Our new policy for 2017 is to send out trading ideas when we think of one rather than waiting until the Saturday Report, and sometimes, the Saturday Report will have little or no editorial content. We are getting this idea out before the market opens today.

All of our vertical credit spreads are on companies we like. These spreads will do best if the stock stays flat or goes up. Maybe it would be a good idea to have one position in a stock which will do best if it falls instead. Goldman Sachs just downgraded Tesla (TSLA) and said that they expected it to fall by 25% in the next six months.

The attached file discusses TSLA in more detail and suggests a bearish bet on it.

Happy Trading.

Terry