Hello Smart Option Sellers! I've finally crawled out from under my rock and entered the social media age. I'm on Twitter! What does that mean? It means I will be posting some of my thoughts from time to time on items related to investing, the stock market and how to be a smarter options trader. If you are already a Twitter member, please go to the website and click on the blue Twitter "Follow" button that you'll see along the top header. This way you can read my tweets and have instant access to some of my other thoughts. And don't forget to "like" or "re-tweet" my posts. This helps increase the public's awareness of the great things we're doing at The Smart Option Seller. Don't worry, no one in the public will have access to any of our trading ideas, nor will I post any trades for free. Also, don't forget to read my new "Put-Selling Basics" guide. It's a great refresher for both experienced and new traders. It's totally free. You can find it on the website or just click here to read. And lastly, many of you are not taking advantage of our phone text alert messaging system. If you'd like to be notified on your mobile phone when a new alert is about to hit your email inbox, join our text alert system by typing in your first & last name and mobile number here: Kellogg (K) Although National Cereal Day was two days ago, it's never too late to hop into one of the biggest cereal makers on the planet - Kellogg. Who doesn't eat cereal? Similar to our current put-sell play in General Mills, Kellogg is a staple brand in many, many homes, and a very stable company at that. With its stock price currently near $73.90 per share, it's one of the more expensive stocks we'll be having a stake in. My goal has been to stick with stocks sub-$50 per share, as we can then use strike prices 20%-30% below that level. But with the never-ending move higher in the stock market, I've been forced to move my put-selling range higher too. We will still stick with very conservative plays, but today's trade pushes us right to that upper boundary and slightly beyond, so take that into consideration when deciding how many put option contracts to play with. Here's what you can choose to do: Sell (sell-to-open) the K July 2017 $55 put option for a limit sell price in the range of $.25 to $.35 per contract, GTC (good-til-cancelled), as an opening transaction (sell-to-open). Remember the rules: 1. We are going to sell these put options as our trade. We are not buying them. 2. Do not use a "market" order. Only use "limit" orders. Currently, these put options have a very wide market of $.05 bid/$.50 offer, but don't let that scare you away. Some stocks have tighter markets and some have wider markets. It would be ideal if the bid/ask were a few pennies wide, but finding "fair value" is not a problem. Right now I'm computing fair value at roughly $.30 contract, so we'll place our orders around that mark. Since these particular options trade in $.05 increments, you will either try to sell them at $.35, $.30, or $.25 per contract. The best course of action is to start your initial offer price at $.35 per contract. If no one bites, you can move your offer down to $.30 per contract. But remember the rule, do not sell for anything less than $.25 per contract. You are always free to choose a different strike price if you'd like, but I am adamantly staying at the $55 strike as our official play. That's all for now. Get those trades in there and let us know how you do. You can reach us here. Regards, Lee Let's Grab That Cash!
Smart Option Seller Portfolio
Housekeeping 1. All alerts will be archived on the website under the "Archive" section which you can find along the top menu of the website. If you are a new member, please use this section to read past alerts to see what we've been doing. This is a password-protected area for Smart Option Seller members only. Your password to enter this area is smartoption. Please write this password down and keep it in a safe place. You will need it to access the Archives. 2. Don't forget about our Referral Program. See details here: As always, if you have any questions, comments or feedback, please let us know. Thank you! You can contact us here.
Important Notice: All opinions, recommendations and content published by Smart Option Seller, LLC ("Company" or "us" or "we") are solely for informational and educational purposes, and should not be considered personalized investment advice. Your use of any investment ideas provided by Company is your responsibility and should only be made after consulting with your investment advisor and reviewing the public filings and financial statements of companies you are considering for investment. We do not receive any compensation from companies we write about. By accepting a subscription to The Smart Option Seller newsletter, you acknowledge that all ideas discussed in the newsletter are solely for informational and educational purposes and you agree to hold harmless Company and all Company employees and representatives for any investment losses suffered by you arising from ideas discussed or recommendations made in the Smart Options Seller website or newsletter. You should not make any investment decision based solely on what you read in the Smart Option Seller newsletter. The information provided is obtained from sources which we believe to be reliable, but we do not guarantee the accuracy or completeness of any such information. We are not liable for any losses suffered by you as a subscriber. Past performance is not indicative of future results. Please plan accordingly. We expressly forbid our writers from having a financial interest in any security they personally recommend to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of a printed-only publication prior to following an initial recommendation. Company is not a broker, dealer or investment adviser. In addition, our employees may answer your general customer service questions but they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. See our full Terms-of-Use here