27% profit every 20 days?
This is what Nic Chahine averages with his option 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.
- Shares of United States Steel Corporation (NYSE: X) have declined 71.5 percent over the past year, almost touching their 52-week low on Wednesday at $6.67.
- Argus’ David Coleman has downgraded the rating on the company to Hold.
- The downgrade is based on the weak outlook for 2016, with Coleman expecting the company to continue to face challenges through the year.
Analyst David Coleman believes that the shares “could fall toward $4 if commodity prices continue to trend lower over the next few months.”
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United States Steel reported adjusted net loss of $33 million or $0.23 per share, meaningfully below the adjusted net profit reported for the year-ago quarter.
The company’s shares have been range bound over the past year between $6 and $27 and are currently trading near the bottom of this range.
“From a technical standpoint, the shares are in a bearish pattern of lower highs and lower lows that dates to September 2014, and that has tracked the free fall in commodity prices during this period,” Coleman noted.
Going forward, the stock is expected to follow the commodity price trends, which are yet to stabilize. If commodity prices trend lower, the share price could decline towards $4 but if commodity prices were to stabilize, the stock could move back toward the $8-$10 range.
27% profit every 20 days?
This is what Nic Chahine averages with his option 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.