Suncor Energy (SU) PriceWatch Alert for August 27, 2008

Posted on Wednesday, August 27, 2008 8:07 AM

Suncor Energy (NYSE: SU) closed yesterday at $56.53. So far the stock has hit a 52-week low of $39.67 and 52-week high of $74.28. Suncor Energy stock has been showing support around 55.14 and resistance in the 58.30 range. Technical indicators for the stock are Bullish and S&P gives SU a positive 4 STAR (out of 5) buy rating. SU appears on the Investors Observer Momentum Plays list. For a hedged play on this stock, look at an Oct '08 55 covered call (SU JK) for a net debit in the $51.83 area. That is also the break even stock price for this trade. This covered call has a 52 day duration, provides 8.31% downside protection and a 6.12% assigned return rate for a 42.93% annualized return rate (comparison purposes only). Suncor Energy has a current annual dividend yield of 0.35%. [For more information on these strategies along with more details on possible risks go to www.iotogo.com/HPWAinfo]