Faithful Thursday – G20 Will Fix Everything, Right?

Wheeeeee, what fun!  

After being soundly rejected at the strong bounce line (1,950) and falling back to the weak bounce line (1,900) which it briefly failed in the morning, the S&P 500 blasted back to 1,940 where it’s violently consolidating overnight. That means our long call on the S&P Futures (/ES), which we gave you FOR FREE in yesterday’s morning post, gained $1,500 PER CONTRACT if you stopped out at 1,930 on the pullback while our Russell Futures (/TF) longs popped 15 points for another $1,500 per contract profit and our Nikkei Futures (/NKD) are now at 16,100 – up 400 points for $2,000 per contract wins on that one. You are very welcome!  

We had a Live Trading Webinar yesterday where I demonstrated futures trading techniques and, in less than 30 minutes, we made $320 in profits (replay available here) – don’t you wish school was always like that? This morning we’re long on Natural Gas (/NG) at the $1.79 mark and don’t forget the Natural Gas ETF (UNG) is our Trade of the Year and I just did a PowerPoint on that at the NY Trader’s Expo on Monday, which was essentially similar to our Trade of the Year noteswe went over on Money Talk on Feb 10th.  

If all goes well, our Trade of the Year will make $40,500 on a $9,500 investment with the worst case being you own 5,000 shares of UNG at $8.95 ($44,750), so it’s a 90% return on risk (if you believe the Natural Gas ETF can go to zero). UNG is currently $6.51, so the trade is still makeable (we have an aggressive upside target) but this may be the last time as the first US export shipment of natural gas left the port yesterday. 

On Tuesday (because we pay attention and we knew this would happen), we added Cheniere Energy (LNG) as a Top Trade Alert and yesterday it blasted 10% higher but it’s only just getting started (and of course we leveraged it with options) and you can hear the CEO discuss their operations here.