Pathway to Profits: Lesson #7, Hot Deals
PATHWAY TO PROFITS: Lesson #7, Hot Deals (Risk?) Your money needs to get a job. In fact, it needs to be trained to work harder than you work. Let me explain. Money accomplishes things. It has abilities. It has personality—though for the most part, it takes on the personality of its owner.
It can do three things: Make more money—or income; it can produce tax write-offs; and it can grow in value for a better future. Which of these tasks are you asking your money to perform? Most people do all three of these things, but when it comes to their finances, they ask of their money to do one thing—and quite often their money performs poorly.
I suggest that making more money should be first and foremost the job of your money. Ben Franklin said: The purpose of money is to make more money.” The problem is that many people put their money into things that go down in value—to depreciating assets, and even food, clothes and movies. Some of this has to change, but many still are overwhelmed by life and all of its demands.
This has to change. It starts with knowledge—and hopefully knowledge that gets your money producing more income. I call it assets producing income. You don’t need a lot to get started. It wouldn’t hurt to have $800 to $1,200.
“I attended a (Wall Street Workshop). I didn’t have any more money to start an account with, so I paper traded for six months. As a single mom, finishing a degree, I finally found an on-line firm who would accept me with no required minimum balance. I started in February 1999 with $200…My first trade on a stock (VTRL) netted my $9.00. Not a lot, but with more time than money, I studied hard and really concentrated on technicals. I turned that $200 into $6,200. (I added $500 tax return in May.) As of August 1st to September 8th, I’ve increased that to $9,000 doing Rolling Stock and some Covered Calls since July 1st.” — Jodi L.
What would most people do if they spent this preparatory time and make only $9? I’ve met with Jodi over the years, and her life change as a single mom—she built up a self-sufficient income to support herself and her daughter. I bring this up here to show you that people are doing it. They are wisely putting their money to work for them.
Let’s look at another trade. It’s TRXC (TransEnterix). The stock is $5.70 and the $6 calls (out four plus weeks) are going for $1 X $1.10. We don’t always find stocks with options above 10% of the stock price. Most are 3% to 5%. Why are these options so expensive? This company has an impending announcement from the FDA. It is hoped to be approved. A lot of investors think it will be, and they have run the stock up 52% in one month
Let’s spend $5,700 and buy 2,000 shares on margin. There is a lot of help understanding and using margin in the PAID TO TRADE Course. We can now sell 20 contracts of these $6 calls, which are 30¢ out of the money. That means we might make another 30¢ times our 2,000 shares if we are called out. That would be another $600. That may or may not happen.
But right now we take in 2,000 times $1, an even $2,000. I’ll pause while you catch your breath. That’s an awesome cash-on-cash profit. It’s yours to spend. Pay the bills. Leave alone in your account. And hey, with $2,000 cash into your account you have buying power of $4,000. You could buy another 200, 400 or more shares, right now and even sell more calls—thereby generating yet more income.
Yes, this is an intermediate strategy. I call it R.U.N.—standing for Ramp Up Now. For those of you reading this who are really serious about your financial future, you will love R.U.N. and The Buy-Back. It lets you accelerate the day of your retirement. AN UPDATE ON TRXC:
This company in in the medical field. It’s not a pharmaceutical, but a Medical Device Company. It has a new device (machine) called, SurgiBot.
In one day, the stock dipped to $5.06. I checked the options for an upcoming TDT—and decided to put this deal in the TRAIL section. You will get TRAIL with your subscription.
At $5.06 I checked the $5 calls, $1 lower than the $6 calls. They were $1.10 X $1.20. As the reader you will be able to check this out. Get the current prices, talk it over with your stock broker, and make a decision to do this investment and trade, or not. As noted stock is in a risky field. We often avoid these—we’ve made tons of money, but these stocks also include many of our losers. Yes, we have those from time to time, But, we put in stop-loss orders to mitigate the risk.
If we do the 2,000 shares, this time it will only cost us $5,060 and we can sell the $5 calls for $2,200. Yes, it’s more than $2,000 per the first trade above, but it’s at a $1 less on the strike price. In fact, if you get called out at $5, you will have a 6¢ give-back. That’s because we bpught the stock for $5.06 and sold it for $5.
All of this happens electronically. On Monday, after the third Friday (Expiration for this trade), if the stock is sold (and it will be if it’s at $5 or more), your account statement will say, “Account Assigned.” Three days later, you will have your selling money—or $5,000 back into your account. You’re good to go. You have your original money plus the $2,200—minus commissions.
Our plea: Plea consider putting us on your team. We have trading knowledge and mucho experience. We get nothing out of what you do. Think of what you get with this IQ Package.
The PAID to TRADE Home-Study Course. This is awesome, because you can study and do research when and where you need it. “When the student is ready, PAID TO TRADE, appears. And with this IQ Offer, you receive $2,000 off. Now, it’s just $247.
And you’ll also receive these FIVE BONUSES:
- With this IQ Offer, you’ll receive $2,000 off. Now, this Power-Packed Course is just $247. This is a bargain of the millennium.
- You’ll get six months of the TDT, where you will receive at least ONE GRAND NEW DEAL EVERY WEEK—usually you’ll receive 4 to 8 trades, with useful tips and commentary. This is normally $97 a month. 6 Months for FREE is $602.
- You’ll get a FREE book every month for six months—starting with TURBO MONEY, a book which helps you get retired in 2 years—and R.U.N. is highlighted in this book.
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So, don’t delay. Your family is too important, your retirement too close, to wait any longer—and this is most definitely a limited-time offer. It will end soon.