Take Your Profits Now
Watching big money flow doesn’t only show when traders open long or short positions.
It also shows when they take profits off the table – or when it’s time to get out of a trade.
Take a look at this trade in TWTR –
Someone bought over 15,000 of the $49 calls…
So you’d think they like TWTR to go higher.
But after digging for the more complete story, I found that they also sold the $42 calls…
Which means they were actually exiting out of a 1 by 2 call spread from mid-July.
Back on July 14, this trader bought one of the $42s and sold two of the $49s, paying $1.50.
(Here’s what the 1 by 2 would look like graphed out.)
To close, they sold the $42s and bought the $49s, getting $3.00 back on each option. That’s a $1.50 profit…
So with about 7,600 calls selling for $1.50 profit each for a 100 lot, that’s a cool $1.14M profit.
If I was long in TWTR after seeing this, I’d be taking money off the table too.
And if I see this big money player come back I’ll definitely be piggybacking next time.
With each big money move, I use my SURE system:
I want to help make the best plays for retail traders based on SMART moves by big money insiders.
It’s time to take some profit if you have options open on this stock too…
- Ford Motor Co. (NYSE:F)
On August 1st, we opened a big money copycat play in F in the Inside Money Trader room.
Traders bought the F September 9, 2022 $15.50 calls for $0.70 or less.
By August 3rd, traders sold half for at least $1.00 –
And then sold the remainder today at $1.17…
So if you have calls on F, take some profit off the table now.
I’ll send my next trade in the Inside Money Trader room, by 3:00 p.m. (ET) TOMORROW.
Make sure you have access to the trade by signing up right here.
Or call 877-848-3418 to join right now.
Hope to see you there.
Until next time,
Mark Sebastian
Comments
August 16 2022
Leave a Reply