As a potentially profitable opportunity presents itself, John will send you an alert with specific trade information as to what should be bought, when to buy it, and at what price. This is your chance to ?look over? John Thomas? shoulder as he gives you unparalleled insight on major world financial trends BEFORE they happen.
Trade Alert - (TLT)
Buy the iShares Barclays 20+ Year Treasury Bond Fund (TLT) March, 2014 $111-$114 bear put spread at $2.69 or best
Opening Trade
3-3-2014
expiration date: 3-21-2014
Portfolio weighting: 10%
Number of Contracts = 37 contracts
The best execution can be had by placing your bid for the entire spread in the middle market and waiting for the market to come to you. The difference between the bid and the offer on these deep in-the-money spread trades can be enormous. Don?t execute the legs individually or you will end up losing much of your profit.
Keep in mind that these are ballpark prices only. Spread pricing can be very volatile on expiration months further out.
Here are the specific trades you need to execute this position:
Buy 37 March, 2014 (TLT) $114 puts at?????..?$5.15
Sell short 37 March, 2014 (TLT) $111 puts at????$2.46
Net Cost:????????????....??..??.......$2.69
Potential Profit: $3.00 - $2.69 = $0.31
($0.31 X 100 X 37) = $1,117 or 1.15% for the notional $100,000 model portfolio.