Posted on March 1, 2020
We have four trades closing today, and every one’s a cradle-rocker. So let’s move!
On October 17th we opened a BHP trade called Rockin’ it in and Rolling it out.
The recommendation called on you to sell the BHP May 15th 47.50 CALL for $3.75 and buy the BHP May 15th 52.50 CALL for $1.91, for credit of $1.84. With those funds, we urged you to buy the BHP May 15th 42.50 PUT for $1.83. Total credit on the trade was a penny.
The 47.50 trades for $1.03 and the 52.50 at $0.19 – while the long 42.50 PUT sells for $3.00! Buy back the first and sell the last two and you net $2.17 on nothing spent.
Adjusted for minimum commissions gives you a bollock-potchin’ 1413% return!
November 15th saw the arrival of Hong Kong’s on Fire! in your inbox, a letter that urged you to buy the RSX May 15th 23 PUT for $1.23 and sell the June 19th EWH 22 PUT for $1.20. Total debit on the trade was $0.03.
Today, good Jews, the RSX PUT trades for $2.10 and the EWH PUT for $1.15. Sell the former and buy back the latter and you pocket $0.92 on three cents spent.
That’s a gangbuster profit of 3067%!
Stock Needs Some Air, Mate! was our February 10th offering, suggesting you sell the SPXC June 19th 50 CALL for $4.00 and buy SPXC June 19th 55 CALL for $2.05 (credit $1.95). We then urged the purchase of the SPXC May 15th 50 PUT for $2.95 and sale of the SPXC May 15th 40 PUT for $0.55 (debit $2.40). Total debit on the affair was $0.45.
We closed the long PUT spread last week for a credit of $3.05, and today we’re buying back the short call spread – the 50 goes for $1.25 and the 55 for $0.15. Buy back the former and sell off the latter and your net is $1.50 on $0.45 spent. And that’s a very nice 333% in just three weeks (or 5772% annualized!)
Finally, we have our JBHT trade from February 16th. The name of the dispatch was Pull That Empty Rig Over, Trucker!, and it urged you to sell the JBHT May 15th 110 CALL for $5.50 and buy the JBHT May 15th 120 CALL for $1.95 (credit $3.55). We then recommended you buy the JBHT May 15th 110 PUT for $5.50 and sell the JBHT May 15th 100 PUT for $1.80 (debit $3.70). Total debit on the affair was $0.15.
Last week, we sold the long PUT spread for a gain of $5.50, and today we’re closing out altogether by buying back the short CALL spread.
The 110 CALL sells for $2.00 and the 120 goes for $0.45. Buy back the first and sell the second and you net $3.80 on just $0.15 laid out. That’s a galloping gourmet gain of 2533% in two truckin’ weeks!
Just to offer you some perspective – do you know what that number would look like annualized?
The numbers confound!
And the G-d of Israel is great.
You cannot lose…
With the Jews!
Alan B. Harvard