Agilent Technologies Inc. (A) Rises 1.5% On Heavy Volume

Agilent Technologies Inc. (NYSE: A) closed yesterday at $31.15. So far the stock has hit a 52-week low of $12.02 and 52-week high of $31.77. Agilent stock has been showing support around 30.22 and resistance in the 31.70 range. Technical indicators for the stock are Bullish and S&P gives A a positive 4 STAR (out of 5) buy rating. A appears on the Investors Observer Volume Leaders list. For a hedged play on this stock, look at a May '10 30 covered call for a net debit in the $28.49 area. That is also the break even stock price for this trade. This covered call has a 127 day duration, provides 8.54% downside protection and a 5.30% assigned return rate for a 15.23% annualized return rate (comparison purposes only). A lower cost hedged play for this stock would use a longer term call option in place of the covered call stock purchase. To use this strategy look at going long the A Jan '11 17.50 Call and selling the May '10 30 call for an $11.29 debit. The trade has a 127 day life and would provide 7.58% downside protection and a 10.72% assigned return rate for a 31.00% annualized return rate (for comparison purposes only). Agilent does not pay dividends at this time.

FBB-Seven Summits Research Goto www.iotogo.com/18w1 for our free report titled, The 18 Ways To Know When It's Time To Dump A Stock

Related terms: dividends, investment opinion, nyse, research, S&P, trade