Not too long ago it fell to $26 on downgrades.
But we said .."WE have seen this movie before....now up $18 from that low.
70 million/ 5.75 billion = 1.2% shares trade of outstanding total.
This puts everything in prospective
So how does 60 to 70 million shares a day move this stock.
Hedge Funds time their trades for slow periods of trade. They look at stop losses; figure how many shares it takes to nose dive a stock.
If you buy options ( i never suggest to) and the stock runs you can sell a higher strike price in the same time frame to recoup your initial principle, giving you a free play with "limited" upside.
Most sell half to do the same after a move
no move out into AUG calls...earnings are in AUG time frame.
Then if the stock runs..sell strike prices above $135 to recoup principle....then you have a free play
it is undervalued just over traded.
1. It puts everyone on a level playing filed.
it is FREE SPEECH...no conspiracy or collusion.
It is when people get cute is when they get in trouble!
this party has no worries...
giveaway at $130 + $9 - $10 = $140
Will pocket AAPL ,52 quarterly cash dividend for three quarters...$1.56
$1.56 + $10 = $11.56/$130 = 8.89%
other post was 9.6%return based on $127 purchase/ market price
this is a strategy for any stock under $5.
I have posted this so many times over the past 17 years...
I really should write a book like the two brothers did
If and when this rallies..many you can lock in profits by selling an out of the money future covered call. this will allow you to enjoy future stock appreciation but lock in the paper gain.
Here is an example:
you own the stock at $2...stock runs to $5+..
You can sell a future $5 call for $2+...now your giveaway is $7...you put $2 in your pockets...if the stock pulls back,,,who cares!
some will buy calls before ASCO.....
if the stock runs they can lock in profits by selling the calls and holding the stock and doing the same thing above or nothing