Options/Futures
Go RVing for a Profit
I do not know about you, but there is something about a Winnebago(WGO) that just says "America" to me. Maybe it's because they are big, maybe it's because they are powerful or it could be because it's only in America that we would figure out how to combine the house and the truck!
What does this have to do with trading? WGO options are sparsely traded so when a trade goes up I take notice. A customer bought 1000 of the WGO Oct 7.5/10 call spread for $1.45. The company will announce earnings prior to October expiration and this play is bullish for the stock and collects premium, which is always a nice combo.
I would follow the customer and look to buy the WGO October 7.5/10 call spread for $1.45 with the stock around $9.05. If the spread falls below $1.00, I am out. I want to sell if the spread expands to $2.20, a return of 50%.
Trades: Buy to open WGO October 7.5 calls for $1.95, sell to open WGO October 10 calls at $0.55 or better.
TheStreet Premium Services
Jim Cramer's Action Alerts PLUS:
Trade right alongside a Wall Street pro — enjoy access to his Charitable Trust portfolio and be sent trade alerts BEFORE he makes a move. Learn More
OptionsProfits:
Get 50+ trade ideas a week from the industry's top options experts. Plus — exclusive commentary on market trends and essential trading tools. Learn More
Real Money:
Our team of professional Wall Street Pros — including Jim Cramer, Doug Kass, and Nicholas Vardy — delivers intelligent analysis, timely trade ideas, and colorful commentary. Learn More
Stocks Under $10:
Break into the market with small- and mid-cap stocks... all $10 or less! David Peltier tells you exactly which low-priced stocks he's buying and selling. Learn More| Dow Jones | S&P 500 | NASDAQ | 10-Year Note |
|
|---|---|---|---|---|
| 12,454.83 | 1,317.82 | 2,837.53 | 17.45 |
Oil *
107.57
|
|
DOWN
74.92 |
DOWN
2.86 |
DOWN
1.85 |
DOWN
0.14 |
10 Yr
1.74%
SPDR Gold
152.68
|
|
-0.60%
|
-0.22%
|
-0.07%
|
-0.80%
|
Data delayed 20 minutes |
Connect with TheStreet