This week’s Momentum Trader Alert recommendation should be a familiar name to long-time investors.
Based in Morris Plains, New Jersey, Honeywell International Inc. (HON) manufactures thermostats, sensors, security alarm systems, air cleaners and dehumidifiers. The company also licenses its brand name for use in various retail products made by partner manufacturers for things such as air conditioners, heaters, fans, security safes, home generators and paper shredders. In 2016, Honeywell ranked 73rd in the Fortune 500.
Honeywell International Inc. (HON) versus the S&P 500 year to date.
Momentum Trader Alert Analysis
Buy Honeywell International (HON) at market today and place your stop at $134.50.
If you want to play the options, I recommend the HON December 2017 $145.00 calls (HON171215C00145000), which last traded at $2.36 and expire on Dec. 15.
You stopped out of your position in Sociedad Quimica y Minera de Chile S.A. (SQM) at $57.30 for a 20% gain.
Sell your long-time position in Wintrust Financial Corporation (WTFC) at roughly breakeven.
Also sell your long-time position in Sanmina Corporation (SANM) at a loss.
Nicholas A. Vardy