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 - (IWM) ? TAKE PROFITS
Sell the Russell 2000 iShares (IWM) February, 2015 $107-$112 deep in-the-money vertical call spread at $4.25 or best
Closing Trade
2-2-2014
expiration date: February 20, 2015
Portfolio weighting: 10%,
Number of Contracts = 26 contracts
You can sell this vertical bull call spread anywhere within a $4.00 - $4.25 range and make decent money on this trade.
If you have the Russell 2000 (IWM) outright, or the ProShares Ultra Russell 200 2X leveraged ETF (UWM), take profits here too. Please click here at http://www.proshares.com/funds/uwm.html for the precise details of the leveraged ETF.
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. Spread pricing can be very volatile on expiration months farther out.
Here are the specific trades you need to execute this position:
Sell 25 February, 2015 (IWM) $107 calls at?????$9.22
Buy to cover short 25 February, 2015 (IWM) $112 calls at..$4.97
Net Cost:??????????????????.....$4.25
Profit: $4.25 - $3.80 = $0.45
(26 X 100 X $0.45) = $1,170 or 1.17% profit for the notional $100,000 portfolio.
