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)- TAKE PROFITS
SELL the iShares Barclays 20+ Year Treasury Bond Fund (TLT) September, 2016 $142-$145 in-the-money vertical bear put spread at $2.95 or best
Closing Trade
9-8-2016
Expiration date: September 16, 2016
Portfolio weighting: 10%
Number of Contracts = 39 contracts
Here?s another home run, up 15.68% in seven trading days.
Take profits now to avoid the turmoil of the September options expiration on Friday next week.
This means that 15 OUT OF THE LAST 16 TRADE ALERTS HAVE BEEN PROFITABLE, a win rate of 93.75%!
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 on ?How to Execute a Vertical Bear Put Spread? at https://www.madhedgefundtrader.com/ltt-vbpds/
The best execution can be had by placing your bid for the entire spread in the mid 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 39 September, 2016 (TLT) $145 puts at????.???$6.70
Buy to cover short 39 September, 2016 (TLT) $142 puts at..????.$3.75
Net Cost:????????????????..??.?.....$2.95
Profit: $2.95 - $2.55 = $0.40
(39 X 100 X $0.40) = $1,560 or 15.68% profit over 7 trading days.
