Cnooc (CEO) Showing Resistance Near $186.88 With 2.91% Dividend Yield

Date:2011-08-24zhina  Text Size:
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Cnooc (NYSE:CEO) closed Monday's volatile trading session at $179.71. In the past year, the stock has hit a 52-week low of $166.37 and 52-week high of $271.94. Cnooc (CEO) stock has been showing support around $175.66 and resistance in the $186.88 range. Technical indicators for the stock are Bearish and S&P gives Cnooc (CEO) a neutral 3 STARS (out of 5) hold rating. For a hedged play on Cnooc (CEO), look at the Dec '11 $185.00 covered call for a net debit in the $166.01 area. That is also the break-even stock price for this trade. This covered call has a duration of 116 days, provides 7.62% downside protection and an assigned return rate of 11.44% for an annualized return rate of 35.99% (for comparison purposes only). Cnooc (CEO) has a current annual dividend yield of 2.91%.

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