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Betting on Democracy: Robinhood's New Frontier

Betting on Democracy: Robinhood's New Frontier

Now that we’re poised on the threshold of fall—gentle breeze in our face, leaves scantily clinging to fading branches — it’s clear that a historical happening nears once again -- the general elections of the US. But there’s something rather strange happening in finance this year – people are able to place election bets via the Robinhood app. Yes, it sounds weird and it is; for the more traditional ones out there, there is finally no distinction between investing and betting. This is one concerning matter that is a hotly debated one nationally.

Robinhood

A Game-Changer for Investors

Back in the days of Robinhood's origins, it had initiated quite a stir by introducing commission free trades in stock trading platforms. This promptly enabled even the most modest people to access stocks and enjoy the fruits of investing in their future. It made a new level of financial independence among ordinary citizens, which within days took a new whole dimension. Users can now engage in a different kind of investment—betting on political outcomes. The idea is simple: if you think a certain candidate will win, you can place your bet and potentially cash in.

My Own Betting Experience

I remember how everything began... It wasn’t within my nature to place bets. My first bet was not about sport, it was about political events. It was during the time of the last election campaign and we were in my living room with friends, drinking homemade cocoa. We were chatting about the candidates, exchanging opinions passionately. That’s when someone suggested we throw a few bucks into the mix, just for fun. We created a friendly wager on who would win the presidency. As the night unfolded, our discussions turned into a roller-coaster of emotions, each twist and turn of the election night adding suspense to our little game.

Fast forward to today, Robinhood is offering that same thrill, but on a much larger scale. It’s like bringing that living room excitement to the entire nation. Suddenly, everyone can feel like they have a stake in the outcome—even if they’re just doing it for a bit of fun.

The Risks and Rewards

However, betting on elections isn’t without its risks. Every victory or loss this year led many to envy or sympathize with the emotions of the winners or losers respectively. Election outcomes can be influenced by unpredictable factors like polling errors, scandals, or voter turnout, making them a gamble with potential financial loss for some.

Yet, isn’t that what makes it exciting? The uncertainty. The unpredictability. It mirrors the very essence of democracy itself—people coming together to cast their votes, each one believing they can make a difference, even if the outcome isn’t guaranteed.

A New Era of Engagement

Additionally, Robinhood's project could potentially spark a rise in political awareness. Picture a reality where even more numbers of individuals not only watch the news but also talk about issues of concern and dispute them. While more people are playing the online game, they are likely to seek education of the candidate, understand the policy or participate beyond making the financial transaction.

It's a two-edged sword, however. While it has the potential to increase voter awareness, it also risks trivializing the voting process. Is democracy merely a game now? Or can it coexist with the excitement of betting?

Conclusion: A Matter of Choice

With the presidential campaign year almost upon us, the kind of political gambling that has been launched by Robinhood in the recent past is an interesting innovation that brings forward much deeper concerns about the relationship between finance and politics in democracy. It serves as an outlet for some, a game of politics; and for others such a proposition is demeaning and detrimental to the popular concept of voting.

What's Pushing the Recent Rise of Bitcoin Price?

What's Pushing the Recent Rise of Bitcoin Price?

If you are an enthused reader of all that happens in financial markets, looking forward to opportunities, particularly those concerning cryptocurrencies, then Bitcoin is definitely something you would be interested in discovering more information. You will notice tremendous leaps in Bitcoin prices during the week. Bitcoin is currently going for more than $68,322.67 with the price greatly increased from the earlier prices. But what are the factors contributing to the increasing movement on the graph? Let us dive into them, and see which factors are behind the latest BTC price surge.

Gemini_Chart_Image_m215h4m215h4m215

Institutional Adoption and Activity

A major force contributing to price hikes in Bitcoin value is its recognition as an investment option by diverse institutions. Major corporations and financial organizations are rapidly investing in Bitcoin, recognizing it as a legitimate asset class. This flow of institutional investment has great potential of pumping the price of Bitcoin to even higher levels as these well-endowed investors pour theirs and other people's money into the market.

Geopolitical and Macroeconomic Aspects

Bitcoin prices are constantly changing, and recent market trends have also been influenced by non-specific factors such as macroeconomic and geopolitical characteristics. Many investors view bitcoin as a hedge against traditional financial markets due to ongoing internal uncertainties and geopolitical pressures. Due to its nature as a currency, Bitcoin is able to keep up with the in-flowing money within the market.

Trading Volume and Market Sentiment

Another element leading to Bitcoin's price increase is an increase in trading volume. upward trade volumes suggest increased market activity and interest, which might push prices upward. Additionally, improved market mood and encouraging news about Bitcoin have spurred investor enthusiasm, resulting in increased buying activity and upward price pressure.

Technical Patterns and Market Trends

Technical research and market movements have also contributed to Bitcoin's price surge. Traders and researchers have found bullish patterns and trends in Bitcoin, indicating a favorable future. These technical indicators have encouraged more investors to enter the market, pushing the price higher.

Riding the Wave: High Volume Stock Option Trading in September

Riding the Wave: High Volume Stock Option Trading in September

Stock and option traders have had a roller-coaster month of September. Volatility in the market and sector movements have made quite a number of stocks very much in the options trading ambit. Here let us look at the two most important indices and mention some of the stocks people have been discussing most recently.

Apple Stock

Tech Titans Leading the Charge

It should not come as a shock that giants in the industry, such as Apple and Microsoft, have been leading the pack. Given that new products are being launched and quarterly earnings are being released, the trade in the market with such stocks have gotten a bit busier. I happen to recall a conversation with a friend with whom recollected is the same kind of operation whereby he was holding out Apple calls only; he was quite confident of making a lot of money as there was an important event – new iPhone announcement. Warning ahead: they did make the money.

Healthcare Stocks in the Spotlight

Healthcare has also been a hotbed of activity. Companies like Pfizer and Moderna have seen increased options trading, especially with ongoing developments in vaccines and treatments. A colleague of mine, who’s a bit of a biotech enthusiast, was thrilled to see his Pfizer puts gain value as the stock dipped on some mixed trial results.

Financials Making a Comeback

Financial stocks have been interesting to watch. Banks like JP Morgan Chase and Goldman Sachs have experienced high options volume, driven by interest rate changes and economic data releases. I had a hunch about JP Morgan and bought some calls just before their earnings report. It was a nail-biter, but the stock jumped, and those calls were golden!

Energy Sector Heating Up

The energy sector has been buzzing too. Due to the volatility of the oil market, trading options on companies shares such as Exxon and Chevron has also doubled up. I have a buddy who plays the oil market which by the way also happens to be his occupation. He capitalized too heavily on call options that he purchased Chevron after the surprise jump in oil prices.

Micron Technologies ($MU): A Game-Changing Technology

Micron Technologies ($MU): A Game-Changing Technology

Last week I decided to sit down and analyze my investment portfolio. As I browsed through different companies Micron Technologies (NSDQ:MU) stood out. Of late, the company, which already is well regarded for its inventive products and dependable performance in the tech space, has turned a few heads owing to its recent price movement and financials. Thus, let us get straight to the point and further examine why Micron presents such a fascinating investment opportunity.

Microntech

A Personal Connection

Before going into the specifics of Micron's numbers, let me share a personal experience in relation to their products. A few months back, I replaced the RAM on my laptop with Micron's memory modules, and I was completely awestruck by how much better the performance became. This pleasant experience sparked my curiosity towards the firm and made me consider its investment prospects.

Price Movement and Earnings

As for the things that captivated my imagination, the price action of Micron over the last few months can be considered the most impressive. Even when the market was bearish, Micron's stock price could be seen gradually increasing indicating investor confidence in where the company is headed. It is also noteworthy as the company has earned more than estimated, exceeding estimates well.

P/E Ratio and Revenue Increase

An investment proposal cannot be evaluated without paying attention to a number of indicators, among which one of the most is the price-earnings ratio. The current price of Micron shares as reflected by the P/E ratio is reasonable taking into account the developmental possibilities and the competition in the market. In addition, revenues for Micron have been increasing as a result of the rising appetite for its products in the semiconductor market. This consistent revenue growth is positive for the company's future and for its shareholders as well.

Future Outlook and Conclusion

In the future, I can see that Micron Technologies will continue to grow successfully thanks to its unique products and strong financial results. Given the growing trends in the tech industry particularly in memory solutions, it is advantageous to Micron investors who look forward to their engagement being fruitful. To sum up, Micron Technologies is a reliable and promising investment for investors wanting to buy shares in a modern organization, which operates in the technology sector.

Buffett's Secure Investment: A Stock that Will Beat the Market

Buffett's Secure Investment: A Stock that Will Beat the Market

In the world of finance, Warren Buffett is a name known by both experienced investors and novices alike. With his wise counsel and remarkable investment history, Buffett has a gift for identifying shares that yield profitable returns as well as create an impression of safety. Occidental Petroleum is one such share which he describes as a “safe bet.”

Occidental Petroleum

A Personal Story: Investing with Confidence

Let's go back to a personal anecdote that relates to this. Some years back, I struck a conversation with a friend who had just started trading in stocks. The number of choices he had was too much for him because of fluctuating stock prices in the market. I told him once, "If you want stable shares then check on what Warren Buffett buys." Going by what I said back then, my advice remains valid till now.

Why Occidental Petroleum?

Occidental Petroleum, or OXY as stock market players call it, has captured Buffett’s attention due to many things. First and foremost, it is a company with strong domestic gasoline and oil holdings. For instance, in the situation where energy security is becoming more important by the day, having shares in such a company that produces these basic materials is very sensible. However, its commitment to carbon capturing initiatives differentiates Occidental from other competitors in this industry. Apart from aligning itself with global sustainability objectives this forward-looking approach also makes it rank high among the giants of the energy sector.

Leadership and Strategic Growth

Additionally, it is worth noting Buffett’s esteem for the Chief Executive Officer (CEO) of Occidental, Vicki Hollub. This has been reflected through several instances where he lauded her bold choices towards enhancing the company’s portfolio, these include acquiring strategic locations and venturing into cutting-edge devices. It's this combination of strong leadership and strategic growth that makes Occidental a standout in Buffett's eyes.

Carbon Capture Initiatives: Leading the Way

Occidental Petroleum is more than merely an oil and gas company; it is leading the way in carbon capture technology. The firm is putting lots of money into Direct Air Capture (DAC) technology that seeks to extract CO2 directly from the atmosphere. This forms part of their larger low carbon ventures (LCV) program which primarily targets curbing greenhouse gases as well as engaging in sustainable energy developments.

At the Permian Basin, they are building the largest direct air capture plant in the world. This project aims to capture a million metric tons of carbon dioxide every year that can be further used in enhanced oil recovery methods or stored underground as a means of disposal. By so doing, it both reduces their carbon footprint and creates additional income for them.

A Friend's Success Story

However, let us return to the personal narrative. My pal, having acted on my counsel, opted for Occidental Petroleum shares. Throughout the years, he has experienced progressive development in his investment regardless of market fluctuations. It is not just about making money; it is also reassuring to keep your cash in a well-established corporation with good prospects ahead. Of course past performance is no indication of future growth.

Buffett's Endorsement

In his letter to Berkshire Hathaway shareholders released in 2023, Buffett mentioned Occidental as a stock that has more potential than an average American company. Emphasizing that it has lower chances of losing capital, this is an important consideration for any investor trying to reduce their losses while still targeting growth.

Swing Trading vs. Day Trading: Finding Your Trading Groove

Swing Trading vs. Day Trading: Finding Your Trading Groove

At first glance, there are just too many strategies to choose from in the domain of trading. Out of the strategies which quickly appealed to me, swing trading and day trading were among the most celebrated. Both of them appeared enthralling; however, I soon discovered that they cater for different traders. Let us look at our distinctions and also hear my personal story.

Trading, overflowed with numerous approaches at first look seemed so complicated for me, when I stepped into it. The two main methods that caught my attention were day trading and swing trading. Although both seemed fascinating, I later discovered that they serve various categories of traders. Allow me to explain what separates them plus tell you a little about how I came along this way.

SwingTrading2

The Basics

Swing Trading means taking over positions in stocks for a few days or an entire week. What traders are looking for is market swings upward or downward so as to make profits out of it. For example, it’s also like catching the best waves while surfing, riding them as long as you can until it goes downhill too far that you cannot control your surfboard anymore.

Whereas day trading implies that investors buy stocks from their sources during one day only before they sell them back again else where else then. The other way around is also true because this makes sense and somehow true not only logically but intuitively as well: both day traders and swing traders can be said to be acting within their respective timeframes, pretending that nothing is amiss in their own lives just yet.

A day trader will only sell his stocks on the market after he has acquired them. Many day traders tend to hold on to only small amounts of cash for their trading activities hence are very often not used for trading. Since they don’t rely on any brokers, they have access to unregulated trading platforms where once again trades can be opened depending upon how much dollars you want the trade needs to realize the entry point (how much money was put into it). It is a cool system because nothing really gets in-between you and your money.

As seen above, these two terms seem opposite; however, this perception could not be further from the truth. In fact, there are striking similarities between swing and day traders who take part in both types of investments simultaneously! Exploring the possible similarities and dissimilarities between swing and day traders could provide newfound insights that would allow them not just to appreciate their differences but also see beyond the apparent division.

My First Foray into Swing Trading

I have a very specific memory of my first swing trade. There was a tech stock that appeared to be on the verge of a breakout and I had done some digging into it. Then, after looking at all of its charts and scouring for the most recent company updates, I bought shares. Over the course of one week, I kept track on how its price kept changing in order to feel both thrill and nervousness. Ultimately, it reached my selling point which made me gain an impressive return. This was such an amazing experience as it highlighted patience as being essential throughout swinging trades.

The Day Trading Rush

Day trading, however, was a different beast altogether. My first day trade was a rollercoaster. I had to stay glued to my screen, watching every tick of the stock’s price. The adrenaline rush was intense as I made quick decisions to buy and sell within minutes. While I did make some profits, I also realized how stressful and time-consuming day trading could be. It required a level of focus and discipline that was challenging to maintain.

Key Differences

1. Time Commitment: Swing trading is more flexible than day trading, allowing traders to analyze the market and make decisions without having the constant pressure of always keeping up with real-time trading. Therefore, day trading demands your full attention during market hours.

2. Risk & Reward: Swing Trading usually has a lower risk profile because you’re not making as many trades. However, this also means that you may miss out on quick gains. Day trading on the other hand, may be very profitable but it is also very risky because of its high speed in terms of execution of trades.

3. Tools & Skills: In comparison to day traders who utilize complicated instruments in order to comprehend the overall function of the economy and make purchases or sales in split second intervals, swing traders largely depend on technical analysis as well as market trends.

Errors in Swing Trading

Even when someone is an experienced trader, they could still fall victim to certain mistakes. Below are some pitfalls which the trader should beware of:

1. Overtrading: It’s easy to get caught up in the excitement and make too many trades, resulting to higher transaction costs and reduced profits.

2. Ignoring Stop-Loss Orders: At times one mega stock would like dyke didn’t exist at all but it exists; thus leaving them vulnerable to significant losses due to failure in setting or adhering stop-loss orders. Always take care of your plan regarding exit from trade should go against you.

3. Lack of Research: Swing trading implies highly analytical in-depth studies as per such methodology hence poor decisions will emerge from relying solely upon gut feelings or opinions given by others.

4 Emotions Driving Investing Decisions: There is no guarantee that an emotional state would ever work for you while trading so always take time keep your cool and analyze before making any moves.

Dangers Associated With Swing Trading

Swinging trading is an investment strategy which carries its own risk factors like:

1.Market Volatility: This is when a dramatic shift occurs in the stock market resulting to unanticipated loses on investments made. One should always keep up-to-date with what is happening around them concerning their investments as there may be fluctuations.

2. Holding Overnight: If you opt for this option, it means that you are at the mercy of news announcement after hours that usually have effect on firm share prices hence increase chances of incurring losses through increased holding period exposure.

3. Leverage: The application of borrowed funds in financial transactions known as margins can multiply your winnings but do come with an opportunity for large losses if things do not go as planned; therefore caution must be exercised at all times when trading on margins while trying to understand inherent hazards linked with such practices.

4.Time Commitment: Although swing trading requires less active management than day-trading activity, it is still essential to monitor stock performance and make evaluations frequently due to its nature as one cannot just leave it without looking at it from time to time.

Eli Lilly's Earnings: A Personal Take

Coffee Chat with Jake

So, I was hanging out with my buddy Jake the other day, grabbing a coffee. Jake's this total finance nerd, always talking about the stock market and stuff. We ended up chatting about Eli Lilly's latest earnings report, which had just come out.

EliLilly

Impressive Revenue Growth

Jake was stoked about the report! Eli Lilly absolutely crushed it this quarter, with sales jumping a crazy 36%. Their big-name drugs like Mounjaro, Zepbound, and Verzenio were killing it. It wasn't just a little win – everyone in finance was talking about it.

A Milestone in Alzheimer's Treatment

The coolest thing in the whole report was that they got approval for Kisunla to treat Alzheimer's. It's a huge deal for everyone, not just Eli Lilly. Jake's grandma had Alzheimer's, so he was super pumped about it. It gave him hope for other families going through the same thing.

Bold Revenue Guidance

But it wasn't just about the numbers and new drugs. Eli Lilly also raised their full-year revenue guidance by $3 billion, which is a pretty bold move. It shows their confidence in the continued growth and success of their products. Jake and I joked about how we wished we could raise our own "revenue guidance" by a few billion dollars!

Earnings Per Share Soar

The earnings per share (EPS) also saw a significant increase, jumping 68% to $3.28 on a reported basis. This kind of growth is impressive and speaks volumes about the company's strategic direction and execution.

Tesla: More Than Just Cars

Tesla: More Than Just Cars

Okay, so you know Tesla, right? Those sleek electric cars that everyone's talking about? Well, there's a whole other side to them. They're not just about zooming around in style. Tesla's also got this energy thing going on. Let's dive in.

Megapack

Soaking Up the Sun

Think of your roof as a giant battery pack. Not really, but close. That’s what Tesla’s solar roof is all about. It looks very cool, like futuristic shingles, and converts sunlight into free electricity. It’s like having your own power plant, without pollution or sky-high costs.

Power Packed

Now what do you do with all that extra energy when the sun isn’t shining? That’s where the Powerpack comes in. It’s a particularly large battery, but it’s way cooler. Think of it as a large electricity bank for your home or business. You no longer have to worry about power outages or those crazy power bills. When the sun slinks away, leaving solar panels lonely, the Powerpacks step in. They store excess energy, like diligent squirrels hoarding acorns for winter. And when the grid stumbles, they swoop in, powering hospitals, homes, and even that one guy's vintage arcade collection.

The Megapack Saga

But wait, there's more! Tesla unleashed the Megapack—a beastly sibling to the Powerpack. Think of it as the Hagrid of energy storage. These giants sprawl across open fields, silently soaking up sunlight during the day. When the night descends, they unleash their stored might, keeping cities aglow. It's like having a superhero team—Solar Panels, Powerpacks, and Megapacks—saving the day, one kilowatt-hour at a time.

The Autobahn to Grid Independence

Tesla’s energy business is not limited to devices; It’s about freedom. Imagine a world where your home generates electricity, dances with the sun, and provides great ventilation. No more shackles to utility bills; no more fretting during blackouts. It's like telling the grid, "Hey, thanks for the memories, but I've got this." And that's what Tesla whispers to every homeowner: "You're not just a consumer; you're an energy pioneer."

Broadcom: From Silicon Valley Dreams to Wall Street Triumphs

Broadcom: From Silicon Valley Dreams to Wall Street Triumphs

Once upon a time in the heart of Silicon Valley, there existed a company that wove intricate circuits and digital dreams. Its name? Broadcom Inc. (AVGO).

BroadcomLogo

The Rise of AVGO: A Tale of Chips and Ambition

At Broadcom HQ, things were buzzing. Engineers were everywhere, all crowded around blueprints, their eyes practically glowing with ideas. They were basically building the tiny brains that run our phones, connect our houses to the internet, and even talk to those space things zooming way up in the sky. These tiny silicon marvels held the promise of a connected future—a world where data flowed seamlessly, like electrons dancing through copper wires.

But Broadcom wasn't just about circuits; it was about ambition. Its founder, Henry Samueli, had a vision: to build bridges between people, devices, and distant galaxies. Okay, maybe not galaxies, but you get the idea. Samueli believed in the magic of connectivity—the way a Wi-Fi signal could unite a coffee shop in Ohio with a teahouse in Tokyo.

The Stock Market Tango: AVGO's Dance with Investors

Fast-forward to Wall Street. AVGO's stock price swirled like a tango—sometimes graceful, sometimes wild. Investors watched, hearts racing, as the numbers pirouetted across screens. The Nasdaq cheered, and the S&P 500 nodded in approval. AVGO had become a star performer, dazzling the financial world.

Institutional investors, those mysterious titans of finance, whispered secrets in boardrooms. They held AVGO close, like a prized possession. Mutual funds, pension funds—they all wanted a piece of the action. And why not? Broadcom's earnings per share (EPS) danced to a tune of $23.20, a melody that resonated across trading floors.

Insiders' Whispers and Retail Rebels

But wait, there's more! Insiders—those elusive company executives—had their own moves. They bought and sold shares, their transactions etched in SEC filings. A CEO's purchase signaled confidence; a CFO's sale raised eyebrows. It was a stock market soap opera, complete with plot twists and cliffhangers.

And then there were the retail rebels—the everyday investors. They chatted on Reddit, tweeted stock tips, and rode the AVGO rollercoaster. Some held diamond hands, refusing to let go even when the market dipped. Others panicked, their paper gains slipping through trembling fingers. Currently, famed inside trader Nancy Pelosi has purchased twenty call options with a strike price of $800 that expire in a year.

Short Squeezes and Moonshots

Short interest loomed like a shadow. Bears bet against AVGO, hoping for a stumble. But sometimes, the market flipped the script. A short squeeze—a sudden surge in price—sent shorts scrambling. It was David versus Goliath, with pixels and algorithms replacing slingshots.

As for the moonshots? Well, AVGO didn't literally shoot to the moon, but it reached new heights. $1,851.62 per share—a record! The stock soared, leaving contrails of financial stardust.

Investing in Dell Stock: A Journey into AI Territory

Investing in Dell Stock: A Journey into AI Territory

All right, so tech stocks are like, super hot right now, and Dell (ticker symbol DELL) is totally in the spotlight. Everyone's excited about AI, and that's driving Dell's stock price way up. But should you buy it? Let's figure it out!

DellLogo

The AI Hype

Dell's stock has been on a wild ride, up a whopping 213% in the past year! This is all thanks to the buzz around their new AI servers. These super-powered machines use fancy Nvidia chips and are supposed to change how data centers work, which would be great for Dell's business. But is it all just talk, or is there something real here?

The Reality Check

Morningstar equity analyst William Kerwin provides a reality check. While AI servers are indeed a growth driver, they constitute less than 2% of Dell's sales. These GPU-enabled servers cater to businesses hosting smaller AI-based tools within their data centers—not the heavy hitters like OpenAI. Moreover, the high cost of GPU chips eats into Dell's margins.

The Bottom Line

One analyst, Kerwin, thinks Dell's stock is only worth around $55, which is way less than its price right now. So, even though everyone's excited about AI, they might be getting a little carried away about how much money it'll make Dell. Keep an eye on Dell, but maybe hold off on buying for now.

Personal Take

As an investor, I've learned that hype can be intoxicating. But it's essential to separate the noise from the substance. Dell's AI journey is intriguing, but let's not forget the fundamentals. Perhaps it's time to balance excitement with a dose of skepticism.

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