3 Reasons To Consider United Continental
By Sammy Pollack:Shares of United Continental Holdings (UAL) are up nearly 25% thus far in 2012. However, there are three reasons why the stock can continue to rally.
Option Monster reported on the high level of bullish options activity recently: 3,300 May 24 calls were purchased against open interest of just 2,575 contracts. At the same time, an equal number of May 23 puts were sold. The large block trade likely represents institutional money. Institutional money is usually smarter, thus worth following. In summary, the recent options activity points to more upside ahead for United Continental in the short term.
Drop In Oil Prices
As shown by the five-day chart of the WTI oil tracking ETF United States Oil (USO), oil prices have dropped significantly over the past few days. The drop in oil prices is good for all airlines, including United Continental, because fuel prices are a major inputComplete Story »