08-19-2016, 12:15 AM
Gordon wants to buy the September 70-strike calls and sell the September 75-strike calls for 79 cents, or $79 per options contract. If XLE closes trading on Sept. 16 at or above $75, Gordon stands to make a profit of $421 per contract. Since his $79 would become $500, that would represent a profit of 533 percent. But Gordon has also planned out what he will do if the chart doesn't go his way. "If XLE were to break back below $67, I'm going to get out of this trade and protect what premium we have left to protect that risk," he said.
Here’s how to make 533% by betting on ‘best sector to play’: Trader
European leaders and markets have something in common when it comes to acknowledging financial and economic risk emanating from the continent, Nobel Prize-winning economist Joseph Stiglitz told CNBC on Wednesday. They have their heads in the sand. Following a brief dip in the wake of Britain's vote in June to leave the European Union, U.K. stocks have moved sharply higher, and U.S. equities have struck new all-time highs. But markets are underpricing risks that include growing distrust of pro-EU centrist leaders amid widespread youth unemployment and a euro that has been proven a failure, Stiglitz said on CNBC's "Squawk Box."
Market underpricing risk in post-Brexit world, says Nobel-winner Joseph Stiglitz
One way to isolate trends and trading opportunities is to look for trend channels. A trend channel occurs when the price of a stock moves back and forth between an upper and lower trendline, while making overall upward progress (in the case of an upward-sloping trend channel). Stocks moving within a trend channel have shown a tendency to bounce off support (lower trendline) and then rally toward the upper trendline. This provides general entry and exit points for the stock. In strong trends these channels can last for years, providing multiple trades. When taking a trade there are no assurances the channel will continue, so the profit potential on each trade should be greater than the risk, as it is with the trades discussed below. That way, even winning 40% or 50% of multiple trades will produce an overall profit.
Time to Buy These Stocks at Support (RAI, XRS) | Investopedia
Because of how we typically construct the input index, if we understate labor’s role, then we overstate capital’s role. This means we falsely attribute some productivity growth to capital accumulation, and hence measured TFP growth is lower because of our overstatement of capital’s role. As the labor share falls, this exacerbates the issue. Because capital tends to accumulate faster than labor (except maybe not any more?), the drag on measured TFP growth from overstating capital’s role is bigger than the boost to measured TFP growth from understating labor’s role. So as labor’s share of revenue falls, so does measured TFP growth.
More on Measured Productivity and the Labor Share | Dietrich Vollrath
Wayde van Niekerk is no ordinary athlete, and not just because he is coached by a 74-year-old great-grandmother. In winning gold at the World Championships a year ago he got to within 0.30 seconds of Michael Johnson's 400m world record set 17 years ago. But that is like saying you have climbed Everest when you are sitting round a camp fire at base camp. To break that record and run 43.03 seconds as he did in Rio is jogging up to the summit without oxygen. To do it from lane eight, blind to the forces pushing you on from inside, alone with the lactic and the fire in your lungs, adds another rich layer of wonder. To athletics fans, Bolt's defeat of Justin Gatlin 25 minutes later could only be an anti-climax.
Rio 2016: Usain Bolt, Wayde van Niekerk and Team GB shine on 'impossible' night - BBC Sport