Aluminum Corporation of China (ACH) PriceWatch Alert Up To 12.97% Return

Posted on Friday, September 05, 2008 8:07 AM

Aluminum Corporation of China (NYSE: ACH) closed yesterday at $19.65. So far the stock has hit a 52-week low of $19.60 and 52-week high of $90.95. Aluminum Corporation of China stock has been showing support around 19.02 and resistance in the 20.82 range. Technical indicators for the stock are Bearish and S&P gives ACH a weak 2 STAR (out of 5) sell rating. ACH appears on the Investors Observer Momentum Plays list. For a hedged play on this stock, look at a Feb '09 15 covered call (ACH BY) for a net debit in the $14.15 area. That is also the break even stock price for this trade. This covered call has a 169 day duration, provides 27.99% downside protection and a 6.01% assigned return rate for a 12.97% annualized return rate (comparison purposes only). Aluminum Corporation of China has a current annual dividend yield of 1.70%. [For more information on these strategies along with more details on possible risks go to www.iotogo.com/HPWAinfo]