Yearly Archives: 2015

The Risks of Prolonged Commodity Weakness
December 17, 2015
Trading Idea

The Risks of Prolonged Commodity Weakness

Patrick Ceresna

The Bank of Canada released its semi-annual Financial Systems Review on December 2015. Click to download the Report. While the report was comprehensive in looking at Global Macro Risks, we wanted to focus on their comments on the global commodity markets. Here is an excerpt from the report (p.27): “Risk 4: Prolonged Weakness...

306
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2 years ago
no-cover
December 02, 2015
Other

Royal Bank Post Earnings Play

Jason Ayres

Royal Bank (TSE:RY) announced earnings December 2nd and surprised the street with a resounding beat of the estimates. According to Reuters Canada, the banking giant reported an 11% rise in fourth quarter profit ” …driven by at its personal, commercial banking and capital market businesses” (Thomson Reuters Dec...

395
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2 years ago
no-cover
October 29, 2015
Other

Will Gold Miners Glitter Again?

Patrick Ceresna

This week ushers in a wave of 3rd quarter earnings for many of the large cap gold stocks in Canada. We reference the term large cap loosely as the gold bear market of the last 4 years has wiped out the market capitalization of many gold miner darlings. In some cases 75% or more from their peak values. During that bloodletting,...

364
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2 years ago
no-cover
October 19, 2015
Other

2 Ways To Use a Weekly Option For Teck Resources Earnings

Jason Ayres

Teck Resources Ltd (TSE:TCK.B) is set to report earnings before the market opens on Thursday, October 22nd. This is according to the earnings calendar found on the TMX Money website. This great little resource can be found here. Back on August 1st, Patrick Ceresna built a case for taking advantage of buying shares of TCK.B at...

409
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2 years ago
no-cover
September 29, 2015
Other

Creating Income from Franco-Nevada

Patrick Ceresna

To say that the gold mining sector has underperformed over the last 3-4 years is a significant understatement. The sentiment in the group has never been more negative as some darling gold miners have lost more than 90% of their value. Yet, in that environment, one gold company has been able to stand strong like the Rock of...

388
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2 years ago
no-cover
September 23, 2015
Other

Is Air Canada Stock About To Take Flight?

Jason Ayres

I was reviewing the most active options widget found on the M-X website and came across Air Canada (TSE:AC). Unusual or increased options activity can indicate the potential for some action in the underlying stock. My next step was to take a look at the news to see if there was any indication as to why there might be an...

480
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2 years ago
no-cover
September 02, 2015
Other

Have We Seen the Market Bottom?

Patrick Ceresna

The last two weeks have seen material volatility as we had a serious market decline and substantial rebound in stocks. Much of the blame has been pointed toward China, but there is no denying the material declines in all global markets. The VIXC, which is the Canadian measure of implied volatility on the Canadian markets spiked...

381
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2 years ago
no-cover
September 02, 2015
Other

Seeking Income

Richard Croft

Individuals invest for many reasons. Investing being the key word in that sentence. Investing is about making medium to long term commitments with a specific goal in mind. And it is more than simply saying I want to make money! In fact setting an objective can be the hardest decision individuals make. I should know I have spent...

373
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2 years ago
no-cover
September 01, 2015
Other

Oil Woes

Richard Croft

Despite the noise surrounding the recent price action in oil, nothing much has changed. Note our blog published January 23, 2015 (Has Oil Bottomed?) I posited that oil would likely remain in a trading range between US $40 and US $60 per barrel for 2015. So far that is exactly as it has played out. Make no mistake this is a...

362
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2 years ago
no-cover
August 01, 2015
Other

Managing a Collared Position

Richard Croft

Managing a Collared Position DEFINITION OF ‘COLLAR’ 1. The purchase of an out-of-the money put option is what protects the underlying shares from a large downward move and locks in the profit. The price paid to buy the puts is lowered by amount of premium that is collect by selling the out of the money call. The...

345
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2 years ago