Today I entered long term trades in Alpha Natural resources (ANR) and Las Vegas Sands (LVS). Both ANR & LVS reported earnings last week. Earnings ok but LVS fell on revenue concerns.
As LVS was bouncing I entered a June 44/49 Call Spread for a debit of 2.32. So risk is $232 / Contract and max reward is %268 (> 100%). The reason for enetering a spread was to reduce the capital outlay and get a longer term option. Target for LVS $50
On ANR I entered a straight call of June 52.5 at a debit of $625. yes I know it is a lof of money but planning on converting it to a spread once it moves up a little. I am looking at ANR to hit $58 or $60 soon.
Let us see how the trade develops!!
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