A well known stock has been on a tear and showing some really positive momentum. In fact, I alerted a small group of traders I work with to grab it recently and it has brought in a two hundred percent winner. I want to show you how I spotted it, how you can access the same tool I use, and I am going to share the next pick that I am looking at.

Here is the chart that shows the ticker with the indicators I look at to spot moves. But the real power is in the way it all comes together.

This was a great trade setup for bulls taking advantage of the dip on August 17th, especially for those that were willing to buy call options.  For example, the September 18th $110 calls rallied from $1.00 to a current price of $3.00 (a 200% return)! That small group of traders I mentioned are the folks who have jumped on my PAID alert service. They were ecstatic. It is a closed membership service but we may be opening it again up soon to new members so keep an eye out.

When I see individual stocks providing that kind of performance, I like to look at other stocks in the sector for a potential move, and today, I want to highlight Comcast Corp (CMCSA), owner of Universal Studios:

The stock has been rallying from lows with a nice bullish trend, and I immediately went to my AI models to see what was forecasted for the next 2 weeks.  If you want to be able to do this same due diligence with the Stock Forecast Toolbox, you should certainly  try it out now for free!

This setup is prime for an options structure.  My thought here is to temper my own optimism from what I saw in DIS and follow the AI model.  With a projection of a rally to $28.50 over the next 2 weeks, I can structure a debit call vertical to leverage my money.  The September 18th $27.50/$28.50 debit call spread is currently trading for about $0.33, and with the maximum value being $1.00, I would be capped at a 200% return.  It is unlikely to achieve the same return as the DIS calls, but the DIS move is in the past.  I want the next move, and in case I missed it, there’s still a lot of upside potential in the CMCSA trade so that I can participate in a related stock’s potential for bullish behavior.

Make sure to take advantage of the free 7-Day Trial of the Stock Forecast Toolbox so you can see what it can do for you!

If you have any questions, never hesitate to reach out.

Keith Harwood

Keith@OptionHotline.com