p>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.
Trade Alert - (AAPL) ? BUY
BUY the Apple (AAPL) May, 2015 $115-$120 deep in-the-money vertical call spread at $4.00 or best
Opening Trade
4-15-2015
expiration date: May 15, 2015
Portfolio weighting: 10%
Number of Contracts = 26 contracts
You can buy this vertical bull call spread anywhere within a $3.90-$4.25 range and have a reasonable expectation of making money on this trade.
If you can?t do the options, then buy the stock outright. We are overdue for another rally. The stock refuses to go down, and the good news is coming out almost daily.
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.
If the price of this spread has moved more than 5% by the time you receive this Trade Alert, don?t chase it. Wait for the next one. There are plenty of fish in the sea.
Here are the specific trades you need to execute this position:
Buy 26 May, 2015 (AAPL) $115 calls at?????$12.75
Sell short short 26 May, 2015 (AAPL) $120 calls at..??.$8.75
Net Cost:??????????????????.....$4.00
Potential Profit: $5.00 - $4.00 = $1.00
(26 X 100 X $1.00) = $2,600 or 2.60% profit for the notional $100,000 portfolio.
