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 - (TLT)- TAKE PROFITS
SELL the iShares 20+ Year Treasury Bond Fund (TLT) October, 2016 $136-$138 in-the-money vertical bear put spread at $1.97 or best
?Closing Trade
10-14-2016
expiration date: October 21, 2016
Portfolio weighting: 10%
Number of Contracts = 55 contracts
I have to tell you that after doing this for 50 years, it gets easy.
So I am going to ring the cash register one more time and take profits on my position in the iShares 20+ Year Treasury Bond Fund (TLT) October, 2016 $136-$138 in-the-money vertical bear put spread.
If you can get anywhere near the $1.97 price I see on my screen, you will have made a one day 8.20% profit, or $880 for every $10,835 you invested.
This is what the big boys do all day long.
From yesterday?s highs, when I strapped on this position, we got a very convenient 2-point dump at this morning?s market opening. At these prices you can realize 84.21% of the maximum potential profit in the position.
With only 5 days until expiration, the time decay kicked in big time.
By taking profits here, you get to duck the risk of the October 19th Las Vegas presidential debate, where anything may happen.
To see how to enter this trade in your online platform, please look at the order ticket below, which I pulled off of optionshouse.
If you are uncertain about how to execute an options spread, please watch my training video How to Execute a Vertical Bear Put Spread
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 with only five trading days left.
Please keep in mind these are ballpark prices at best. After the text alerts go out, prices can be all over the map. There is no telling how much the market will have moved by the time you get this email.
Be sure you've signed up for our FREE text alert service. When seconds count, this feature offers a trading advantage.? In today's volatile markets, individual investors need every advantage they can get.
Here Are the Specific Trades You Need to Execute This Position:
SELL 55 October, 2016 (TLT) $138 puts at????.???$6.00
Buy to cover short 55 October, 2016 (TLT) $136 puts at..?.$4.03
Net Proceeds:????????????????..??.....$1.97
Profit: $1.97 - $1.81 = $0.16
(55 X 100 X $0.16) = $880 or 8.20% in 1 trading day.
