Proshares Ultra Silver ETF Leaps

Trade Alert - (AGQ) – BUY

BUY the ProShares Ultra Silver January 2026 $49-$50 out-of-the-money vertical Bull Call spread LEAPS at $0.30 or best

 

Opening Trade

10-10-2024

expiration date: January 16, 2026

Number of Contracts = 1 contract

There are a few times in your life when bold action and extreme leverage are called for. This is one of those times.

Having 6,000 paid subscribers does have its benefits.

It gives me 6,000 reliable information sources in all 50 states and 135 countries. I pick up a lot of pretty interesting information from this network. It’s like having the “Baker Street Irregulars” on call that Sherlock Holmes frequently relied on.

So today, I learned from one of the largest car importers in the United States that the East and Gulf Coast port strike would knock 0.5% of GDP growth in Q3. Everything from bananas to car parts is trapped at sea.

A few minutes later, I received a call from an analyst in the Southeast US informing me that Hurricane Helene would knock a full 1.0% off of growth.

Add these two events together, and the Fed will read these as a recession that will crush inflation and accelerate the need for interest rate cuts. There is only one possible response to these developments.

You need to run out and buy as much gold (GLD) and silver (SLV) RIGHT NOW!

In addition, the blockbuster Chinese stimulus package will lead to greater savings, and there is only one place people in the Middle Kingdom can save right now, and that is through buying gold.

I am therefore buying the ProShares Ultra Silver (AGQ) January 2026 $49-$50 out-of-the-money vertical Bull Call spread LEAPS at $0.30 or best.

DO NOT USE MARKET ORDERS UNDER ANY CIRCUMSTANCES.

If you don’t do options, buy the stock. My target for (AGQ) in 2025 is $85, up 99%.

This is a bet that  ProShares Ultra Silver (AGQ) will not fall below $50.00 by the January 16, 2026 option expiration in 15 months.

To learn more about the company, please click here to visit their website.

Don’t pay more than $0.45 or you’ll be chasing on a risk/reward basis.

Please note that these options are illiquid, and it may take some work to get in or out. Executing these trades is more an art than a science.

Let’s say the ProShares Ultra Silver (AGQ) January 2026 $49-$50 out-of-the-money vertical Bull Call spread LEAPS are showing a bid/offer spread of $0.20-$0.40. Divide your money into five pieces and enter a good-until-cancelled orders for one contract at $0.30, another for $0.32, another for $0.34, another for $0.36, and a final one at $0.38.

Eventually, you will enter a price that gets filled immediately. That is the real price. Then, enter an order for your full position at that real price.

Notice that the day-to-day volatility of LEAPS prices is minuscule, less than 10%, since the time value is so great, and you have a long position simultaneously offset by a short one.

This means that the day-to-day moves in your P&L will be small. It also means you can buy your position over the course of a month, just entering new orders every day. I know this can be tedious but getting screwed by overpaying for a position is even more tedious.

Look at the math below, and you will see that a 16.93% rise in (AGQ) shares, or an 8.47% rise in silver (SLV) over 15 months will generate a 233% profit with this position, such is the wonder of LEAPS. That gives you an implied leverage of 27.51:1 across the $49-$50 space. LEAPS stands for Long-Term Equity Anticipation Securities.

Only use a limit order. DO NOT USE MARKET ORDERS UNDER ANY CIRCUMSTANCES. Just enter a limit order and work it.

Here are the specific trades you need to execute this position:

Buy 1 January 2026 (AGQ) $49.00 calls at………….………$12.00

Sell short 1 January 2026 (SLB) $50.00 calls at….,………$11.70

Net Cost:………………………….………..………….….................$0.30

Potential Profit: $1.00 - $0.30 = $0.70

(1 X 100 X $0.70) = $70 or 233% in 15 months.

 

 

 

To see how to enter this trade in your online platform, please look at the order ticket below, which I pulled off of Interactive Brokers.

If you are uncertain on how to execute an options spread, please watch my training video on “How to Execute a Vertical Bull Call Debit Spread” by clicking here at

https://www.madhedgefundtrader.com/ltt-vbcs/

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.

Keep in mind that these are ballpark prices at best. After the alerts go out, prices can be all over the map.