Vanguard Materials ETF (VAW) PriceWatch Alert Support Down To $75.02

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

Vanguard Materials ETF (AMEX: VAW) closed yesterday at $78.21. So far VAW has hit a 52-week low of $65.85 and 52-week high of $98.50. VAW has been showing support around 75.02 and resistance in the 82.96 range. Technical indicators are Bearish. VAW appears on the Investors Observer Select ETF and HOLDR list. For a hedged play on this stock, look at a Dec '08 77 covered call (VAW LY) for a net debit in the $74.51 area. That is also the break even stock price for this trade. This covered call has a 106 day duration, provides 4.73% downside protection and a 3.34% assigned return rate for an 11.51% 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]