Trade Alert Instructions:
Trade Summary: Per 100 shares of SPY you own: (1) Buy to close Aug 07 2019 $286.00 SPY Call and Sell to close Aug 07 2019 287.00 SPY Put and Sell to close Aug 09 2019 $270 SPY Put (2A) Sell to open Aug 09 2019 $286.00 SPY Call (2B) Buy to open Aug 9 2019 $288.00 SPY Put. Gain of $0.1/share total return YTD up to 8.63 from 8.5% hold FXI puts. Trading is risky see bottom of trade alert email for full disclaimer.
Step 1. Close our previous covered call if you took our last trade alert, otherwise skip to step two.
Step 2 A & B. For every 100 shares of the SPY you own enter one of the following option contracts.
Step 3. This trade is designed to survive an “Atomic Bomb” SPY ETF trade alerts come out every Monday, Wednesday & Friday Noon Eastern!
Step 4. DO NOT SELL OUR PUT OPTIONS ON FXI (CHINA ETF) YET, IF YOU MISSED THESE DO NOT ENTER NOW, WAIT FOR A NEW FXI TRADE.
Updated Track Record After Closing Last Trade Alert
All in all from our previous trade alert the following happened:
SPY went from 286.95 to 285.61 for a -$1.34 return
Call option went from $2.97 credit to $1.00 debit for a +$1.97 return
Put option 1 went from $2.36 debit to $1.98 credit for a = -$0.38 return
Put option 2 went from $0.32 debit to $0.14 credit for a -$0.15 return
Net Profit/Loss = +$0.1/share of SPY while “bag holders” lost -$1.34.
If you make $100 profit 3X a week 52 weeks a year on avg = $15,600 income vs a ~$30,000 total investment in SPY or 52% annualized return.
If you make $50 profit 3X a week 52 weeks a year on avg = $7,800 income vs a ~$30,000 total investment in SPY or 26% annualized return.
If you make $25 profit 3X a week 52 weeks a year on avg = $3,900 income vs a ~$30,000 total investment in SPY or 13% annualized return.
If lose $25, $50 or $100 on avg than you lose 13%, 26% or 52% per year.