Short Russell2000 ProShares (RWM) PriceWatch Alert Could Hit 16.52% Return

Posted: Monday, July 06, 2009 8:07 AM EDT

Short Russell2000 ProShares (PCX: RWM) closed yesterday at $57.75. So far RWM has hit a 52-week low of $54.21 and 52-week high of $126.12. RWM has been showing support around 56.29 and resistance in the 58.73 range. Technical indicators are Bearish. RWM appears on the Investors Observer Select ETF and HOLDR list. For a hedged play on this stock, look at an Oct '09 55 covered call (RWM JK) for a net debit in the $52.55 area. That is also the break even stock price for this trade. This covered call has a 103 day duration, provides 9.00% downside protection and a 4.66% assigned return rate for a 16.52% 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]

Click Symbol For More News On: (RWM)