Results 1 to 8 of 8
  1. #1
    Specialist Member RCox's Avatar

    Hot JC Penney Earnings to Generate Volatility !!!

    JC Penney Earnings to Generate Volatility

    J.C. Penney is up next for earnings releases, and markets are expecting a very dismal loss of 22 cents per share for the fourth quarter. Same-store sales for the quarter are expected to show declines of 30% (very weak). Long term charts show a lot of weakness, showing gains of 54% since the 2009 market lows. I say weakness because markets as a whole have shown gains of 118% during that time. Given all this weakness, there is some potential for a nice pop higher if earnings can surprise positively. Look to enter into hourly PUT options on Wednesday on a break below 20. Look to enter into hourly CALL options on a break above 21.50.

  2. #2
    Junior Member Aravins's Avatar
    It looks like it is going up and will aproach 21.50 level. Do you still keep your idea, RCox?

  3. #3
    Specialist Member RCox's Avatar
    These signals only apply to price action after the release. If you see 21.50 broken before the release the level moves up to 22.50.

  4. #4
    Master Member vinayakm's Avatar
    Great! Thanks for the timely update.

  5. #5
    Specialist Member RCox's Avatar
    J.C. Penney's fourth-quarter earnings came out much worse than the already dismal expectations, with an adjusted loss per share of $1.95, where a loss of only $0.24 was the consensus analyst expectation. Sales were also lower at $3.88 billion, where markets were looking for sales of $4.08 billion. Same-store sales dropped as well, by a massive 32 percent for the fourth quarter. This is essentially a "look out below" scenario as it is looking increasingly unlikely that the company will remain viable much longer. Look to trade daily PUTS from tomorrow's open.

  6. #6
    Specialist Member RCox's Avatar
    As expected, prices close the day lower.

    Any attempts at a rally have been shaken out. Not much of an argument for the upside from here going forward.

    Activity during the US session:

    Click image for larger version. 

Name:	Capture123.jpg 
Views:	2 
Size:	17.8 KB 
ID:	155

  7. #7
    Senior Member Grae's Avatar
    Quote Originally Posted by RCox View Post
    As expected, prices close the day lower.

    Any attempts at a rally have been shaken out. Not much of an argument for the upside from here going forward.

    Activity during the US session:

    Click image for larger version. 

Name:	Capture123.jpg 
Views:	2 
Size:	17.8 KB 
ID:	155
    Incredible drop. Maybe timeframe for PUT was the catch

  8. #8
    Specialist Member RCox's Avatar
    No, look at the chart. The stock did finish lower on the day, and this was a rec for a daily PUT.

    Further weakness expected in this stock, look for renewed opportunities to get bearish.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
3