Case Study: Dow Jones (DJ)

06/18/08

As a result of our numbers analysis and intelligence-gathering, we bought Dow Jones (DJ) on April 26, 2007, and on the morning of May 1, 2007. At 11:26 that morning, trading in the stock was halted at $36.53. At 11:52 trading resumed, on the news DJ was being acquired for $60 per share by News Corp. (NWS)!

So why did we buy?

Just like a radar system, our monitoring of all options activity is always on. And trading activity triggered a Radar Alert in mid-April, so we started watching the June 40 and September 40 calls very closely. As buying picked up, we really liked the persistence and intensity of the action -- plus the high option activity, despite low volatility in the stock itself.

Obviously, someone knew something was up -- and they were out to take full advantage.

You could have taken full advantage, too. Options buyers had a return ranging from 2,000% to nearly 4,000%!

Precision strikes for big profits -- that's what we're all about at Big Money Options. Get in on our next trade -- click here now!