Here's the last 3 months that work:
Sep: Sell $9 puts $10 calls
Oct: Sell $8 puts $9 calls
Nov: Sell $9 puts $10 calls
For Dec, I think we'll move to $10 put, $11 calls area.
JASO now is bullish and moving to above $10 in 3 weeks time shouldn't be a problem.
Good luck everyone! Stay long and strong!
Next year, we'll see $12-13-14 soon.
I gave you a thumbs up..
But, I do think TheStreet people are foolishly wrong because of timing.
They put a SELL rating when the stock is down at low price (below $8).
They put a HOLD rating when the stock is above $9 (like now).
Guess when they will put a BUY rating? Perhaps when the stock is above $10.
So, when everyone sells (or take profit) at $10, they will suggest BUY.
TheStreet seems to advising people to SELL at LOW price, BUY at HIGH price.
Crazy isn't it?
There are TWO big resistance levels from last month sell off:
8.65 which is the 50ma
9.65 which is the 200ma.
Once it gets over these two, it will easily move back to $10.
JASO needs another strong gap up to jump over 8.65 by this week.
Again, DO NOT SELL here... DO NOT EVEN TAKE profit here.
Heck, my average is around 7.35 after all the PUTs and CALLs I've sold from last month. Still not selling here. Holding about 10K shares.
What an incredible day. The shorts are covering now.
Again, DO NOT SELL here..
It needs to move back above $10 or higher by next week, heck should go back to $11/$12 by end of the year.
I compared JASO with TSL, YGE, SPWR, FSLR, and CSIQ.
Granted, it wasn't fair when there is no positive earnings but this 3rd quarter, JASO finally has net profits and going forward, we will continue to see positive earnings and given its business outlook.
JASO is undervalue here.. and I think within a year or so, we could see JASO doubled (to around $16). My 6 months target for JASO is around 12-13 provided we have to same level of earnings growth for next quarter.
Last month, I've lowered my target to short $8 put and short $9 covered calls due to the rout on Solar stocks (not just JASO specifically). Going to expire this week.
I think it will work.
JASO now is very cheap with the better earnings. PE is extremely low compared to its peers.
If it can get over $9 by end of this week, I buy back the commons.
For the past 6-7 months, it has worked (sell the $10 call, sell the $9 puts).
But in October, it has changed. Everything is ratcheted down by $1 because of the market condition.
Even sold $8 puts are exercised (because of Friday closed at 7.95, so darn close)!
So, traders should be aware. Not that earnings have change but market condition certain have change.
IMO, price target for next month options should also change as you adapt to trade this.
Therefore, I'm selling the $9 calls and $8 puts for next month expiration.
JASO got crushed much earlier than the rest of the market but today..with DOW at -3 digits
JASO didn't go much lower than before. So, this is a good sign. Let it stay here and consolidate.
I think it will slowly form a base here.
There's a small capitulation at 7.10,, flushed to 7.02. Buyers step in.
Mid term buyers are waiting for prices to creep back up to last support at $8.
Below $8, it is at penalty zone. No action needed. Let the big boys sort it out.
Battle of bears and bulls.. Bears won big time in October.
Let see if it can recover back above 7.52 by end of day.. it will be good sign it happens.
Stay the course...Capitulation will be here soon. All solar stocks are taken down because of Oil.
A lot of oil companies have gone down ahead of Solar stocks and they're down even more.
If you're still long, DO NOT sell here.
If you want to get some, at $7.15 is very cheap here.. get some if you've some cash but put a stop at $7, risking only 15c.
Sentiment: Strong Buy
Haven't seen 7.xx for more than 12 months.. just like SP500, haven't seen the 200MA for almost 2 years. That's ok. BUY here and hold. This week will be the monthly expiration. If it it still under $8 by Friday, it will be the first time it happen since more than 12 months.
JASO is undervalue now because it is trading as if the entire last 3Q earnings didn't happen.
It may take one or two more sessions for it to bottom out here at the low 8 level.
EVERYone is watch the SP500 to test the 200MA level. So, let see what happens.
It wants to... so it may just dive a bit more. There will be 2nd chance for those who hasn't bought at 8 or below here. I grabbed a bit more.. .now at 120%. Opps.. that's not good but I'll release back some on the next bounce up and back to full position with lower average later.