Mid-Week Options Round Up: TSLA, CNC

It is Wednesday and I find it expedient to review some of our recent options trades within the last one week. Today, we’ll reexamine Tesla (TSLA) option trades from June 9 and Centene (CNC) option trades from yesterday.

Tesla Options Trade

On June 9, we covered a TSLA call option trade in a post titled “All Eyes are on the Shareholder Meeting“. In the post, we talked about how the options of Tesla are likely to trade after the Elon Musk provides shareholders with updates after the annual shareholders meeting. I concluded the piece by aligning with the bull side because of the positive vibes surrounding the stock. I then recommended that you buy the TSLA Sep 2015 270.000 call (TSLA150918C00270000) at an asking price of $14.30.

When I wrote that piece, the shares of Tesla were trading at $255.40. As at 11:39AM EST today, the shares of Tesla were commanding an asking price of $260.73 after gaining 3.01% in the morning trading. The TSLA Sep 2015 270.000 call (TSLA150918C00270000) that I recommended had an asking price of $15.25 after gaining 33.70% in the session. In essence, the shares of Tesla have gained 2.08% in the last one week. The options contract has gained 6.64% in the last one week.

I recommend staying long on the TSLA call options because the stock has upside potential ahead. However, you should not forget to lock in your gains by raising the stop/limit loss order to $15.10. If you are new to the Tesla call options party, you can join us by buying the TSLA Sep 2015 285.000 call (TSLA150918C00285000) at an asking price of $10.00.

Centene Options Trade

Yesterday, I initiated coverage on trading Centene Call options in a post titled, “Healthcare Stocks on The Move“. In that post, I discussed the impressive bullish momentum that the shares of Centene have been showing in the last one year. I listed the bullish analysts’ recommendations on the stock. I also mentioned the fundamental factors that support a sustained bullish momentum on the stock. Then recommended that you buy the CNC Sep 2015 80.000 call (CNC150918C00080000) at an asking price of $4.50.

In that yesterday’s piece, the shares of Centene were trading with at $78.79. As at 11:38AM EST today, the shares of Centene have gained another 0.34% to touch a new 52-week high of $80.00. The stock is still up 0.15% to $79.34. In essence, the contract has gained almost 1% since yesterday’s coverage. The options contract has gained 6.66% to a current asking price of $4.80.

I recommend staying long on the CNC contract. Remember to move your stop/limit loss order up $0.20 for every $0.10 gain. If you are new to the CNC party, you can join the contract at an asking price of $4.80.

— Daily Option Alerts

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