OPTIONS PLAY: Buying Call Spreads In UNLEADED GAS With Protective Puts
This Article Focuses On Buying Bull Call Spreads In UNLEADED GAS With Protective Puts
MY ANALYSIS
Fundamentally, I believe UNLEADED GAS prices will move higher in the coming days, weeks, and months for 3 basic reasons
1. Increased Demand
2. Shrinking Supplies
3. Improved Economic Conditions
Technically, it looks as though UNLEADED GAS has formed a bottom here and should follow through higher as it gains momentum.
OPTIONS PLAY
MAY UNLEADED GAS-$2.15/GALLON
OPTION EXPIRY-APRIL 27TH
CONTRACT SIZE-42,000 GALLONS
LEVERAG FACTOR-$.10=$4,200
BUY MAY $2.30-$2.40 CALL SPREADS
FOR 25 PROVEN OPTION STRATEGIES CLICK HERE: http://www.zaner.com/3.0/mmck.asp
We also buy in a 3 to1 ratio an outright PUT in case the market makes a MAJOR move against us.
WE ARE ALSO BUYING OPTIONS IN U.S. 30 YEAR TREASURY BONDS, GOLD, GRAINS, SOFTS, and OIL.
THE BEST SERVICE I CAN OFFER YOU AS MY CLIENT IS WHEN TO GET IN AND WHEN TO GET OUT!
Call or email me with your phone number for a detailed explanation of the strategies 312-277-0115 or mmckinney@zaner.com.
Futures, options and forex trading is speculative in nature and involves substantial risk of loss. All known news and events have already been factored into the price of the underlying commodities discussed. The limited risk characteristic of options refers to long options only; and refers to the amount of the loss, which is defined as premium paid on the option(s) plus commissions
