Trade Alert - (AAPL) June 19, 2017
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 - (AAPL)
BUY the Apple (AAPL) July, 2017 $135-$138 in-the-money vertical bull call spread at $2.62 or best
Opening Trade
6-19-2017
expiration date: July 21, 2017
Portfolio weighting: 10%
Number of Contracts = 38 contracts
This is a repatriation play, a bet that Apple will be allowed to bring the $250 billion hoard of cash it hides overseas back into the US tax-free.
CEO Tim Cook is meeting with the president at the White House as I write this
Time to dip your toe in the water with a FANG stock, which are executing a nice upside breakout today.
They have been punished enough, and the buy the dippers are back in force.
Don't pay a penny more than $2.70 for the position.
If you can't do options just by the stock outright. It is going to $200 over the next year.
This is a bet that the (AAPL) will not trade below $138 by the July 21 expiration in 23 trading days.
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 Spread by clicking here at https://www.madhedgefundtrader.com/ltt-executetradealerts/.
You must be logged into your account to view the video.
Please keep in mind that these are ballpark prices only. There is no telling how much the market can move by the time you get this.
Be sure you've signed up for our FREE text alert service. When seconds count, this feature offers a trading advantage. In today's market, investors need every advantage they can get.
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 with only 13 days to expiration.
If you don't get done, don't worry. There are another 250 Trade Alerts coming at you over the coming 12 months.
Here are the specific trades you need to execute this position:
Buy 38 July, 2017 (AAPL) $135 calls at..................$12.00
Sell short 38 July, 2017 (AAPL) $138 calls at........................$9.38
Net Cost:.................................................$2.62
Potential Profit: $3.00 - $2.62 = $0.38
(38 X 100 X $0.38) = $1,444 or 14.50% profit in 23 trading days.
