Vanguard Materials ETF (VAW) 11/19/09 PriceWatch Alert With 6.63% Downside Protection
Posted: Thursday, November 19, 2009 8:09 AM EDT
By: Market Intelligence Center Staff
Vanguard Materials ETF (PCX: VAW) closed yesterday at $67.91. So far VAW has hit a 52-week low of $34.94 and 52-week high of $68.37. VAW has been showing support around 66.98 and resistance in the 68.84 range. Technical indicators are Bullish. VAW appears on the Investors Observer Select ETF and HOLDR list. For a hedged play on this stock, look at a Mar '10 67 covered call (VAW CO) for a net debit in the $63.41 area. That is also the break even stock price for this trade. This covered call has a 121 day duration, provides 6.63% downside protection and a 5.66% assigned return rate for a 17.08% annualized return rate (comparison purposes only). [THA-Seven Summits Research]
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