A Detailed Options Trade for a Potential Apple Reversal

Rocco Pendola submits:On Monday, I published a Seeking Alpha article about the impact the theory of maximum pain can have on stock prices. You can reference that article by clicking here. I intend to publish a lengthier update to that article on Monday, as May's options expiration week commences.

Andrew Wilkinson submits: Lowe’s Companies, Inc. (LOW) – The second-largest U.S. home improvement retailer popped up on our scanners within the first 20 minutes of the trading session after one investor appears to have initiated a sizeable risk reversal in the January 2011 contract.

By Sol Palha:Selling naked puts is a great way to purchase shares in companies you like at a predetermined price. In essence, you are getting paid to wait. Benefits associated with selling naked puts

By Sol Palha:Selling naked puts is a great way to purchase shares in companies you like at a predetermined price. In essence, you are getting paid to wait. An investor usually sells a put option if his/her outlook on the underlying security is bullish. The buyer of the put option pays the seller a premium for the right to sell the shares at an agreed-upon price. If the stock does not trade at or below the agreed-upon price (strike price), the seller gets to keep the premium.

By Sol Palha:Selling naked puts is a great way to purchase shares in companies you like at a predetermined price. In essence, you are getting paid to put in a "limit order." One usually sells a put option if one's outlook on the underlying security is bullish. The buyer of the put option pays the seller a premium for the right to sell the shares at an agreed-upon price. If the stock does not trade at or below the agreed-upon price (strike price, price) the seller gets to keep the premium.

By Sol Palha:Selling naked puts is a great way to purchase shares in companies you like at a predetermined price. In essence, you are getting paid to put in a "limit order." One usually sells a put option if one's outlook on the underlying security is bullish. The buyer of the put option pays the seller a premium for the right to sell the shares at an agreed-upon price. If the stock does not trade at or below the agreed-upon price (strike price, price) the seller gets to keep the premium.

Frederic Ruffy submits: SentimentStock market averages are holding gains despite in-line economic numbers and disappointing earnings news. Data released early showed the New York Empire Index up to 11.92 in January, from 9.89 the month before. Economists were looking for the gauge of regional manufacturing activity to increase to 12.

Marco Hickey submits:With the U.S. markets selling off sharply Tuesday, there were 10 stocks fighting the trend and on higher than usual volume. If this is your first time reading one of my breakout reports you'll want to read the section below, however if you are familiar with my daily breakout report you should skip ahead to the list of stocks and option strategy below it.