When John identifies a strategic exit point, he will send you an alert with specific trade information as to what security to sell, when to sell it, and at what price. Most often, it will be to TAKE PROFITS, but, on rare occasions, it will be to exercise a STOP LOSS at a predetermined price to adhere to strict risk management discipline.
Trade Alert - (XOM) - EXPIRATION AT MAX PROFIT
EXPIRATION OF the ExxonMobil (XOM) April 2024 $100-$105 in-the-money vertical bull call debit spread at $5.00
Closing Trade
4-19-2024
expiration date: April 19, 2024
Portfolio weighting: 10%
Number of Contracts = 25 contracts
I am sending this out now, so I don’t overwhelm you with too many Maximum profit trade alerts on expiration day on Friday, April 19.
With this trade, we really seized the ballistic melt-up in (XOM) shares this month. This position is expiring an earth-shaking 18% in the money.
Just to be clear, this position does not expire until after the close on Friday, April 19.
As a result, you get to take home $1,375, or 12.36% in 20 trading days. Well done and on to the next trade.
You don’t have to do anything with this expiration.
Your broker will automatically use your long position to cover your short position, canceling out the total holdings.
The entire profit will be credited to your account on Monday morning, April 22 and the margin freed up.
Some firms charge you a modest $10 or $15 fee for performing this service.
The flight of money right now is from small, undercapitalized, and questionable to large, overcapitalized, and rock solid.
There is no better way to play an unfolding commodity boom than to buy ExxonMobil (XOM), America’s largest oil major. (XOM) also has an additional attraction in that its shares off a healthy 3.41% dividend.
The Middle Eastern war continues to percolate on, and we now have a new factor pushing oil up with Ukraine launching successful drone strikes on several Russian oil refineries. There will be more as soon as Congress gets off its ass and supplies Kiev with more weapons.
This was a bet that the ExxonMobile (XOM) would not trade below $105.00 by the April 19 option expiration day tomorrow.
Here are the specific trades you need to close out this position:
EXPIRATION of 25 April 2024 (XOM) $100 calls at………....…$18.61
EXPIRATION of short 25 April 2024 (XOM) $105 calls at…….$13.61
Net Proceeds:…..……………….……….…………….…....................…$5.00
Profit: $5.00 - $4.45 = $0.55
(25 X 100 X $0.55) = $1,375, or 12.36% in 20 trading days.
