Put Options

What do Cannabis, Nelson Peltz and Hedging Have in Common?
April 04, 2019
Protection

What do Cannabis, Nelson Peltz and Hedging Have in Common?

Jason Ayres

On March 13th, Aurora Cannabis Inc. (TSX: ACB) announced that they had appointed Nelson Peltz as a Strategic Advisor to help explore potential partnerships and advise on the company’s global expansion strategy. This is a big deal given Mr. Peltz’s business history and reputation for delivering results. For more details...

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2 months ago
Options for RRSP and TFSA
March 14, 2019
Concepts

Options for RRSP and TFSA

Jason Ayres

It’s that time of year again, where investors thoughts turn to RRSP and TFSA contributions and taking advantage of growing their portfolio in a tax-sheltered or tax-free way. There are many ways to approach portfolio management. Often, when you ask a cross section of self-directed investors their answers will vary. Some...

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2 months ago
Strategy to profit from the tensions with China
December 18, 2018
Bearish Outlook

Strategy to profit from the tensions with China

Martin Noël

Recent events in the news have led us to analyze a stock discussed in our last article. As the following chart shows, the price of shares in Canada Goose Holdings (GOOS) has plummeted by over 20% in the turmoil surrounding the Huawei affair in which, following the arrest of Huawei’s Chief Financial Officer, China called for a...

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5 months ago
A bearish diagonal spread on a resistance level
November 19, 2018
Technical analysis

A bearish diagonal spread on a resistance level

Martin Noël

As the following chart shows, the price of shares in Bank of Nova Scotia (The) (BNS) has been on a downward trend over the last 12 months. Over the last few weeks, the price has stabilized in a corridor of $69 to $72, and it has faced resistance when it reached the 30-day moving average. The chart shows that, in the last year,...

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6 months ago
Getting Paid With the Intention of Buying Shares
October 25, 2018
Bullish Outlook

Getting Paid With the Intention of Buying Shares

Martin Noël

As the following chart shows, the price of shares in Canadian Tire Corporation Limited, Cl. A (CTC.A) plunged 20.6%, from a peak of $183.93 on August 8 to its recent trough at $146.08 on October 11. It has since climbed to just above $150, allowing us to use this trough as a short-term support level. An investor who is...

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7 months ago
How to turn a profit with puts following a technical rejection
October 11, 2018
Bearish Outlook

How to turn a profit with puts following a technical rejection

Martin Noël

How to turn a profit with puts following a technical rejection As the following chart shows, the price of shares in Linamar Corporation (LNR) surged to a resistance level of $65 after a free trade agreement was reached with the U.S., and it has since been on a steady decline. This response, which does not bode well, could bring...

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8 months ago
Perspective on the Volatility on Cannabis Stocks
October 01, 2018
Volatility

Perspective on the Volatility on Cannabis Stocks

Patrick Ceresna

Speculation is enthusiastically running wild in the Canadian cannabis industry over the last 2 years.  This has led to extraordinary volatility and gains for investors who seek a stake in the industry.  For this article I will refrain from offering my opinions to the merits of this investment and rather focus on sizing up the...

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8 months ago
Selecting the Optimal Put Option
May 29, 2018
Technical analysis

Selecting the Optimal Put Option

Martin Noël

As the following graph shows, the price of shares in CGI Group Inc. (GIB.A) has reached an all-time high. We can also see that the RSI (Relative Strength Index) indicator and the stochastic oscillator (%K) are both in oversold territory. In the past, this has been followed by corrections that brought the stock price back down...

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12 months ago
Writing put options on a support level
March 27, 2018
Bullish Outlook

Writing put options on a support level

Martin Noël

As the following graph shows, the share price of Canadian Imperial Bank of Commerce (CM) has been trending downward since the beginning of 2018. When markets closed on Friday, March 23, CM was trading at $114.07. But as we can see, a price range of $112 to $114 has represented a support level from which prices surged twice....

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1 year ago
Buying Put Options to Hedge Shares
March 19, 2018
Protection

Buying Put Options to Hedge Shares

Martin Noël

As the following graph shows, shares in Waste Connections Inc. (WCN) have been rallying since February 6, 2018, when they bottomed out at $81.52. As I write these lines, WCN is priced at $96.67, up 18.58%. The RSI indicator and stochastic oscillator are now in extreme overbought territory. Even though this is not, in itself, an...

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1 year ago