Trade Alert – (GLD) August 23, 2012

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.

Trade Alert – (GLD)

Sell the (GLD) September, 2012 $148-$151 Call Spread at $2.90 or best

Closing Trade

8-23-2012 ? 10:00 AM EST

expiration date: 9-21-2012

Portfolio weighting: 10%

40 Contracts

We have squeezed most of the profit out of this trade and the risk/reward is no longer favorable. At these prices we have squeezed out 97% of the potential profit and have a 20% absolute gain, not bad for a week of work. I will keep my remaining 10% weighting and add on any dips.
Gold is going higher.

I am happy to report that this is the 13th consecutive profitable closing position for my trade alert service. As of this minute we are up 13.7% on the year.

These are the trades you should execute:

Sell the September, 2012 (GLD) $148 calls at????$13.70
Buy the September, 2012 (GLD) $151 calls at??…?.$10.80
Net Premium Proceeds:????????..?……???…$2.90

Profit at expiration:
$2.90 – $2.42 = $0.48

(40 X 100 X $0.48) = $1,920, or 1.92% profit for the notional $100,000 portfolio for a one week position.

Thank you Mr. Goldfinger!