Javascript DHTML Drop Down Menu Powered by Drop Down Menu
FullyInformed.com - Options and Stock Strategies For Income

SignUp For Updates 

  You are here:


Bookmark and Share

 

 

 
Trade Anatomy
Charities Are An Industry
Fed Understatement - Defying Logic
A Personal Comment On RIM
Exxon - Patience Is A Strategy
VISA - Risk Against Reward
Microsoft- Reverse Put Ladder
Research In Motion - Not For Investing
Thank You Ben Bernanke
Greek Debt Crisis
Dividend Stocks That Cut Dividends
The Cautious Bull Strategy
Defensive Stock Investing

Spreads VS Selling Puts

Thank You Tax Man
What Next For Research In Motion Stock

Latest Microsoft Stock Report

April Options Results
Comparing The Bear Markets Of 2000 to 2003 and 2007 to 2009
Microsoft Puts Are Better Than Gold
Dance Near The Exit
How I Treat My Investing Like A Business
Microsoft - The Ultimate Utility Stock
The Value Of A Plan
Staying In The Game
It's All About Oil
Market Trend: Still Up - But Watch For June

 

Jan 24 2011 / Stock - Johnson and Johnson - Stock Symbol JNJ

Stuck In A Range

 
 

JNJ STOCK - What A Great Performer

What a great performer. Anyone who is buying JNJ for capital gain may wait a while. The stock has been stuck in this trading range since November. MACD indicates sideways momentum in the stock. My strategy remains to stay at the $62.50 and $65 levels. If the stock should rally which I expect it eventually will, and retest the November Highs, I may then close my $65 naked puts and wait to see if the stock can hold at a higher valuation. If someone was worried about being assigned, then the $60 strike is the best place to be, but the premiums are low, since the volatility is low. I want to keep selling at the money for the biggest premiums as my eventual goal is to own shares, but with other's peoples' capital. 

Today I sold the $62.50 put again. The strategy is to sell one or two months out and wait for the premium to evaporate in the put, buy it back for .15 or .20 cents and roll again. I have plenty of capital free in the event that the trend breaks to the downside and I can write calls back to the 57.50 level.

JNJ Stock - Nov 2010 to Jan 2011

 

 
 

 
 

Disclaimer: There are considerable risks involved in all investment strategies. Trade at your own risk.
Stocks, options and investing are risky and can result in considerable losses. None of the strategies, stocks or information discussed or presented are financial advice, trading advice or recommendations. Fullyinformed.com is a private website. Everything presented and discussed are the author's ideas and opinions only.
By using this site, you agree to be bound by its terms of use. The full terms of use can be read here. If you do not agree to the terms of use, do not use this site. The author of fullyinformed.com assumes no liability for topics and ideas discussed, errors and omissions, ads and their content and external links. Any corporate insignia used are registered trademarks of their respective company or corporation and are being used for identification purposes only. All material copyrighted by FullyInformed.com. Reproduction in whole or in part prohibited. Copyright 2008

 |  site map  |  privacy policy  |  contact me  |  subscribe  |  exchange links  |  the author of fullyinformed  |