May 14, 2013 (Marketintelligencecenter.com via COMTEX) -- Fastenal Company (NASDAQ:FAST) closed Monday's trading session at $50.94. In the past year, the stock has hit a 52-week low of $37.61 and 52-week high of $53.38. Fastenal (FAST) stock has been showing support around $49.93 and resistance in the $52.17 range. Technical indicators for the stock are Bullish and S&P gives Fastenal (FAST) a very positive 5 STARS (out of 5) strong buy rating. For a hedged play on Fastenal (FAST), look at the Aug '13 $50.00 covered call for a net debit in the $47.99 area. That is also the break-even stock price for this trade. This covered call has a duration of 95 days, provides 5.79% downside protection and an assigned return rate of 4.19% for an annualized return rate of 16.09% (for comparison purposes only). A lower-cost hedged play for Fastenal (FAST) would use a longer term call option in place of the covered call stock purchase. To use this strategy look at going long the Fastenal (FAST) Jan '14 $39.50 call and selling the Aug '13 $50.00 call for a total debit of $9.55. The trade has a lifespan of 95 days and would provide 3.71% downside protection and an assigned return rate of 9.95% for an annualized return rate of 38% (for comparison purposes only). Fastenal (FAST) has a current annual dividend yield of 1.64%.

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