March '12 contracts of gold (GC) will fall below $1685 before Feb. 24.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
ChampionStocks trading
- Thread starter clips_trading
- Start date
We have an updated prediction for the German index (DAX), which will fall below 6,500 (currently at 6,756) before the first week of March.
It took me more than a year of research to _really_ comprehend what those Option greeks are all about.. Not their 'definitions'..I mean what they _really_ stand for. And now I think I have managed to find a way to make them work to our advantage even in those rare occasions when the target prices are not attained!
You want proof? If so, just bear with me for the next few months... After all, 'proof' is the essense and the motivation behind these posts of mine.
So let us start the new year 2013 with an interesting Options combo on Natural Gas (NG). Currently trading at $3.56 (March '13 contacts), it will retreat below $3.44 by mid-February at the latest. But this is not the only occasion where we will profit big!...
And here's exactly how we will do it:
Sell Short Apr. '13 NG $3.4 Call (currently at 0.287)
Sell Short Apr. '13 NG $3.4 Put (currently at 0.106)
Buy Mar. '13 4.05 Call (currently at 0.019)
Buy Mar. '13 3.05 Put (currently at 0.010)
The margin required for this combo is $800. We close it below $3.44 or when we issue a 'close position' signal for it.
You want proof? If so, just bear with me for the next few months... After all, 'proof' is the essense and the motivation behind these posts of mine.
So let us start the new year 2013 with an interesting Options combo on Natural Gas (NG). Currently trading at $3.56 (March '13 contacts), it will retreat below $3.44 by mid-February at the latest. But this is not the only occasion where we will profit big!...
And here's exactly how we will do it:
Sell Short Apr. '13 NG $3.4 Call (currently at 0.287)
Sell Short Apr. '13 NG $3.4 Put (currently at 0.106)
Buy Mar. '13 4.05 Call (currently at 0.019)
Buy Mar. '13 3.05 Put (currently at 0.010)
The margin required for this combo is $800. We close it below $3.44 or when we issue a 'close position' signal for it.
Therefore...
Sell Short Apr. '13 CAD 1.01 Put (now at 0.01340)
Sell Short Apr. '13 CAD 1.02 Call (now at 0.0040)
Buy Mar. '13 CAD 0.975 Put (now at 0.0010)
Buy Mar. '13 CAD 1.045 Call (now at 0.00030)
The Mar. '13 Futures of the Canadian dollar (CAD) now trade at 1.006.
Sell Short Apr. '13 CAD 1.01 Put (now at 0.01340)
Sell Short Apr. '13 CAD 1.02 Call (now at 0.0040)
Buy Mar. '13 CAD 0.975 Put (now at 0.0010)
Buy Mar. '13 CAD 1.045 Call (now at 0.00030)
The Mar. '13 Futures of the Canadian dollar (CAD) now trade at 1.006.
Namely:
Sell Short Apr. '13 GC 1685 Call (now at 34.10)
Sell Short Apr. '13 GC 1640 Put (now at 13.50)
Buy Mar. '13 GC 1580 Put (now at 1.70)
Buy Mar. '13 GC 1770 Call (now at 2.40)
The margin required is $1800 (by the way, I forgot to mention that the margin for the previous CAD combo is approximately $250)
Sell Short Apr. '13 GC 1685 Call (now at 34.10)
Sell Short Apr. '13 GC 1640 Put (now at 13.50)
Buy Mar. '13 GC 1580 Put (now at 1.70)
Buy Mar. '13 GC 1770 Call (now at 2.40)
The margin required is $1800 (by the way, I forgot to mention that the margin for the previous CAD combo is approximately $250)
....sang Bob Dylan, and as far as the S&P is concerned, nothing could be closer to the truth.
Thus we will construct the following combo, based on class ES (Feb. 1nth, Mar. 15nth) Options:
Sell short Mar. '13 ES 1490 Call (now at $28)
Sell short Mar. '13 ES 1420 Put(now at $7.50)
Buy Feb. '13 ES 1550 Call (now at $0.60)
Buy Feb. '13 ES 1400 Put (now at $1.50)
The margin cost of this E-mini S&P 500 Options combo is $1,600 and we shall revisit it when S&P drops below 1465, before Feb. 22 at the latest. Current S&P March Futures price: 1495.
On the contrary, Natural Gas already reached _less_ than 1 cent away from our target price yesterday! And our monitor showed a $370 profit for our combo published on Jan. 22 or, in other words, a hefty 46% yield!
Thus we will construct the following combo, based on class ES (Feb. 1nth, Mar. 15nth) Options:
Sell short Mar. '13 ES 1490 Call (now at $28)
Sell short Mar. '13 ES 1420 Put(now at $7.50)
Buy Feb. '13 ES 1550 Call (now at $0.60)
Buy Feb. '13 ES 1400 Put (now at $1.50)
The margin cost of this E-mini S&P 500 Options combo is $1,600 and we shall revisit it when S&P drops below 1465, before Feb. 22 at the latest. Current S&P March Futures price: 1495.
On the contrary, Natural Gas already reached _less_ than 1 cent away from our target price yesterday! And our monitor showed a $370 profit for our combo published on Jan. 22 or, in other words, a hefty 46% yield!
Just take a look at our Jan. 22 Options combo on NG, compare the prices back then to the current
0.162
0.188
0.004
and
0.032
respectively, and you will end up with a nice, round
50% yield
within a few days...!!
0.162
0.188
0.004
and
0.032
respectively, and you will end up with a nice, round
50% yield
within a few days...!!
It _is_ dangerous indeed, but we'll go for it just to prove that we are not manipulated by 'market sentiment' etc but only guided by the Trading System's pure logic: the Japanese Yen, currently at 0.011020 (March '13 contracts), will touch 0.011150 before the last week of February.
The following Options (all of class 6J) combo will benefit handsomely if it does:
Sell Short Apr. '13 JPY 0.0111 Put (currently at 0.0002450)
Sell Short Apr. '13 JPY 0.0114 Call (currently at 0.0000740)
Buy Mar. '13 0.01055 Put (currently at 0.0000320)
Buy Mar. '13 0.0116 Call (currently at 0.0000160)
The margin requirement is $1,550.
The following Options (all of class 6J) combo will benefit handsomely if it does:
Sell Short Apr. '13 JPY 0.0111 Put (currently at 0.0002450)
Sell Short Apr. '13 JPY 0.0114 Call (currently at 0.0000740)
Buy Mar. '13 0.01055 Put (currently at 0.0000320)
Buy Mar. '13 0.0116 Call (currently at 0.0000160)
The margin requirement is $1,550.
The March '13 Futures (symbol.: Z) of the British index FTSE100 -currently at 6305 - will retreat below 6150 until the last week of February.
Thus:
Sell Short Apr. '13 Z 6200 Call (currently at GBP 180)
Sell Short Apr. '13 Z 6100 Put (currently at GBP 68)
Buy Mar. '13 Z 6550 Call (currently at GBP 13.50)
Buy Mar. '13 Z 5800 Put (currently at GBP 10.50)
Margin requirement: $1500
Thus:
Sell Short Apr. '13 Z 6200 Call (currently at GBP 180)
Sell Short Apr. '13 Z 6100 Put (currently at GBP 68)
Buy Mar. '13 Z 6550 Call (currently at GBP 13.50)
Buy Mar. '13 Z 5800 Put (currently at GBP 10.50)
Margin requirement: $1500
Are you satisfied with a _hefty 35% yield in only eight days_, thanks to our Jan. 23 combo on Gold? We are. And we are ready to cash in!
Current prices for that Jan. 23rd combo:
Sell Short Apr. '13 GC 1685 Call (now at $20.30)
Sell Short Apr. '13 GC 1640 Put (now at $21.30)
Buy Mar. '13 GC 1580 Put (now at $2.90)
Buy Mar. '13 GC 1770 Call (now at $0.90)
Current prices for that Jan. 23rd combo:
Sell Short Apr. '13 GC 1685 Call (now at $20.30)
Sell Short Apr. '13 GC 1640 Put (now at $21.30)
Buy Mar. '13 GC 1580 Put (now at $2.90)
Buy Mar. '13 GC 1770 Call (now at $0.90)