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. This is your chance to ?look over? John Thomas? shoulder as he gives you unparalleled insight on major world financial trends BEFORE they happen.
Trade Alert – (SPY)
Buy the SPDR S&P 500 January, 2014 $173-$176 bull call spread at $2.68 or best
expiration date: January 17, 2014
Portfolio weighting: 10%
Number of Contracts= 38 contracts
I have been tirelessly pushing the long side in the stock market since August 6, and I am not going to let up now. The melt up in progress could continue all the way until January. In case you forgot why, please click here for
“Why US Stocks Are Dirt Cheap” at
“The Rising Risk of a Market Melt Up” at http://madhedgefundradio.com/the-rising-risk-of-a-market-melt-up/ ,
“You Just Can’t Keep America Down” at http://madhedgefundradio.com/you-just-cant-keep-america-down/ ,
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.
Keep in mind that these are ballpark prices only. Spread pricing can be very volatile on expiration months farther out.
Here are the specific trades you need to execute this position:
Buy 38 January, 2014 (SPY) $173 calls at……………$9.20
Sell short 38 January, 2014 (SPY) $176 calls at………$6.52
Profit at expiration: $3.00 – $2.68 = $0.32
(38 X 100 X $0.32) = $1,216 or 1.22% profit for the notional $100,000 portfolio.