Dykstra: Novartis an Elixir in Queasy Market

With much of the business world expected to be on hiatus for the last official week of summer, many expected a largely uninteresting week. However, Tuesday became interesting after the Federal Reserve released its minutes and the market turned quickly south.

In times like these, it pays to keep faithful to the deep-in-the-money call strategy. DITM calls still leave four to seven months to allow the market to accommodate any short-term fluctuations. Within that time, assuming we make prudent selections, our stocks will enjoy at least one quick move upward on which we can capitalize.

Lately I have focused on raw materials and pharmaceutical companies because these industries provide value for investors, in addition to steady income.

Regardless of various macroeconomic developments, people need their medicines. So now is a great time to invest in Novartis(NVS Quote), which closed at $52.20 on Tuesday. ...