Trade Results
Trade Results
Hello Smart Option Sellers! We placed three new trades yesterday, so let's see how we did. Intel Corp. (INTC) This one was the easiest to get filled on. Everyone who placed their order yesterday had no problem getting it done. Here's what we did: Sold (sold-to-open) the January 2018 INTC $28 put options for an official sale price of $.28 per contract as an opening transaction (sold-to-open). If you have not been filled yet, you can still do so at current prices. Remember, do not sell for anything less than $.25 per contract. Gap, Inc. (GPS) This trade went quickly, unfortunately. At the time the alert hit your email yesterday, the market on this put option was still $.25 bid/$.29 offer, so I was hoping everyone would be able to get done (sell) somewhere in that range of $.25 - $.29 per contract. Well, our Smart Option Sellers were a bit quick on the trigger it seemed and sold the put option down to the $.25 level very quickly. We got a handful of fills at $.25 and one lucky member got filled at $.26 per contract. After that, the bid price slipped below $.25 per. I can't stress enough the fact on how important it is to try to place option orders in between the bid/ask spread initially. If you immediately sell right at the bid price, it sends a message to the market-makers that they should lower their bid price to see if anyone will keep selling to them at lower levels. If you bargain with them to begin with in the form of placing your offer price somewhere between the current bid/ask, maybe at $.27 in this case, the market-makers will keep their $.25 bid price intact for a longer period of time. The option market-makers are the ones who provide a majority of the bid & ask prices, so they're the ones we have to deal with. I'm speaking from experience (I was a commodity option market-maker), in that when we would get a rush of orders that would sell to us right on our bid price, it sent a clear message that we needed to lower our bids. We don't want to do that here. We want to get the highest sale price possible. We can't do that if everyone rushes to sell right at the prevailing bid price. Since we had a few members who got filled though, we need to officially follow the trade. Here's what we did: Sold (sold-to-open) the January 2018 GPS $17 put options for an official sale price of $.25 per contract as an opening transaction (sold-to-open). For anyone who hasn't gotten filled yet, just keep working your order "GTC" at $.25 or higher at this point. Remember, do not sell for anything less than $.25 per contract. Emerson Electric (EMR) We did not get filled on the EMR trade yesterday, just as I surmised might happen. EMR stock is trading a bit lower this morning, so let's give it some more time to play out. As stocks fall, put option prices should rise. Plus, and this goes for the GPS trade too, we have almost five months before expiration, and just a small dip in the stock price should help boost the put option prices. Keep your trades working "GTC". Here's the order again: Sell (sell-to-open) the January 2018 EMR $43 put options for a limit sell price of $.25 per contract or higher, GTC, as an opening transaction. Currently, this put option has a market of $.20 bid/$.25 offer (that's our offer), so let's see if a lower stock price can help over the next few days. Remember, do not sell for anything less than $.25 per contract. That's all for now. You can contact us here Continue to work all other trades as instructed and continue to hold all other open positions as-is. See the Current Portfolio below for current prices & instructions. Quick note on the Current Portfolio - if you are a new subscriber and don't have a position yet on any of our trades, make sure you enter your order at the original recommended sell prices. Do not enter any order unless the current price is at, or higher, than the official recommendation. If you are unsure or have any questions, please ask us! Warren Buffett Report I continue to get good feedback and orders on this new report, so I'll keep this notice going for the time being so everyone has a chance to see it. If you need the link again, click here to read about it. Regards, Lee Let's Grab That Cash!
