***This is not a drill. November 20 options expiration week is one of the best trading setups I've seen in my career. Dear Trader, Bernie Schaeffer here. I know you're busy, so I'll get straight to the point. The options expiration that will occur on November 20 is setting up a "perfect storm" of volatility... ... a surge that could usher in explosive options opportunities unlike anything in recent years. In fact, I believe the November 20 options expiration is one of the top 1 or 2 percent best trading setups I've seen in my 40 years in the market. Periods of market upheaval like these are exactly when a small options trading account can balloon in size to the six-figure range -- or beyond -- in just a handful of trading sessions. Let me explain. A series of events are coming together to form what I'm calling: THE NOVEMBER 20 VOLATILITY VORTEX Let's start with the basics. This month's options will expire on November 20th. As expiration date approaches, option contract prices drop. Fast. This is because options are based on share price movements over time, AKA volatility. Less time left for the underlying share price to move means less chance for volatility. This leads to falling options prices. If you've been sitting on contracts for weeks or months, this is usually bad news. It means the options that you bought for $5, $10 or $15 are heading downhill. ...unless there is a sudden spike in volatility. And here is where it gets interesting. When a volatility jump occurs near options expiration you have a chance to score huge, quick wins. This is because you can scoop up expiring options "on sale" -- often for pennies on the dollar. Then - when volatility spikes - you can flip these options back into the market for a quick 2X, 3X profit -- or more. And the best part is that your money is only tied up for a handful of trading days each month -- usually less than four. The rest of the time, you are sitting comfortably in cash - immune to the wild swings of Mr. Market. Up to now, this has all been options 101. In a moment, I'm going to tell you exactly why this November 20 is setting up a "perfect storm" of volatility that could create trade opportunities unlike anything we've seen in decades. But first, let me walk you through some examples of what I'm talking about. These are all past trades that readers of our Expiration Week Countdown have gotten in on. Travel back in time with me. Let's imagine you were a subscriber and did our Chewy trade from last month. Our trades arrived in your inbox at 7pm EST on Sunday, October 11. Over coffee the next morning, you logged into your brokerage account and grabbed one CHWY call option contract for $342. By Wednesday 10/14, the price of the underlying stock had moved from $64.45 a share to $66.86, just over a 3.73% gain. And here is the beauty of options... This nearly 4% jump in the stock caused the options price to more than DOUBLE. Sending the value of your $342 contract soaring by 100.29%. This move put the trade smack in the middle of our "sell zone" and we cashed out that $342 contract for $685. Boom. A double your money opportunity in less than two trading days. Of course, if you wanted to play this more aggressively, you could have sized up the trade. A five-contract position would have yielded you a profit of $1,715. Up your stakes to 10 contracts, and you could've pocketed would have pulled in $3,430 in pure profit. What would you do with another $3,430 sitting in your account? Steaks and a great bottle of wine? Top off the rainy-day fund? Roll it into more trades? The choice is yours. And this is just one of the mega winners we have recommended to subscribers of Expiration Week Countdown. Here are some of our other recent wins: Security | Return | Holding Period (trading days) | Square Inc. Calls | 101.60% | 1 day | Zoom Video Calls | 100% | 3 days | Zynga Inc. Calls | 100% | 1 day | Wayfair Inc. Calls | 200.23% | 5 days | ProShares Short VIX Short-Term Futures ETF Calls | 121.82% | 1 day | Schlumberger Inc Calls | 162.16% | 1 day | Just imagine -- if you took our September recommendation on Square calls, you could have turned an investment of $811 into $1,635 - in just ONE trading day. If you had gone in with bigger size, of course, you would now be sitting on $4,120, $8,240, or even more in pure profit. ...But those gains, spectacular as they are, may be chump change to what we will see in only a few days' time. This is because - like I said before - November is shaping up to be anything but an "ordinary" month. Let me explain... Earlier, we went over a couple key concepts: First, options go "on sale" as they approach expiration. This effect is known as time decay or theta. Second, a spike in volatility close to options week can send contracts soaring, leading to huge gains. Why? Because banks and institutional investors are forced to snap them up to hedge their portfolios. Volatility, eh? Close to options expiration, eh? Let's put on our thinking caps... Can anyone think of any volatile events that could be taking place around November 20? - Former VP Biden is now "President Elect" of the United States
- Trump is fighting the outcome, and if the election is overturned for some reason, we'll see massive Instability, possibly even violence surrounding the court decisions.
- Jaw-dropping levels of Fed pumping, and Americans are still uncertain about future stimulus.
- And the pandemic seems to be getting worse. Will the economy reopened or be shut by federal mandate?
Now, I don't know how any of these events will play out. I don't have a crystal ball. But I do know that any one of these is enough to send markets ripping higher OR down into correction territory (or worse). And put together, these are the ingredients for what I'm calling the "November 20 Volatility Vortex." A truly unpredictable series of volatility events that could send the market soaring, tanking, or doing a wild whipsaw back and forth. This kind of month would have me hiding under my bed if I was an ordinary "buy and hold" investor. But, for me and my analysts, this is the stuff dreams are made of. Once again, I can't tell you how any of these events will play out. But that doesn't matter for our purposes. Because we can continue scoring huge wins whether the market goes up, down or sideways. If you have ever considered jumping into the options market, all I can say is that you may never see a better time than today. Buckle up. HOW TO GET MY TOP 6 TRADES FOR THE NOVEMBER 20 VOLATILITY VORTEX On the Sunday of options expiration week each month, I send out six trades to our Expiration Week Countdown subscribers. No straddles, collars, iron butterflies, or any other fancy stuff that you need a PhD in finance to figure out. No margin is needed. These are always 'plain vanilla' buys of puts and calls. Simple trades that take just a minute to execute. Each trade comes with: - Entry Price Points: So you won't overpay for your position by a single cent
- Exact Exit Instructions: So you never have to agonize over when to sell
- Up to 200% Profit Target Per Trade: We're targeting quick wins here, not long-term capital lockup
- Under 5-Days Holding Period: So you never stay exposed to the market a moment longer than necessary
- Charts & Analysis: So you can "get in the heads" of our analysts and understand their thoughts behind each pick
We've already seen how you could have earned $5,406 from a single trade over two days last month. Researching each one of these trades takes the team dozens or sometimes hundreds of hours. Our team "stress tests" the trades against historical data. We do technical analysis, calculate implied volatility, comb through analyst reports -- you name it. We also do "smart money" research to find out what the big institutional traders are doing --- because none of the fundamentals matter if a "whale" is dumping their positions into the open market. And we do that for six trades each month of the year. Given the extreme profit potential, research required, and the fact that you get six of these trades each month, I believe that $195 for a month is an extremely fair price for Expiration Week Countdown. That is the normal price we advertise to visitors of our website looking for monthly options trades. But this is not an ordinary month... Look, I've spent my career in options. I have seen the magic that happens when an investor learns to harness the power of volatility -- instead of going to bed each night praying the markets don't take an unexpected turn. Imagine breathing a long, slow sigh of relief as your brokerage account fills up with the proceeds of four-figure, even five-figure trades each month. I've made my money. And now I want to share the life-changing power of options with as many investors as I can. So I'm going to make you this offer: As I said, we normally price Expiration Week Countdown at $195 per month. But -- when you are one of the first thirty people to sign up via the button below, you can get in today for just $30. That's just a fraction of the regular price. The only "catch" is this offer ends as soon as the 30 available "pre-sale" spots are gone, whichever comes first. Does that sound like a good deal? And the best part? No hidden fees... no auto-charges to your account... just pay $30 for one month of access. That means you'll receive November's trades for only $30. This is the absolute best offer I have ever sent out on this research service. You'd be smart to grab it -- even if the November Volatility Vortex wasn't swirling about... But with the opportunities that are just around the corner, you may find this to be a once in a lifetime opportunity, one you will forever regret passing up. I don't want that to happen. That's why I am doing everything I possibly can to urge you to click this big button below and get set up with your first trades today! After you join, my team will make sure to send you your first six "Volatility Vortex" trades the moment they are released on Sunday evening. This is not a drill. I have been in the options markets for 40 years. And like never before, my team and I are thrilled at the opportunities we see coming down the road. If you believe, as I do, that more volatility is in store, I hope that you will take advantage of this limited-time offer and subscribe at the link below. I look forward to seeing you inside. Best regards, Bernie Schaeffer Chairman & CEO Schaeffer's Investment Research service@sir-inc.com http://www.schaeffersresearch.com 1-800-448-2080 1-513-589-3800 International PS: If you have any questions at all about this newsletter you can email or call my office. PPS: On top of all the political risks noted above, there is another "X-factor" series of events coming in November. These are likely to add fuel to the volatility fire and could be a make-or-break moment for this market. If I have time I will write them up in a future email to you. |
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