This week’s Momentum Trader Alert recommendation takes you into the energy sector with a bet on a Northeastern U.S. energy giant.
Founded in 1985 and headquartered in Newark, New Jersey, Public Service Enterprise Group Incorporated (PEG) is an energy company that operates nuclear, coal, gas, oil-fired and renewable generation facilities. The company sells and distributes electricity, natural gas and other energy-related products to residential, commercial and industrial customers.
As the chart below confirms, PEG has entered a strong uptrend in the past three months.
Public Service Enterprise Group Incorporated, (PEG) versus S&P 500 over the last three months.
Momentum Trader Alert Analysis
Buy Public Service Enterprise Group Incorporated, (PEG) at market today and place your stop at $50.00.
If you want to play the options, I recommend PEG March $50 calls (PEG180316C00050000), which last traded at $3.30 and expire on March 16.
Your holding Heico Corporation (HEI) has lost its upward momentum since I first recommended it in August. This week, I am recommending that you sell your position for a small gain of 5.93%.
Raise your stop in Cigna Corporation (CI) to $200.50 to lock in at least a 10% gain.
Nicholas A. Vardy