Trading a bullish momentum shift in American Express shares with options
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CNBC
3 hours ago
- CNBC
Buying the dip on this footwear stock using options after 'overdone' sell-off
Crocs got hammered — down nearly 30% after the Thursday report — after cautious guidance tied to the macro backdrop overshadowed an earnings beat. Sure, uncertainty is everywhere right now, but such a flush on a name that still topped earnings looks overdone. Analyst views are mixed, yet even the downgrades (Stifel, Barclays, BofA, KeyBanc) carry price targets in the $80–$100 range — still above where CROX is trading. I'm not expecting fireworks here, but the setup I like only needs CROX to trade around $77 —about 50 cents from current levels — to deliver a 100% return on risk. Small move, defined risk, clear payoff. For CNBC readers: I'm opening up my options trade scanner for free —grab a few more trades like this while it's live. I also break down these setups in detail in my book Mean Reversion Trading . To provide confirmation, I am using two technical indicators for this trade setup. MACD (moving average convergence divergence): One reliable way to spot potential reversals is the MACD indicator. The standard settings (12, 26, 9) are widely used but can be a bit laggy, so I often switch to MACD (5, 13, 5) for quicker reads. On CROX, the MACD line (blue) still hasn't crossed above the signal line (yellow). With post-earnings setups — especially after a steep drop — patience pays. Waiting for confirmation (e.g., the bullish crossover or at least a turning histogram) helps avoid getting trapped in the wrong trade if the slide continues. RSI (relative strength index): The RSI is a straightforward momentum gauge and a handy reversal tell. Since it's currently oversold, consider waiting for it to curl higher and reclaim 30 for added confirmation — helps avoid jumping in on a false start. The trade: CROX 76-77 bull call spread To get bullish on CROX, I'm using a bull call spread. With the stock around $76.56, the setup is simple: buy the $76 call (ITM) and sell the $77 call (OTM) as one package — defined risk and defined payoff. If price wiggles, you can scale by layering more spreads. For example, if CROX dips toward $73, add a $73–$74 call spread to take advantage of the pullback while keeping risk tight. Here is my exact trade setup: Buy $76 call, Sept. 12 expiry Sell $77 call, Sept. 12 expiry Cost: $50 Potential Profit: $50 If CROX finishes at or above $77 (the short strike) by expiration, the spread pays its full $1.00 value—turning a roughly $0.50 debit into a 100% return. Running 50 contracts risks $2,500 for a $2,500 max gain. As CROX rebounds, you can ladder in additional spreads to scale exposure methodically and capitalize on these occasional washouts. -Nishant Pant Founder: Author: Mean Reversion Trading Youtube, Twitter: @TheMeanTrader DISCLOSURES: None. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
Fast Company
5 hours ago
- Fast Company
These no-fee travel cards are gunning for Amex Platinum and Chase Sapphire
The credit card rewards market has become a high-stakes battleground in 2025, with issuers rolling out new benefits and revamped product lines to attract or retain affluent, travel-focused customers. In some cases, though, the upgrades come with dramatic fee hikes. In recent weeks, JPMorgan Chase announced a substantial overhaul of its Chase Sapphire Reserve offering, including a fee increase from $550 to $795 per year and the launch of a business version of the card. American Express has signaled a major refresh of its Platinum Card by year's end, including upgrades to its Centurion Lounges and a new 'Sidecar' fast-format lounge concept in Las Vegas. Citi, meanwhile, has reentered the ultra-premium market with the $595 Strata Elite Card, boasting a $1,500 estimated annual value through hotel, travel, and lifestyle credits. Against this backdrop, Capital One is taking a markedly different approach: extending new travel benefits to customers of its no-annual-fee rewards cards. Expanding benefits without raising fees Starting August 12, new cardholders of Capital One's VentureOne, Quicksilver, and Savor products will receive a $100 Capital One Travel credit—the first time the bank has offered a travel credit on these no-fee cards. That comes in addition to existing sign-up bonuses: 20,000 miles for VentureOne or $200 cash back for Quicksilver and Savor after spending $500 in the first three months. The move is paired with a large expansion of the Capital One Travel platform, which now offers access to more than 500,000 vacation rental properties and 180,000-plus bookable activities and excursions. Those can be reserved directly through Capital One Travel, earning cardholders 5x rewards on bookings. The curated experiences range from wine tours in Napa, California, to private boat charters in the Caribbean—signaling a push toward personalized, experiential travel. All three cards now also include complimentary Five Star status with the Hertz Gold Plus Rewards program. Perks include access to a wider selection of vehicles, complimentary upgrades when available, and the ability to bypass the rental counter at select locations. A contrarian strategy in the rewards arms race While competitors are focusing on the upper end of the market—and justifying triple-digit annual fees with expanded lounge access, premium status perks, and lifestyle credits—Capital One's latest move targets a broader swath of consumers: those who value travel benefits but aren't willing to commit to high annual fees. By offering benefits traditionally reserved for higher-tier products, the bank can entice casual travelers to book through its proprietary platform, increasing transaction volume and cross-selling opportunities without the friction of an annual fee. This could be especially relevant as inflation and economic uncertainty make consumers, including those who travel regularly, more cost-conscious. According to a 2024 JD Power report, more than 60% of rewards cardholders cited 'no annual fee' as a top priority when considering a new card, while still ranking travel perks among the most desired benefits. Competitive implications Capital One's timing is notable. Chase's Sapphire Reserve fee hike may prompt some cardholders to reevaluate whether they're fully utilizing their premium benefits. Amex's forthcoming Platinum refresh and Citi's Strata Elite launch are both aimed squarely at high-spending travelers, potentially leaving an opening for Capital One to appeal to consumers who are priced out of the premium tier. By expanding its no-fee travel offerings while maintaining premium-like features, Capital One is betting that it can capture spend from travelers who are increasingly strategic about card benefits—and less inclined to pay $600 to $800 per year for access. The early-rate deadline for Fast Company's Most Innovative Companies Awards is Friday, September 5, at 11:59 p.m. PT. Apply today.
New York Times
9 hours ago
- New York Times
Can This New ‘Elite' Travel Card Compete With Amex and Chase?
When its Strata Elite credit card launched in late July, Citibank joined Chase, American Express and others in the pursuit of luxury travelers. The card's $595 annual fee is lower than the American Express Platinum card ($695, soon to be updated) and the Chase Sapphire Reserve card ($795) but higher than the Capital One Venture X card ($395). The new Citi card touts a number of perks, including the opportunity to earn $1,500 each year in various rewards categories, including six times the points on hotel bookings, a $200 Blacklane credit, a $200 splurge credit and access to airport lounges. Loyalty within Citibank is also rewarded: Customers enrolled in Citigold, a banking and wealth management service, receive a $145 credit after the first year, while Citigold private clients receive an additional $595 credit, effectively covering the Strata Elite card's annual fee. For travelers weighing their options, here's how the Citi Strata Elite card stacks up against its top competitors. Airport Lounges Access to airport lounges has become a top attraction for high-end cards. Amex, Chase, Capital One and Citi all include a Priority Pass membership with access to thousands of airport lounges worldwide. But the quality of the experience at Priority Pass lounges can vary. Some premium cards also offer access to branded lounges: Centurion Lounges (Amex), the Chase Sapphire Reserve lounges, Capital One lounges. The Strata Elite card does not offer access to a bank-branded lounge, but it does include four annual passes to the American Airlines Admirals Club lounges. Want all of The Times? Subscribe.
