Thursday, May 1, 2014

Thursday's Prospects: Round 2

Three symbols survived my first round of analysis, one each from the mid-/large-cap, small-cap and over-the-counter lists. See "Thursday's Prospects" for details of the first round.

The small-cap symbol, XUE, sent a bear signal, but it has insufficient open interest on its options for me to construct a bear position.

The two remaining symbols have equally bullish charts. Large-cap GILD has highly liquid options, providing a chance for leverage, and over-the-counter LZAGY has no options.

An easy choice. Liquid options trump shares any day in my book. I'll do a full analysis of GILD before the closing bell today.


My shorter-term trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here.

Tim Bovee, Private Trader tracks the analysis and trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.
No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decisions for his or her own account, and take responsibility for the consequences.

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