New Trade Alert Below Profit Summary and Track Record
SPY went from 303.21 to 302.78 or -$0.43
Collar went from +$0.09 to $0.23 for = +$0.32
Net Profit = -$0.11/Share on 1700 SPY shares
Our TLT position on 3700 shares gained in value ~$1.30, GDX flat and EEM down 0.30/share on 3800 shares for a net profit in the past 48 hours of $3,483. (SPY -$187, TLT $4,810, GDX ~$0 and EEM -$1,140)
Key Macro: Multiple central banks expected to either lower interest rates or remain at low rates today, US GDP comes in strong this morning at 1.9 and all eyes will be on Fed chairman Jerome Powell’s press conference for hints at forward guidance. Meanwhile, trade talks are already starting to show signs of delays and we get earnings from Apple and Facebook today.
Here is our current asset allocation recommendation:
The charts below illustrate the profit per month we’ve generated against the SP500 and what you’ll notice is that we rarely have a losing period no matter which direction stocks are headed.
Note the -7% return in May from the SPY ETF as we made a 2.2% return.
Again in August SPY ETF fall -7% and we deliver a 1.8% return.
New Trade Instructions
New Trade: Per 100 shares of SPY
(1) Buy to close Oct 30, 2019 $304 SPY Call, sell to close Oct 30, 2019 $302 SPY Put
(2) Sell to open Nov 1, 2019 $304 SPY Call, Buy to open Nov 1, 2019 $302 SPY Put.
Step 1. Close our previous trade if you took it otherwise skip to step 2.
Step 2. For every 100 shares of the SPY you own enter one of the following option contracts.
This is the maximum P/L we can achieve.