Summary of our profit/loss week over week:
> FB traded from 182.21 to 184.30 for a gain of +$2.09
> Our option collar cost us a debit of -$0.15 and was closed for -$0.22 debit for a loss of -$0.38 per share of FB held
Net profit = +$1.71/share as we remain long this week expecting strong upside ahead.
New Trade Alert Instructions
(Step 1.) Exit our FB option collar by buying to close the Sep 6 $190 FB Call and selling to close the Sep 6 $172.50 FB Put.
(Step 2.) Per 100 shares of FB enter one option collar by selling to open Sep 13 2019 $190.00 Call and Buying to Open Sep 13 2019 $177.50 Put.
Profit of $1.71 per share of FB held week over week, YTD return on Tues trade alerts is now up to 23.3%.
Step 1. Skip this step if you didn’t write our options from the previous week, otherwise close out your option trades surrounding FB before immediately opening our new option contracts in step 2.
Step 2. Buy multiples of 100 shares of FB then immediately place the following option trade for downside protection. Don’t ever buy FB shares without our option trades as you could withstand large losses without it if the trade war escalates!
In our model portfolio we have 13% of our total assets following this trade alert, which represents ~$175,000 or 900 shares of FB.
Our maximum profit week over week will be ~4% or $560/week in potential income per 100 shares of FB valued at $18,250 as of entering today’s trade alert.
Next trade alert for this portfolio releases Tuesday Noon!