Tuesday, December 23, 2014

Tuesday's Finalist

CSCO alone made it into the final rounds of analysis. Of the other four surviving the early round, RCPT failed confirmation, and AIV, AMAT and DEI were trending counter to their trading signals. (See "Tuesday's Prospects".)

The bid/as spread on CSCO is quite narrow and totally meets my guidelines.

However, the implied volatility is on the low side. These days I'm looking for high volatility symbols that I can trade as options spreads sold for a credit and expiring in a few weeks.

CSCO publishes earnings on Feb. 11. If volatility rises in the interim, then there shall be an opportunity to consider it as a play keyed to the earnings announcement.

-- Tim Bovee, Portland, Oregon, Dec. 23, 2014


My shorter-term trading rules can be read here. My longer-term trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here. My volatility trading rules 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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All content on Tim Bovee, Private Trader by Timothy K. Bovee is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Based on a work at www.timbovee.com.

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