Speculative options trading

Guide for the Speculative Trader | OptionsPlay

There was a big move on Monday in one of my favorite stocks, Ashford Hospitality Trust NYSE: It may not signify anything, but it does create an opportunity to profit from further moves in either direction. Knowing that you have that dividend coming in, you can use all or a portion of the 64 cents per share to buy May 10 puts and calls.

The May strike calls are trading at around 35 cents per share, and the May 10 puts are trading at roughly 85 cents. MCD covered-call situation here.

They are also rolling out their new McBakery product line, and I expect this to do just as well as their coffee products have. This means a whole new market for them.

Has anyone else noticed how Citigroup NYSE: C has been blasting higher as of late? The bank is separating its toxic assets from the rest of its operations, which is why Bill Ackman purchased a huge chunk of the company.

The market has found its faith again in this name.

Speculation

This strategy is limited risk losses are capped at the premium paid with big potential upside. Finally, have a look at Sanofi NYSE: He is president of PDL Capital, Inc.

Speculative Options Trading / Simple Trick To Increase Winning.

You can read his stock market commentary at SeekingAlpha. He also has written two books. Article printed from InvestorPlace Media, http: Financial Market Data powered by FinancialContent Services, Inc.

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