Beyond Cramer: NYSE-Euronext

NYSE Euronext, Inc. (NYSE: NYX) opened at $80.48. So far today the stock has hit a low of $78.66 and a high of $80.65. As of 10:55, NYX is trading at 80.07, up 0.12 (0.2%).

After hitting a one year high of 112.00 in November, the stock has slipped nearly 30% since then. Though this stock is down 15 points since Jim Cramer called it the "growth stock of the year for 2007," he's willing to stand by his pick. He calls Euronext the fastest-growing exchange, which is worth $80 by itself. Though he can't say when the stock will stop dropping, Cramer is hanging in there for when the market comes around, and he feels this stock will still be a solid piece of his portfolio. Recent technical indicators for NYX have been bearish and improving slightly, while S&P gives the stock a positive 4 STARS (out of 5) buy rating.

For a bullish hedged play on this stock, I would consider a July bull-put credit spread below the $70 range. NYX hasn't been below $70 since September and has shown support around $79 recently. This trade could be risky if we see a summer nosedive in the stock market, but even if that happens, NYX should find some strong historical support around $75 and could have some time to bounce back before September expiration.

Brent Archer is an options analyst and writer at Investors Observer. Do you have any deadwood in your portfolio? Check out the 18 Warning Signs That Tell You When To Dump A Stock.

DISCLOSURE: Mr. Archer owns and/or controls diversified portfolios of long and short stock and option positions that may include holdings in companies he writes about. At publication time, Brent neither owns nor controls positions in NYX.