Dear Valued Former Subscriber –

 

We have started a new initiative at Terry’s Tips which has resulted in eight consecutive winning trades averaging over 22% without a single loss.

 

These trades were made in advance of a company’s earnings announcement when the weekly option prices escalate because of the uncertainty surrounding the upcoming announcement.

 

The basic premise for our strategy has been that the level of expectations leading up to the earnings announcement is a more important factor governing the post-announcement stock price than the results themselves.  When expectations are unusually high, there invariably seems to be disappointment with something – if not the earnings themselves, then maybe revenue, margins, guidance, or some miscellaneous issue like not raising the dividend rate when there was some hope that they would.

 

The attached file describes every trade we made and what we learned from the experience.  In addition, you might like to read a Seeking Alpha article which explains how we measure the expectation levels - A Remarkably Reliable Way To Predict Post-Earnings Price Moves.

 

Each of the trades we made were placed a day or so before the earnings announcement and closed out on the Friday after the announcement.  We dealt exclusively with companies which had weekly options available, so there was no long waiting period before we knew how our trades worked out.

 

Here are the companies we traded in over the last six weeks:

Once we determined which way we expected the stock to move, we set up calendar or diagonal spreads which would make a gain if the stock moved as much as 10% in that direction (sometimes we were able to set it up so that the stock could move infinitely in that direction – a good thing when GMCR shot up 25% when we were betting on a slightly lower price, and we gained 18% in spite of being wrong).

Most of the time, the stock could move about 5% in the opposite direction that we were hoping and a gain would still be made.

I invite you to come back on board to check out this new strategy that has made well over 100% over the past six weeks even though we have been only investing about half our portfolio value in any one play.  And it will only cost you $25.00 for our Premium Service for two full months.  We feel confident that you will want to continue on once you see how these PEA (Pre-Earnings Announcement) Plays work.

Go to https://www.terrystips.com/programs-and-pricing  and enter PEA13 in the Sign Up With Special Code Section and you will set up so that you can Auto-Trade this portfolio or any others for the next two months for a total cost of only $25.  (By the way, the portfolio started with $5000 and we have withdrawn $5000 from it so you can follow it with just over that amount if you wish). 

I look forward to prospering with you.

Terry

 

P.S.  Just go here and enter PEA13 in the Sign Up With Special Code Section and for only $25 you will be set up so that you can Auto-Trade this portfolio or any others for the next two months as part of our Premium Service.