May 29, 2015  Trade Alert -  Rising Tide  Portfolio

We will take some cash to gain some enough to add a long-term bet that COST is equal to (or higher) than its current price next October (the spread will also deliver a 50% gain if COST falls $2.30 from its current price between now and then):

 

BTC 2 COST Jun-15 145 calls (COST150619C145)
STO 2 COST Jul-15 145 calls (COST150717C145) for a credit of $.99  (selling a calendar)

BTC 2 COST Jun-15 145 calls (COST150619C145)STC 2 COST Oct-15 145 calls (COST151016C145) for a credit of $3.40  (selling a calendar)

BTO 3 COST Oct-15 135 puts (COST151016P135)

STO 3 COST Oct-15 140 puts (COST151016P140) for a credit of $1.72  (selling a vertical)

 

Be prepared to change these price limits by $.05 or more in order to get an execution.

 
Happy trading.

Terry