27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.
SolarCity Corp (NASDAQ: SCTY) shares were trading sharply higher by $3.17 (6 percent) at $55.32 in Monday's session. The only relevant news in the volatile sector is a deal by SunEdison (NASDAQ: SUNE) and TerraFrom Power Inc (NASDAQ: TERP) to acquire Vivint Solar (NYSE: VSLR) at a 40 percent plus premium to Friday's closing price ($10.88).
Despite the huge premium being paid, the takeout price is in the same area as its IPO of price of $16.
See Also: SunEdison, TerraForm Are Buying Vivint Solar
With a merger in the sector, investors may be anticipating SolarCity as a candidate for a merger or takeover. Interestingly, other issues in the solar sector, First Solar (NASDAQ: FSLR) and Trina Solar (NYSE: TSL) are not responding in the same fashion as SolarCity shares.
After a sharply higher open ($55.01 vs. Friday's close of $52.15), it surged to $56.28 before falling back under $56. That marks the highest level for the issue since it peaked on June 26 at $56.71.
It should be noted today's rally is taking place on much higher than average volume. So far, it has traded 2.5 million shares compared with 20-day average of only 1.9 million with over four hours remaining in the session.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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