BTO trade ideas
BTG- Write an OTM Covered CallB2Gold Corp, together with its subsidiaries, engages in the exploration and development of mineral properties in Nicaragua, the Philippines, Namibia, Mali, Colombia, Burkina Faso, and Finland. It primarily explores for gold, silver, and copper deposits. The company's production properties include the La Libertad mine with an exploitation concession covering an area of 10,950 hectares and the El Limon mine covering an area of 12,000 hectares located in Nicaragua; the Masbate mine covering an area of approximately 15,209 hectares located in the Philippines; and the Otjikoto mine covering an area of 6,933.99 hectares located in Namibia. It also holds 90% interest in the Fekola project located in Mali; 81% interest in the Kiaka gold project located in Burkina Faso; and 49% joint venture interest in the Gramalote property located in Colombia, as well as an interest in the Quebradona property located in Colombia. The company was incorporated in 2006 and is headquartered in Vancouver, Canada.
Like all trading, you would need to make decision if this strategy is right for you. Out of the money covered calls is a covered call strategy where the moderately bullish investor sells out-of-the-money calls against a holding of the underlying shares. The OTM covered call is a popular strategy as the investor gets to collect premium while being able to enjoy capital gains (albeit limited) if the underlying stock rallies.
Limited Profit Potential
In addition to the premium received for writing the call, the OTM covered call strategy's profit also includes a paper gain if the underlying stock price rises, up to the strike price of the call option sold.
The formula for calculating maximum profit is given below:
Max Profit = Premium Received - Purchase Price of Underlying + Strike Price of Short Call - Commissions Paid
Max Profit Achieved When Price of Underlying >= Strike Price of Short Call
Unlimited Loss Potential
Potential losses for this strategy can be very large and occurs when the price of the underlying security falls. However, this risk is no different from that which the typical stock-owner is exposed to. In fact, the covered call writer's loss is cushioned slightly by the premiums received for writing the calls.
The formula for calculating loss is given below:
Maximum Loss = Unlimited
Loss Occurs When Price of Underlying < Purchase Price of Underlying - Premium Received
Loss = Purchase Price of Underlying - Price of Underlying - Max Profit + Commissions Paid
Break-even Point(s)
The underlier price at which break-even is achieved for the covered call (otm) position can be calculated using the following formula.
Break even Point = Purchase Price of Underlying - Premium Received
BTG- Do You Think It is Bullish?B2Gold Corp (Basic Materials) Gold/Canada,a market cap of 1.73B with a volume today of 7,782,275.
When you look at PA on chart & RSI indicator, they are showing a "W" pattern, which is a strong bottom pattern, especially on higher time frame charts. I believe that this stock is a strong buy, with a potential of going up to $2.88 (1st stop) & $2.92 (2nd stop) during Wednesday's trading.
Example: IF you buy 1000 shares at current PA of $283, which would be an investment of $2,830 & PA goes up to $2.88, that would be $50 in profit- if PA goes up to $2.92, that would be $90 profit. If you can buy more shares then your profit would go up expediently accordingly. This is an example of principle of a trade going your way, remember to always move your stop loss up to break up.
(GOLD) BTG: Ready For Next Upleg ??GOLD has been on a tear for the past month rallying from its recent low on 15/12/16.
Most gold miners have also benefited and been rallying almost from the same period.
BTG has rallied almost 40% from its 15/12 low at 2.02.
From Elliot standpoint, there are 2 possible interpretations.
Further price evidence is required for confirmation of either of the option.
(1) Double Zig Zag
BTG has completed a double zig-zag retracement which has ended at 2.02. (as shown on chart)
The stock will rally above its recent high of 3.65 in tandem with GOLD.
A break below 2.02 will invalidate this option.
(2) Bearish Expanded Flat
BTG is on course to complete a bearish Expanded Flat before reversing to bring it down below 2.02 to complete the entire correction.
A decisive rally above 3.65 will invalidate this option and confirm the bullish interpretation (1).
B2GOLDI have started accumulating my medium-term position in this stock once it broke the down-trend started in August of 2016.
I am looking to add on a dip over the next few days (which there should be one), however I am playing this from a more aggressive standpoint. If you're a more passive investor, wait for a clean break and close above the key $4 level which has proven to be resistance for a year now.
The USD version of this stock is BTG.
BTGLong from 2.35. Stop 2.15. Might be a long-term hold but I'm showing a notional trade to the $9 region.
$BTG Long SetupOn the 5 year chart timeframe I'd look for an entry now or near the 200 day moving average around $2.14. My stop loss would be just below or near $2.00 - $2.10 range. Possible lower high in place bounced at the 200 day. Price target would be over $3.50 with a hopeful test of $4.50 in the future. No time-frame on this move just a stop loss that I wouldn't move unless it broke through $3.50.
BTO.TO - GOLD - B2GOLDRoughly trading on the same trend lines as gold.
I am personally long from 3.43 - 2.97 - 2.89 (in that order) Avg. Cost 3.23, SL 3.43, TP 4.75
BTO.TO dropped significantly (roughly 12%) in late September due to a administrative audit (pretty much BS, and nothing will come from it as mining production in this area has not been hampered), and has a lot of room to grow with gold.
Have been pushing BTO in the chat for a few weeks now, however given the fact that it is on the TSX (you can trade BTG in USD if you prefer, same company), the idea hasn't really caught on.
May want to wait for a bounce off of the lower trendline to buy long (I will be adding if it reaches this level), however I am unsure if it will drop to the second trendline unless we see a significant drop in the price of gold.
Gold, silver metals companies are about to surge Shares of basic material companies are surprisingly surging up after several days of down consolidation. Companies such as Alamos Gold Inc., Golden Minerals Company, B2Gold Corp, Fortuna Silver Mines Inc. and Gold Fields Limited are performing extremely bullish for the last two sessions during which two vital bullish candle patterns have been formed: engulfing and gap. This has been coupled with increasing volume.
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Bullish Cypher Pattern on B2GoldCould there be a reversal for B2Gold? Bullish cypher pattern with the MACD to soon crossover at an oversold level, and a bullish engulfing candlestick.
BTG - 4hrB2GOLD Corp had a 285% rally in presumed (white) wave 1. Price action and technical indicators suggest the heart of a 3rd of 3 vice yellow alt 5 of (1). Like AUMN and TGD, I see embedded momentum indicators and breakout on MACD.
BTG - minerPrimary Elliott Wave pattern analysis with Fibonacci extension targets. Stops on BTG should be no lower than 1.25.
pennies to thousands gold silver and basic materialsgood candle get our book read chapter 4 on best candlesticks 40 yrs experience stoc strong rbi strong cci and percent r in upper range macd about to cross weakly candle above cloud strong group
BTGBTG Gold Corp may be the leader out of the bottom for Gold Miners. With the RSI approaching overbought we can expect a nice pop to the upside. Wait for the tag of the trend line then go long.
