Buy Call ONON

September 19, 2024
Sell a Piece of Existing Position: Sell a Quarter of ONON January 42.5 Calls for $11 or more.

ONON is breaking out to a new high today, and looks fantastic, much like most of the market. And while I believe the odds favor ONON and the market going higher, let’s lock in a profit of approximately 77% on a quarter of our position, and then go for the home run on the balance.

To execute this trade you need to:
Sell a Quarter of your ONON January 42.5 Calls

Stepping back, we sold a half of our position at the worst possible time several months ago when the market was under pressure, but fortunately the stock has ripped higher since. Let’s move past that initial bad sale by locking in a big profit on a quarter of our remaining position.

July 12, 2024
Sell Half of your ONON January 42.5 Calls.

The market is flying higher, and unfortunately, ONON has been a mess along with its consumer-related peers for the last month. Let’s sell half of ONON so that we can raise cash ahead of a busy earnings season, which will surely bring better opportunities.

To execute this trade you need to:

Sell to Close Half of ONON January 42.5 Calls

Please note, it’s very possible these stocks will get back in gear. That being said, earnings season will almost surely spark new stock stars, and I want to have capital ready to add those new stocks to the portfolio.

May 29, 2024
Buy the ON Holding (ONON) January 42.5 Calls (exp. 1/17/2025) for $6.40 or less.

As I noted yesterday in a Stocks on Watch, ONON was at the top of my watchlist following a strong earnings reaction, several Wall Street upgrades, and steady bullish option activity. This call buying is continuing today as the stock is breaking out to a new high, including this trade from this morning:

Buyer of 3,000 ON Holding (ONON) July 42.5 Calls for $2.20 – Stock at 42.

Let’s get involved via a January call buy.

To execute this trade you need to:

Buy to Open the ONON January 42.5 Calls

The most you can lose on this trade is the premium paid, or $675 per call purchased.

The risks I see in this trade are pretty straightforward …

There are some worrying signs under the surface of the market as many leading groups have been weakening.

Also, ONON and retail stocks in general have been on a strong run, and may be due to cool off.

That being said, I really like the way ONON stock has been trading, as well as the bullish option activity, and I am going to add the stock to the portfolio today.