Saturday, October 1, 2011

Leveraged ETFs (3 Oct 11): ERY

Look for a bullish market where a rise in the price of the stock is anticipated.
Direxion Energy Bear 3X (ERY) $22.98
Profit Target (20%): $27.60  
Trailing-Stop (ATR x 2): $4.04

Traditional ETFs (3 Oct 11): TLT

Look for a bullish market where a rise in the price of the stock is anticipated.
iShares 20+ Year Treas Bond (TLT) $120.80
Profit Target (15%): $138.95 
Trailing-Stop (ATR x 2): $4.70

Long Call (3 Oct 11): TLT

This strategy is used when you anticipate an increase in the price of the stock.
TLT  $120.80
Buy to Open (1) Jan 12 120 C @ $5.95 
Net Debit: $5.95 ($595.00)
Profit Target (50%): $8.90 ($890.00)
Stop-Loss Point (50%): $3.00 ($300.00)