Ultra Russell2000 ProShares (UWM) PriceWatch Alert for September 5, 2008

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

Ultra Russell2000 ProShares (AMEX: UWM) closed yesterday at $50.71. So far UWM has hit a 52-week low of $41.41 and 52-week high of $77.96. UWM has been showing support around 48.22 and resistance in the 54.60 range. Technical indicators are Bearish. UWM appears on the Investors Observer Select ETF and HOLDR list. For a hedged play on this stock, look at a Jan '09 50 covered call (UWM AX) for a net debit in the $44.41 area. That is also the break even stock price for this trade. This covered call has a 134 day duration, provides 12.42% downside protection and a 12.59% assigned return rate for a 34.29% annualized return rate (comparison purposes only). [For more information on these strategies along with more details on possible risks go to www.iotogo.com/HPWAinfo]