May 14, 2013 (Marketintelligencecenter.com via COMTEX) -- priceline.com Inc (NASDAQ:PCLN) closed Monday's trading session at $777.44. In the past year, the stock has hit a 52-week low of $553.42 and 52-week high of $779.25. Priceline.com (PCLN) stock has been showing support around $750.81 and resistance in the $792.57 range. Technical indicators for the stock are Bullish and S&P gives Priceline.com (PCLN) a neutral 3 STARS (out of 5) hold rating. For a hedged play on Priceline.com (PCLN), look at the Jul '13 $820.00 covered call for a net debit in the $762.94 area. That is also the break-even stock price for this trade. This covered call has a duration of 67 days, provides 1.87% downside protection and an assigned return rate of 7.48% for an annualized return rate of 40.74% (for comparison purposes only). A lower-cost hedged play for Priceline.com (PCLN) would use a longer term call option in place of the covered call stock purchase. To use this strategy look at going long the Priceline.com (PCLN) Jan '14 $605.00 call and selling the Jul '13 $820.00 call for a total debit of $176.40. The trade has a lifespan of 67 days and would provide -0.51% downside protection and an assigned return rate of 21.88% for an annualized return rate of 119% (for comparison purposes only). Priceline.com (PCLN) has a current trailing average dividend yield of 0%.

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