It is a busy week for Momentum Trader Alert, with a new stock recommendation, taking a pair of double- and triple-digit-percentage option gains and a pursuing a new option recommendation on an existing position.
This week’s Momentum Trader Alert recommendation is yet another technology play. Here are the key details.
Founded in 1981 and headquartered in Natick, Massachusetts, Cognex Corporation (CGNX) is the world’s leader in the machine vision industry. The company designs, develops, manufactures and markets machine vision systems used for automating the manufacture of a wide range of discrete items and for assuring their quality.
Cognex Corporation (CGNX) vs. S&P 500 year to date.
Momentum Trader Alert Analysis
Buy Cognex Corporation (CGNX) at market today, and place your stop at $114.50.
I am holding off on recommending options in this position as they are currently overvalued after Friday’s big jump in the stock price.
Sell all of your Cigna Corporation (CI) November $185 calls, which last traded at $16.00, for a 200% gain.
Sell half of your Texas Instruments, Inc. (TXN) January $92.50 calls, which last traded at $6.70, for a 48.89% gain.
Buy the Raytheon Company (RTN) February $185 calls (RTN180216C00185000), which last traded at $6.20 and expire on Feb. 16.
Raise your stop in CBOE Global Markets Inc (CBOE) to $110.20 lock in a 20% gain in the stock.
Nicholas A. Vardy