Buy Alert: December 12, 2014

Marcus Haber | December 12, 2014

Buy Alert: December 12, 2014

Trade Details

Buy Salesforce.com (CRM) January 57.50 Calls for $1.50 or better

Why?

CRM is an industry leader in both CRM software and cloud-based software in general. It’s a great company with growing sales and a huge market for its products. The stock is down with other tech/Internet names due to the recent period of risk aversion among investors. The downward move isn’t going to hold for long. CRM is due for a rebound.

We’re going to buy January calls. Conservative investors can take profits at $59. Aggressive investors can hold up to $62. For risk control, conservative traders should exit at $52, while more aggressive traders can hold down to $48.