Global Market Comments
July 10, 2023
Fiat Lux
Featured Trades:
(FRIDAY, AUGUST 4, 2023 VIENNA, AUSTRIA STRATEGY LUNCHEON)
(LEARNING THE ART OF RISK CONTROL)
CLICK HERE to download today's position sheet.
Global Market Comments
July 7, 2023
Fiat Lux
Featured Trades:
(SATURDAY, AUGUST 5, 2023 ROME, ITALY GLOBAL STRATEGY LUNCHEON)
(HOW TO EXECUTE A MAD HEDGE TRADE ALERT)
CLICK HERE to download today's position sheet.
Today, I’m going to teach you how to execute one of my market-beating Trade Alerts.
Pay attention because if you have subscribed to Global Trading Dispatch or Mad Hedge Fund Trader Pro, you will receive about 200 of these a year. The alerts will bunch up at market tops and bottoms. After that, we may see weeks of no action. Ideal entry points don’t happen every day of the year.
Following them is your path to understanding global financial markets.
You will also make a lot of money.
Most important is for you to add my email address to your address book. Otherwise, all my trade alerts will go into your spam folder where they will disappear forever.
So please add alert@madhedgefundtrader.com right now to your email address book. To sign up for the Text Alert Service so you can get alerts five seconds after they are issued, please email Filomena at support@madhedgefundtrader.com. Be sure to put “Text Alert Sign Up” in the subject line.
Let me show you a real-world example of how to do a round trip on a trade that I issued a few years ago.
Holy smokes! What’s that?
That pinging sound from your cell phone tells you the Mad Hedge Fund Trader has just sent out a Trade Alert! The urgent text alert says:
MHFT ALERT- Buy ETF (TBT) at $57.06 or best, Opening Trade 9-8-2014, wgt: 10% =174 shares, SEE EMAIL
A few minutes later, you receive the following email:
Sender: Mad Hedge Fund Trader
Subject: Trade Alert - (TBT) September 9, 2014
Trade Alert - (TBT)
Buy the ProShares Ultra Short 20+ Treasury ETF (TBT) at $57.06 or best
9-8-2014
Opening Trade
Portfolio weighting: 10%
Number of Shares: 174
You can buy this in a $57-$58 range and have a reasonable expectation of making money on this trade.
Logic to follow.
Here is the specific trade you need to execute this position:
Buy 174 shares of the (TBT) at……………$57.06
(174 shares X $57.56 = $10,015.44)
So that’s how it’s done.
You now own 174 shares of the (TBT). That is a bet that bond prices will rise and interest rates will rise.
So let’s see how that position worked out over the next several days.
Did it work? Did you make money? Let’s see what transpired in the weeks after this trade alert was issued.
It turned out that the TBT was the perfect position to take at that time.
Bond prices fell pretty fast, and interest rates spiked up nicely causing the (TBT) to jump by $2.91 in the following nine days. That works out to a nice little gain of 5%.
By the way, you can pull up these charts anytime you want for free by just going to www.stockcharts.com
What’s that? Here comes another text message from the Mad Hedge Fund Trader! Better check it out.
MHFT ALERT- Sell ETF (TBT) at $59.97 or best, Closing Trade 9-17-2014, wgt: 10% =174 shares, SEE EMAIL.
The following email says:
Sender: Mad Hedge Fund Trader
Subject: Trade Alert - (TBT) September 17, 2014
Trade Alert - (TBT)
Sell the ProShares Ultra Short 20+ Treasury ETF (TBT) at $59.97 or best
9-17-2014
Closing Trade
Portfolio weighting: 10%
Number of Shares: 174
Here is the specific trade you need to exit this position:
Sell 174 shares of the August 2014 (TBT) at……………$59.97
Profit: $59.97 - $57.06 = $2.91
174 shares X $2.91 = $506.34, or 0.51% for the notional $100,000 model portfolio.
So there, you’ve just made $506 in just 9 days, which works out to 0.51% per $100,000.
You did this never risking more than 10% of your cash at any time.
Annualize that, and it works out to 206% a year.
That’s how it’s done. This is how the big boys do it. This is how I do it.
Of course, not every trade is a winner, and not all do this well so quickly. Sometimes, it requires the patience of Job to see a trade through to profitability. Last year, slightly less than 90% of my trades made money. The rest I stopped out of for small losses. That’s because it’s easier to dig yourself out of a small hole than a big one.
But one thing is for sure. You win more games hitting lots of singles. Beginners stand out by swinging for the fences and striking out almost every time.
So, watch your text message service for the next Trade Alert. Watch your email. And you can follow me on your way to successful trading, and to riches.
Global Market Comments
July 6, 2023
Fiat Lux
Featured Trades:
(TUESDAY, AUGUST 1, 2023 FLORENCE, ITALY GLOBAL STRATEGY LUNCHEON)
(PLAYING THE SHORT SIDE WITH VERTICAL BEAR PUT SPREADS)
(TLT)
CLICK HERE to download today's position sheet.
Global Market Comments
July 5, 2023
Fiat Lux
Featured Trades:
(THURSDAY, JULY 27, 2023 CORTINA d’AMPEZZO, ITALY STRATEGY LUNCHEON)
(HOW TO EXECUTE A VERTICAL BULL CALL SPREAD),
(AAPL)
CLICK HERE to download today's position sheet.
Come join me for lunch at the Mad Hedge Fund Trader’s Global Strategy Update which I will be conducting in Cortina, Italy on Thursday, July 27, 2023. An excellent meal will be followed by a wide-ranging discussion and an extended question-and-answer period.
I’ll be giving you my up-to-date view on stocks, bonds, currencies, commodities, precious metals, and real estate. And to keep you in suspense, I’ll be throwing a few surprises out there too. Tickets are available for $288.
I’ll be arriving on time and leaving late in case anyone wants to have a one-on-one discussion, or just sit around and chew the fat about the financial markets.
The lunch will be held at an exclusive hotel in the heart of Cortina with an expansive view of the Dolomites. I picked Cortina because this is where my great uncle died in the “White War” of WWI. Cortina has also been the location of three James Bond movies. The precise location will be emailed with your purchase confirmation.
I look forward to meeting you, and thank you for supporting my research.
To purchase tickets for the luncheons, please click the BUY NOW! button above or click here.
Global Market Comments
July 3, 2023
Fiat Lux
Featured Trades:
(JULY 19 LONDON ENGLAND STRATEGY LUNCHEON)
(WELCOME TO THE WONDERFUL WORLD OF OPTIONS),
(WHAT IS AN OPTION? -THE BASICS)
CLICK HERE to download today's position sheet.
Note to Readers: Over the next 15 trading days you will be receiving my options trading boot camp. That's because this week, I’ll be knocking off from my daily routine to dive into some deep research pieces.
Enjoy.
Hi there, I’m John Thomas, the Mad Hedge Fund Trader. Welcome to my trading desk and your new job of attaining financial independence.
The coffee machine is right over there, and the bathrooms are down the hall. Don’t let all the shouting bother you. You’ll get used to it after a while.
You’ve already made one of the best business decisions in your life, signing up for my service. And you won’t just be joining me, but an entire community of thousands of successful traders and investors spread around the world in 137 countries.
Some of my best ideas are really coming from them. I just pass them on to you. You should have received your password and full access to my website by now.
So, get started on your homework, learn how the markets function, and figure out how to trade. Soon, you’ll have the unfair advantage in the markets that you deserve.
I have issued more than 2,000 trade alerts over the past 12 years so I have a pretty good idea of what works for followers.
Every trade alert I issue gives you the choice of buying a stock, an exchange-traded fund (ETF), or an option spread.
Since we have been in a bull market for the past ten years, those who bought stock only outright made the most money. Those who used the leverage of the futures markets relied on me for their market timing and delivered the most spectacular profits, and by spectacular, I mean 1,000% in a single year.
However, those who used options spreads earned the most money with the least risk over time. I know when some of you hear the word “option”, you want to run a mile.
However, if you are willing to invest of few hours of your time learning about options, you will have a trading and investment skill that you can use for the rest of your life. And I’ll be doing the heavy lifting for you.
When you subscribed to this service, you effectively added 50 years of trading experience to your own.
The good news is that options are not that hard to figure out.
If you can turn on a computer, click your mouse, and log into your online trading account, you have all the resources you need to trade options.
All you have to do is get some basic training on how to navigate the options market. Finish this two-hour course, and you will have most of what you need to know.
Better yet, if you implement the options strategies and disciplines that I will teach you, you can tilt the chance of making money overwhelmingly in your favor.
Working together is going to be fun. I have a chair right here for you, so sit down, let’s get down to it, and put on some serious money-making positions.
It's Not That Hard to Figure Out
A stock option is a contract that gives the buyer the right, but not the obligation, to buy or sell a certain number of shares in a company at a specified time at a fixed price.
There are two kinds of options, and they are always defined using the same basic terms.
The terms “Calls” and “Puts” tell you whether you have the right to buy or sell the shares of the underlying company.
The Ticker Symbol tells you which company shares the options are on. The ticker symbol for Apple is (AAPL).
The Expiration Date is when the contract ceases to be valid.
The Strike Price indicated the price at which you have the right to buy or sell shares.
For example, if you buy one of the Apple June 17, 2016 $110 calls, it gives you the right to BUY 100 Apple shares at $110/share any time on or before June 17, 2016. If Apple shares then rise, you make a profit. This is a bullish bet.
In the words of United States Army General, Creighton Abrams, "When eating an elephant, take one bite at a time."