit from emerging market growth in revenue passenger kilometers and a robust developed market replacement cycle over the next two decades. We expect that commercial airframe manufacturing will remain a duopoly over the foreseeable future. We think customers will not have many options other than continuing to rely on incumbent aircraft suppliers. $BA profile, from FindMarketPlays early access platform COVID-19 has been a blessing in disguise for $BA. COVID-19 gifted $BA time, the most important thing they needed to fix their issues. Airlines are not flying, so it is excusable for $BA to have cancelled orders. Finally, as long as the oil-based dollar is the global currency, $BA will be in business selling weapons. $BA overlaid with $RTX, another major defense contractor. Despite the airline issues, $BA is tracking $RTX, because defense is where the big money is. Let's take a look at the unusual options activity scanner: $1.3 Million in $195 Sept 18 Calls $800K in $180 Aug 21 Calls Earnings is July 29th, but this is not an earnings play. The stock is consolidating in the $170-$180 range, a huge support and resistance in 2020. I am eyeing a $165-$170 entry to incorporate the stock into my portfolio, and purchase options. With this information, I propose: Short Term Play [HIGH RISK]: BA $200c Oct 16 2020, trading at $14.01 at time of writing. 31% Probability ITM. Long Term Play: BA $240c Jun 18 2021, trading $18.75 at time of writing. 20% Probability ITM Conclusion Based on my research, $SQ stands to gain from $TWTR news, $DKNG is poised to dominate online gambling, $BA is slowly recovering, and will not fail. TL,DR: Short Term Play [HIGH RISK]: SQ $130c Aug 7 2020, trading at $6.57 at time of writing. 41% Probability ITM. Earnings Aug 05 2020. DKNG $40 Aug 21 2020, trading at $3.50 at time of writing. 36.5% Probability ITM. Earnings Aug 13 2020.\*21,690 open interest in this position, which would control 2.2 MILLION Shares*\** BA $200c Oct 16 2020, trading at $14.01 at time of writing. 31% Probability ITM. Long Term Play: SQ $160c Jan 15 2021, trading $11.03 at time of writing. 23% Probability ITM DKNG $45c Jan 15 2021, trading $6.70 at time of writing. 28% Probability ITM BA $240c Jun 18 2021, trading $18.75 at time of writing. 20% Probability ITM Final Note: I will include the stock with the most mentions on this thread in my next analysis post. Will try to get to all your questions this time. This reddit post is not investment advice - do thorough research before ever investing. Platform used is FindMarketPlays. Check my profile for a Demo. Enter your email here to know when it launches: https://docs.google.com/forms/d/e/1FAIpQLSeUTcj420FlNTpk4Ynozlbi3CuxhaIu6HJkyHLxAfZpFfG37w/viewform?usp=pp_url |
![Bullish Options Plays [2-4 Month Horizon]](https://b.thumbs.redditmedia.com/27W9JezQtL38krzDa6PjogngDzlJV6k95uQsl-MWQUU.jpg "Bullish Options Plays [2-4 Month Horizon]") | This post covers 4 Bullish Option Plays across various industries. submitted by iKalculated to options [link] [comments] Criteria for selecting Bullish Options Plays:
1) Wells Fargo $WFC [BANKING] Wells just got hammered after an expected poor earnings. This makes it a prime candidate for upward movement. Bullish Wells Fargo Case: Wells has a history of prudent underwriting, and we are probably closer than not to a turn in the credit cycle. Wells Fargo's retail branch structure, advisory network, product offerings, and share in small and medium-size enterprises is difficult to duplicate, ensuring that the company's competitive advantage is maintained. Wells offers the scale advantages of a money center bank without the risks and volatility associated with extensive capital markets operations. Wells Fargo Profile, from my personal research platform Meets Criteria?
As a big 4 bank, it is impossible for the Fed to allow WFC to go down. They have a good balance sheet, with a P/E ratio of 8.9, down from 11. The lower P/E ratio alone will bring in more long-term investors. If that isn't enough to make you comfortable, WFC offers a whopping 8% dividend yield, making it even more attractive. This is an attractive investment for both options and stocks. Let's take a look at options on $WFC, which I found using my unusual options scanner: Big Bullish bets for October 16 2020, 2 days after their next earnings. More Bullish Bets on WFC for October 16 2020 These huge bets range from $25 to $30, 3 months down the line. This averages to a $2.5, or 11% increase over the next 3 months. With this information, I propose: WFC $27.50c Oct 16 2020, trading at $1.30 at time of writing. 24% Probability ITM. WFC $30c Oct 16 2020, trading $0.79 at time of writing. 16% Probability ITM. I am currently invested in $WFC stock, and hold the $30 Oct 16 Calls. 2) Twitter $TWTR [Technology] Twitter is poised to dominate with its huge reach and rumored subscription platform for content creators. Source: https://www.theverge.com/2020/7/8/21317266/twitter-subscription-platform-codename-gryphon-job-listing This is a buy the rumor, sell the news play. I anticipate Twitter announcing this platform in the next 3 months. Bullish Twitter Case: Investments in product enhancements and video content could return the monthly active user growth rate to the double digits. The deal with the NFL to live-stream Thursday night games and provide a platform for interaction and conversation about the games may attract more premium content providers to use the Twitter platform. Growth in ad revenue per user remains strong at Twitter, more than offsetting the deceleration in user growth. Twitter Profile, from my personal research platform Meets Criteria?
The value that $TWTR and $FB lost due to lack of advertiser revenue has been recouped. The arrival of a subscription service is very bullish, because more and more people are looking to make money online since being laid off by COVID - Twitter's reach makes it incredibly well positioned to solve this problem. Subscriptions made $MSFT and $AAPL cash cows, expect the same for $TWTR. This is an attractive investment for both options and stocks. Let's take a look at options on $TWTR, which I found using my unusual options scanner: Huge Bullish $TWTR bets for Jan 15, 2021 Huge Bullish $TWTR bets for Jan 15, 2021 Huge Bullish $TWTR bets for Jan 15, 2021 These bets were placed BEFORE COVID, and $TWTR is trading at the same price as when these were placed. The strikes range from $40 to $60, 6 months down the line. Taking a Strike of $40, that is 15% OTM of the current price. If they announce the platform within the next 6 months (I predict they will), the stock will explode. With this information, I propose: TWTR $40c Dec 18 2020, trading at $3.25 at time of writing. 28% Probability ITM. TWTR $40c Jan 15 2020, trading $3.45 at time of writing. 29% Probability ITM. Buying $40 Jan 15 2020 Calls are only $20 more for an extra month. Look to close these after their earnings next quarter, when they will likely announce the subscription platform. I am currently invested in $TWTR stock, and hold the $40 Dec 18 Calls. 3) Southwest Airlines $LUV [AIRLINES] Warren Buffet and COVID have caused investors to turn a nose up at airline stocks. I don't blame them - the uncertainty will affect airlines more than most other industries. That said, don't miss this opportunity to profit off Southwest Airlines, as they have the best balance sheet in the industry. Bullish Southwest Airlines Case: Southwest enjoys the strongest brand in the industry thanks to its simple fare prices, free checked bags, and solid customer service. This brand equity will enable it to continue growing faster than peers and support unit revenue. Mergers among Southwest's competitors will engender pricing power for the airlines, and oil prices will remain low for longer, boosting Southwest's top and bottom lines. Southwest's aggressive expansion will continue, driving growth at the carrier. Southwest Airlines Profile, from my personal research platform Meets Criteria?
$LUV is performing better than its competitors, with higher lows and higher highs when comparing the charts. With the best balance sheet, its exposure to oil has been proven to be overcome since the whole oil futures fiasco. They have been prepped for the second wave and are most likely to weather the storm out of all the airlines. My options scanner did not find any significant options data for $LUV. I propose: LUV $40c Dec 18 2020, trading at $3.05 at time of writing. 25% Probability ITM. LUV $40c Jan 15 2020, trading $3.40 at time of writing. 26% Probability ITM. I am currently invested in $LUV stock. 4) Ericsson $ERIC [Telecommunications Equipment] With growing tensions between the US and China, it is unlikely Huawei will be allowed to provide 5G infrastructure. The UK just announced that Huawei will NOT be providing 5G infrastructure, so Ericsson is poised to seize a huge market share. Bullish Ericsson case: Income sources could diversify as licensing revenue from 5G patents may grow through applications outside of Ericsson's handset manufacturer agreements. 5G may afford Ericsson a longer spending cycle and higher equipment demand than previous wireless generations. Additionally, 5G should create more use cases for Ericsson's software and services within Internet of Things device networks. Ericsson's turnaround measures are happening at an opportune time. Management's focused strategy should expand operating margins while 5G infrastructure spending increases top-line results. Ericsson Profile, from my personal research platform Meets Criteria?
$ERIC is poised to bank on 5G since Huawei is being punished in retaliation to Chinese handling of Hong Kong. Expect more growth as infrastructure expands and Apple announces their 5G line this fall. Source: https://www.businessinsider.com/apple-iphone-12-rumors-5g-release-camera-specs-2019-6 My options scanner did not find any significant options data for $ERIC. I propose: ERIC $11 Nov 20 2020, trading at $0.50 at time of writing. 25% Probability ITM. I am no longer invested in $ERIC stock - truly kicking myself for selling, because I had a great cost basis a year ago. Regardless, I am picking up these calls. Conclusion Based on my research, $WFC, $TWTR, $LUV, and $ERIC are poised for big gains over the next 2 quarters. All the plays have a 25% chance of being ITM, but do not need to be ITM to be extremely profitable. TL,DR: WFC $27.50c Oct 16 2020, trading at $1.30 at time of writing. 24% Probability ITM. WFC $30c Oct 16 2020, trading $0.79 at time of writing. 16% Probability ITM. TWTR $40c Dec 18 2020, trading at $3.25 at time of writing. 28% Probability ITM. TWTR $40c Jan 15 2020, trading $3.45 at time of writing. 29% Probability ITM. LUV $40c Dec 18 2020, trading at $3.05 at time of writing. 25% Probability ITM. LUV $40c Jan 15 2020, trading $3.40 at time of writing. 26% Probability ITM. ERIC $11 Nov 20 2020, trading at $0.50 at time of writing. 25% Probability ITM. |
 | *** Updated Research submitted by Bruticus91 to ASX_Bets [link] [comments] SWK provides an amazing opportunity to take advantage of the bull market in precious metals at an undemanding valuation with excellent operational momentum. Environment: Precious metals have had a phenomenal ride lately; both due to fear arising from COVID-19, and coordinated monetary policy stimulating economies at an unprecedented level. The graphic below shows the recent parabolic move in GLD (overshadowed by SLV) and reflecting upon the 08 crisis and the numerous QE policies that followed, this upward trajectory may continue further. GLD vs DJIA (2006-Present) With rises in commodity prices, the logical next step is to get some operating leverage and purchase the gold miners. No doubt, this second level thinking has been handsomely rewarded albeit encountering the sovereign and FX risks with many of the global miners domiciled in South Africa and Russia: DRDGold, Polyus and Polymetal (April 20 - Present) Since many of these miners are in the process of expanding production, cash flow won't be realised for several years and operating margins may not improve as much as managements' forecast (i.e. ASX: DAC). Further, since the market has drawn the logical connection between commodity prices and miners, these companies have run a very long way in the last few months. Company Overview: This is where SWK provides us with a cheaper and lower risk opportunity to gain access to this thematic. SWK provides drilling services to large miners of metals (i.e. nickel, silver, gold etc.) in US, Canada, Europe and Australia. Specifically, they use specialised drills to extract samples, which they analyse to then assess to the viability of a site. Increasing demand for mining exploration will, intuitively, increase drilling utilisation and drilling rates. SWK also entirely owns Orexplore, which provides mobile sample analysis to determine the characteristics of extracted cores. This improves the efficiency of examining the quality of a site by removing cost (transportation and storage), timing (it can be conducted on-site), and operational risk (damage in transit) all of which further benefit the mining co. and embed SWK into the exploration process. Competitive Advantage: SWK’s competitive advantage is being able to a world class cost effective and efficient underground drilling. For example, their development of DeepEX allows for longer hole from underground that are cheaper than many shorter surface holes. Their recent contract extension from BHP at Olympic Dam despite competitors (i.e. MSV and BLY) rigs being used onsite is testament to their value proposition. SWK has also invested heavily (~$25mn) into their Orexplore technology in an attempt to move up the value chain away from high-capital intensive drilling into a higher margin business. This technology removes significant operating expenses (employees and equipment), reduces lead time (can be built and shipped globally within 2 weeks), is very simple to use (technical training is not required), and most importantly, is currently being purchased for free and is the main catalyst in this investment (more on this later). Furthermore, SWK has made a concerted effort to increasingly diversify their product offering to different miners (with exposure to various commodities), and geographically. Their global and diversified footprint has provided them with a world-wide footprint, with costs to build their global business already incurred (most recently in Pogo – Alaska), further encouraging a buyout (more on this later). FY19 Financial Report H1 2020 Financial Report Catalyst and Valuation: Exit Options: The primary catalyst for a revaluation in SWK is a huge macroeconomic tailwind providing momentum that might facilitate a sale of the drilling business to a strategic buyer. Without doing too much crystal ball gazing, I view the exit opportunities as follows: 5% - Amazing sale of drilling business = >100%+ returns; 65% - Solid sale of drilling business = 50-100% returns; 20% - No sale and general re-rate = 25-50% returns; 10% - Languishing business and capital destruction = -25%-0% returns. Given management’s firm guidance towards the sale (https://www.openbriefing.com/OB/Swick-Mining-Services-Ltd/2020/2/25/Swick-HY20-Results-Conference-Call/3716.aspx at ~08:00) I will focus on our base case that entails: (i) selling or closing surface drilling business as it’s the lowest margin / weakest vertical; (ii) selling underground drilling business; and (iii) refocus towards Orexplore either through taking the business private, IPOing a new entity or rebranding SWK. Given shareholders have been frustrated with SWKs delay in progressing the business towards a sale and having difficulty commercialising Orexplore it has been important to wait for a noticeable inflexion point in the business to attempt to “time” entry as much as possible. Let’s see how the inflexion point is here beyond the macroeconomic environment above. Miners around the world are aggressively looking to expand their operations due to increasing commodity prices and SWK's services become front of mind. Recent news is ticking all the boxes and adding huge momentum in the stock to catalyse a re-rating.
ASX Announcement 1 ASX Announcement 1 ASX Announcement 2
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ASX Announcement 3b
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Valuation: Ok, so let’s turn our attention to the forward guidance and conservative estimates for SWK. SWK against mostly all metrics is very cheap. Management have forecast EBITDA to be ~$25mn in FY20. Although I think we can conservatively estimate this to grow significantly throughout FY21. The improvements to EBITDA will come from the following: (i) commercialisation of Orexplore = $0.5-1mn, (ii) ~$3-4mn in reaching steady state (20%) margin from the Pogo contract as costs normalise and backdated earnings flow through; (iii) ~$2mn in operating expense reduction during COVID-19; (iv) the $120m increase in the order book between 30 July and 14 August implies $120/5 = $24m p.a. at a slight discount to target margin of ~15% gives another $3.5mn EBITDA. Putting this all together FY21 EBITDA might be ~$35mn. In addition to the purchase of Deepcore, we can use the current valuation ratios of MSV and CAPD as a guide. Currently competitors trade between 3.5x (CAPD) and 4.5x (MSV) EV/EBITDA multiples. If we use 4x as a reasonable multiple on current EBITDA, this would imply an enterprise value of ~$100mn (or a 30% upside) whilst paying nothing for Orexplore. Upon conservative forward FY21 EBITDA figures, the enterprise value could easily reach ~$150 (or a 100% upside) again paying almost nothing (only $1mn / $35mn in EBITDA) for Orexplore. By way of reference, SWK with similar metrics in 2011/12 was trading at a ~100% premium (i.e. ~40c (market cap $90-110mn) whereas now it is ~$20 (market cap $50mn). A decade ago, it also did not have the same existing clientele and large-scale contract wins (see 3a above with a forward order book of $363mn (relative to current revenues of ~$150mn). The cherry on top of this investment is Orexplore, which we buy for free. None of the revenue and earnings multiples above include any real impact from Orexplore. On 14th August the commercial viability of Orexplore was been partially validated with their first contract win. Although its value is only $700,000 over 6 months this call option like payoff comes entirely for free. Further, the true profit margins of SWK has been hidden due to the losses incurred from Orexplore, which has to date cost $25mn in R&D (or equal to almost 10yrs of earnings), the amortisation of associated software development, and continued global expansion (Portugal and Europe before North America) each requiring initial costs prior to achieving target margins. Even better we get a first glimpse at how attractive Orexplore might be. Combining discussion in the latest conference call (https://www.openbriefing.com/OB/Swick-Mining-Services-Ltd/2020/2/25/Swick-HY20-Results-Conference-Call/3716.aspx 04:30 - 06:30) with the recent contract we can conclude the following: (i) 3 machines at Sandfire will generate ~$3.6mn in revenue covering approx. 50% of cash flow with nearly no operating expenses; (ii) $700,000 for 6months scanning 1500m of core per month implies ~$75/m (against an estimated $100m from guidance). As per guidance, if we assume Orexplore machines can scan ~$4m/hr ($300hr) and total costs may include one unskilled technician and minimal overheads ~$50mn this provides a gross margin of ~75% (or almost 4x undergrounding drilling). Due to the profitability of Orexplore, 15-20 operational machines on yearly contracts would provide greater earnings than SWK’s entire business. Hopefully the publicity of Orexplore at Sandfire can attract some attention, and in turn some additional contracts. Risks: No investment is without its risks, and for SWK they fall into: (i) capital mismanagement; and (ii) poor communication / delays. Firstly, the recent capital raise at ~23c followed by aggressive buybacks at ~12.5-14c-17c seems unwise. Although buying now avoids this dilution, it is unclear why excess capital was required if dividends and buybacks were announced shortly thereafter. Secondly, the share price has historically languished due to a lack of publicity and detail on the transformational Orexplore. It is likely that management were unwilling to oversell the Orexplore narrative before genuine contracts were won and the technology was established. Now that these are in place, hopefully the corporate restructure can take place and the upcoming strategic review can provide a clearer picture for the near term. |
| | Recap submitted by iKalculated to options [link] [comments] Previous Research: https://www.reddit.com/options/comments/hrbexa/bullish_options_plays_24_month_horizon/?utm_source=share&utm_medium=web2x https://www.reddit.com/options/comments/huwfat/short_long_option_plays_07202020/?utm_source=share&utm_medium=web2x This post covers Option Plays for $SQ, $DKNG, $BA The time frame of these options are 3-6 months out, to avoid Theta burn and maximize ITM potential. The beauty of long plays is that the stock only needs to move a few % to be profitable, with a long time horizon as a hedge. Close the position within 2-4 months to minimize theta and maximize delta opportunity. I have also included a shorter time frame with higher risk/reward and lower premiums. Short plays are laid out, but not recommended. 1) Square, Inc $SQ [Information Technology Services] - BULLISH Square, Inc. engages in the provision of credit card payment processing solutions. It is a cohesive commerce ecosystem that helps sellers start, run, and grow their businesses. The firms sellers downloads the Square Point of Sale mobile app, they can quickly and easily take their first payment, typically within minutes. Bullish Square Case: The ongoing shift toward electronic payments has created, and will continue to create, room for acquirers to see strong growth without stealing share from each other. Ancillary services are becoming a more critical engine for growth and will help Square fully monetize its merchant client base and improve margins. Electronic payment growth is shifting overseas, and Square’s business model looks portable into international markets, as the company does not rely on a large local salesforce to attract merchants. $SQ profile, from FindMarketPlays early access platform In both previous research posts, I discussed the bullish case of Twitter hinging on a successful subscription platform. Source: https://www.theverge.com/2020/7/8/21317266/twitter-subscription-platform-codename-gryphon-job-listing Subscription platforms require a reliable payment processor. Guess who Dorsey is going to choose to process payments for Twitter's subscription platform? $SQ overlaid with $SHOP, following the same trajectory $SHOP is trading at a 69x Price to Revenue multiple, with -$1.16 EPS. $SQ is trading at a 11x Price to Revenue multiple, with $0.72 EPS. Not only is $SQ profitable, it is in a similar niche to $SHOP and has a huge growth opportunity with Twitter's subscription platform. Let's take a look at the unusual options activity scanner: $2 Million in $97.5 calls, expiring Aug 21. Earnings Aug 5 $190 Jan 15 Calls $100 Jan 15 Calls Big bullish bets on $SQ, notably dated around Jan 15. Coincidentally, that is the timeframe I pegged for $TWTR $40 Calls, and for the Subscription platform to be announced. Personal Experience: I set up a Shopify site for a girl I know who started a brick-and-mortar clothing store. She is... technologically challenged, to say the least. Guess what she used for payments in retail? Square. Even with Shopify's poor integration with Square, she stuck with it (Against my advice for inventory & tracking purposes). As states reopen, and smaller brick and mortars are back, farmers markets, carnivals, etc, expect growth from $SQ. I am eyeing a $118-$122 entry to incorporate the stock into my portfolio, and purchase options. With this information, I propose: Short Term Play [HIGH RISK]: SQ $130c Aug 7 2020, trading at $6.57 at time of writing. 41% Probability ITM. Earnings Aug 05 2020. Long Term Play: SQ $160c Jan 15 2021, trading $11.03 at time of writing. 23% Probability ITM 2) DraftKings, Inc $DKNG [Internet Software/Services] - BULLISH DraftKings, Inc. operates as a digital sports entertainment and gaming company. It provides online and retail sports wagering offerings, online daily fantasy contests and online casino games. $DKNG profile, from FindMarketPlays early access platform Currently, only 5 states have legal online gambling [Delaware, Nevada, New Jersey, Pennsylvania, and West Virginia]. 23 states have Sports Betting legal and or in legislation. From https://investmentu.com/sports-betting-stocks/ Focus on casino gambling! You can gamble at a casino whether there are sports on or not, and the following states are most likely to legalize online casino gambling in the next 12 months [based on legislation]:
Source: https://www.bettingusa.com/states/ $DKNG overlaid with $PENN, following the same trajectory 52 Week high for $DKNG is $44. With Americans sitting at home, legalizing online gambling makes sense financially for governments and to satiate the appetite of the restless, short-attention span population. Let's take a look at the unusual options activity scanner: A stream of bullish plays, ranging from $30 to $40, expiring July 24 and Aug 21. $DKNG is both a stock and option play. I am eyeing a $28-$30 entry to incorporate the stock into my portfolio, and purchase options. Personal Experience: A buddy of mine ran an (illegal) sports book in college, and netted 6 figures over the course of four years. Tons of potential tax dollars on the line. With this information, I propose: Short Term Play [HIGH RISK]: DKNG $40 Aug 21 2020, trading at $3.50 at time of writing. 36.5% Probability ITM. Earnings Aug 13 2020.\*21,690 open interest in this position, which would control 2.2 MILLION Shares*\** Long Term Play: DKNG $45c Jan 15 2021, trading $6.70 at time of writing. 28% Probability ITM 3) Boeing, Co $BA [Aerospace & Defense] - BULLISH Boeing is the cornerstone of millions of stock portfolios. I remember hawking the stock price while on vacation in Paris, when the plane crashed in March '19. My ex was pissed. I was more pissed for not picking up some stock and options when it bottomed around $100 a few months ago. Bullish Boeing case: Boeing has a large backlog that covers several years of production for the most popular aircraft, which gives us confidence in aggregate demand for aerospace products. Boeing is well-positioned to benefit from emerging market growth in revenue passenger kilometers and a robust developed market replacement cycle over the next two decades. We expect that commercial airframe manufacturing will remain a duopoly over the foreseeable future. We think customers will not have many options other than continuing to rely on incumbent aircraft suppliers. $BA profile, from FindMarketPlays early access platform COVID-19 has been a blessing in disguise for $BA. COVID-19 gifted $BA time, the most important thing they needed to fix their issues. Airlines are not flying, so it is excusable for $BA to have cancelled orders. Finally, as long as the oil-based dollar is the global currency, $BA will be in business selling weapons. $BA overlaid with $RTX, another major defense contractor. Despite the airline issues, $BA is tracking $RTX, because defense is where the big money is. Let's take a look at the unusual options activity scanner: $1.3 Million in $195 Sept 18 Calls $800K in $180 Aug 21 Calls Earnings is July 29th, but this is not an earnings play. The stock is consolidating in the $170-$180 range, a huge support and resistance in 2020. I am eyeing a $165-$170 entry to incorporate the stock into my portfolio, and purchase options. With this information, I propose: Short Term Play [HIGH RISK]: BA $200c Oct 16 2020, trading at $14.01 at time of writing. 31% Probability ITM. Long Term Play: BA $240c Jun 18 2021, trading $18.75 at time of writing. 20% Probability ITM Conclusion Based on my research, $SQ stands to gain from $TWTR news, $DKNG is poised to dominate online gambling, $BA is slowly recovering, and will not fail. TL,DR: Short Term Play [HIGH RISK]: SQ $130c Aug 7 2020, trading at $6.57 at time of writing. 41% Probability ITM. Earnings Aug 05 2020. DKNG $40 Aug 21 2020, trading at $3.50 at time of writing. 36.5% Probability ITM. Earnings Aug 13 2020.\*21,690 open interest in this position, which would control 2.2 MILLION Shares*\** BA $200c Oct 16 2020, trading at $14.01 at time of writing. 31% Probability ITM. Long Term Play: SQ $160c Jan 15 2021, trading $11.03 at time of writing. 23% Probability ITM DKNG $45c Jan 15 2021, trading $6.70 at time of writing. 28% Probability ITM BA $240c Jun 18 2021, trading $18.75 at time of writing. 20% Probability ITM Final Note: I will include the stock with the most mentions on this thread in my next analysis post. Will try to get to all your questions this time. This reddit post is not investment advice - do thorough research before ever investing. Platform used is FindMarketPlays. Check my profile for a Demo. Enter your email here to know when it launches: https://docs.google.com/forms/d/e/1FAIpQLSeUTcj420FlNTpk4Ynozlbi3CuxhaIu6HJkyHLxAfZpFfG37w/viewform?usp=pp_url |
![Bullish Option Plays for you [Various Industries]](https://b.thumbs.redditmedia.com/OjT47vAk8_LCfRyUAsi0Cwt2L7PU4936fKPzf54oJiQ.jpg "Bullish Option Plays for you [Various Industries]") | This post covers 4 Bullish Option Plays across various industries. submitted by iKalculated to wallstreetbets [link] [comments] Criteria for selecting Bullish Options Plays:
1) Wells Fargo $WFC [BANKING] Wells just got hammered after an expected poor earnings. This makes it a prime candidate for upward movement. Bullish Wells Fargo Case: Wells has a history of prudent underwriting, and we are probably closer than not to a turn in the credit cycle. Wells Fargo's retail branch structure, advisory network, product offerings, and share in small and medium-size enterprises is difficult to duplicate, ensuring that the company's competitive advantage is maintained. Wells offers the scale advantages of a money center bank without the risks and volatility associated with extensive capital markets operations. Wells Fargo Profile, from my personal research platform Meets Criteria?
As a big 4 bank, it is impossible for the Fed to allow WFC to go down. They have a good balance sheet, with a P/E ratio of 8.9, down from 11. The lower P/E ratio alone will bring in more long-term investors. If that isn't enough to make you comfortable, WFC offers a whopping 8% dividend yield, making it even more attractive. This is an attractive investment for both options and stocks. Let's take a look at options on $WFC, which I found using my unusual options scanner: Big Bullish bets for October 16 2020, 2 days after their next earnings. More Bullish Bets on WFC for October 16 2020 These huge bets range from $25 to $30, 3 months down the line. This averages to a $2.5, or 11% increase over the next 3 months. With this information, I propose: WFC $27.50c Oct 16 2020, trading at $1.30 at time of writing. 24% Probability ITM. WFC $30c Oct 16 2020, trading $0.79 at time of writing. 16% Probability ITM. I am currently invested in $WFC stock, and hold the $30 Oct 16 Calls. 2) Twitter $TWTR [Technology] Twitter is poised to dominate with its huge reach and rumored subscription platform for content creators. Source: https://www.theverge.com/2020/7/8/21317266/twitter-subscription-platform-codename-gryphon-job-listing This is a buy the rumor, sell the news play. I anticipate Twitter announcing this platform in the next 3 months. Bullish Twitter Case: Investments in product enhancements and video content could return the monthly active user growth rate to the double digits. The deal with the NFL to live-stream Thursday night games and provide a platform for interaction and conversation about the games may attract more premium content providers to use the Twitter platform. Growth in ad revenue per user remains strong at Twitter, more than offsetting the deceleration in user growth. Twitter Profile, from my personal research platform Meets Criteria?
The value that $TWTR and $FB lost due to lack of advertiser revenue has been recouped. The arrival of a subscription service is very bullish, because more and more people are looking to make money online since being laid off by COVID - Twitter's reach makes it incredibly well positioned to solve this problem. Subscriptions made $MSFT and $AAPL cash cows, expect the same for $TWTR. This is an attractive investment for both options and stocks. Let's take a look at options on $TWTR, which I found using my unusual options scanner: Huge Bullish $TWTR bets for Jan 15, 2021 Huge Bullish $TWTR bets for Jan 15, 2021 Huge Bullish $TWTR bets for Jan 15, 2021 These bets were placed BEFORE COVID, and $TWTR is trading at the same price as when these were placed. The strikes range from $40 to $60, 6 months down the line. Taking a Strike of $40, that is 15% OTM of the current price. If they announce the platform within the next 6 months (I predict they will), the stock will explode. With this information, I propose: TWTR $40c Dec 18 2020, trading at $3.25 at time of writing. 28% Probability ITM. TWTR $40c Jan 15 2020, trading $3.45 at time of writing. 29% Probability ITM. Buying $40 Jan 15 2020 Calls are only $20 more for an extra month. Look to close these after their earnings next quarter, when they will likely announce the subscription platform. I am currently invested in $TWTR stock, and hold the $40 Dec 18 Calls. 3) Southwest Airlines $LUV [AIRLINES] Warren Buffet and COVID have caused investors to turn a nose up at airline stocks. I don't blame them - the uncertainty will affect airlines more than most other industries. That said, don't miss this opportunity to profit off Southwest Airlines, as they have the best balance sheet in the industry. Bullish Southwest Airlines Case: Southwest enjoys the strongest brand in the industry thanks to its simple fare prices, free checked bags, and solid customer service. This brand equity will enable it to continue growing faster than peers and support unit revenue. Mergers among Southwest's competitors will engender pricing power for the airlines, and oil prices will remain low for longer, boosting Southwest's top and bottom lines. Southwest's aggressive expansion will continue, driving growth at the carrier. Southwest Airlines Profile, from my personal research platform Meets Criteria?
$LUV is performing better than its competitors, with higher lows and higher highs when comparing the charts. With the best balance sheet, its exposure to oil has been proven to be overcome since the whole oil futures fiasco. They have been prepped for the second wave and are most likely to weather the storm out of all the airlines. My options scanner did not find any significant options data for $LUV. I propose: LUV $40c Dec 18 2020, trading at $3.05 at time of writing. 25% Probability ITM. LUV $40c Jan 15 2020, trading $3.40 at time of writing. 26% Probability ITM. I am currently invested in $LUV stock. 4) Ericsson $ERIC [Telecommunications Equipment] With growing tensions between the US and China, it is unlikely Huawei will be allowed to provide 5G infrastructure. The UK just announced that Huawei will NOT be providing 5G infrastructure, so Ericsson is poised to seize a huge market share. Bullish Ericsson case: Income sources could diversify as licensing revenue from 5G patents may grow through applications outside of Ericsson's handset manufacturer agreements. 5G may afford Ericsson a longer spending cycle and higher equipment demand than previous wireless generations. Additionally, 5G should create more use cases for Ericsson's software and services within Internet of Things device networks. Ericsson's turnaround measures are happening at an opportune time. Management's focused strategy should expand operating margins while 5G infrastructure spending increases top-line results. Ericsson Profile, from my personal research platform Meets Criteria?
$ERIC is poised to bank on 5G since Huawei is being punished in retaliation to Chinese handling of Hong Kong. Expect more growth as infrastructure expands and Apple announces their 5G line this fall. Source: https://www.businessinsider.com/apple-iphone-12-rumors-5g-release-camera-specs-2019-6 My options scanner did not find any significant options data for $ERIC. I propose: ERIC $11 Nov 20 2020, trading at $0.50 at time of writing. 25% Probability ITM. I am no longer invested in $ERIC stock - truly kicking myself for selling, because I had a great cost basis a year ago. Regardless, I am picking up these calls. Conclusion Based on my research, $WFC, $TWTR, $LUV, and $ERIC are poised for big gains over the next 2 quarters. All the plays have a 25% chance of being ITM, but do not need to be ITM to be extremely profitable. TL,DR: WFC $27.50c Oct 16 2020, trading at $1.30 at time of writing. 24% Probability ITM. WFC $30c Oct 16 2020, trading $0.79 at time of writing. 16% Probability ITM. TWTR $40c Dec 18 2020, trading at $3.25 at time of writing. 28% Probability ITM. TWTR $40c Jan 15 2020, trading $3.45 at time of writing. 29% Probability ITM. LUV $40c Dec 18 2020, trading at $3.05 at time of writing. 25% Probability ITM. LUV $40c Jan 15 2020, trading $3.40 at time of writing. 26% Probability ITM. ERIC $11 Nov 20 2020, trading at $0.50 at time of writing. 25% Probability ITM. |
Automated trading software allows you to trad based on preset parameters. Benzinga takes an in-depth look at some of the best softwares for 2020. margin trading and short-selling. Webull’s Margin Trading: In the stock market, margin trading refers to the process whereby individual investors buy more stocks than they can afford to. Margin trading also refers to intraday trading in India and various stock brokers provide this service. Margin trading involves buying and selling of securities in one single session. Over time, Real Time Activity Monitoring Software. Real-time Monitoring. Unlike other brokers who calculate margin only at the end of the trading day, IB provides real-time data that gives you the edge you need to react quickly to the markets. The Margin Requirements section of the Account window allows you to understand your trading risk at any moment of Our customized margin trading crypto exchange development services are focused on delivering feature-rich & highly-secure crypto leverage trading exchange to businesses planning to develop leverage and margin trading software. The reality is that margin trading is an inherently risky strategy that can transform even the safest blue-chip stock purchase into a high-stakes gamble. It allows aggressive traders—both individuals and institutions—to buy more shares than they could otherwise afford.
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Free Crypto Trading Software for trading on Binance, Bittrex, and Kucoin. Futures and Margin Trading coming soon. Skip to Topics Below, click SHOW MORE. Bots will be offered with stop orders ... An automated, secure and easy to use trading terminal designed exclusively for Bitcoin and cryptocurrency traders. Check out our free demo: https://margin.io This video reviews common questions for futures traders including the role of commission in overall trading costs, the impact of leverage on margin requirements, and identifying a risk tolerance ... Click Here to Get a Free Stock (you must deposit $100) - https://act.webull.com/kol-us/share.html?hl=en&inviteCode=evOL9JOlHFh4 Whether you are brand new to ... Do's & Dont's (Tips) of Intraday Trading in NSE Explained in Hindi - pivottrading.co.in - Duration: 48:07. Sourabh Gandhi Zerodha Upstox Aliceblue Partner 96,632 views 48:07