That's right, if you followed Philstockworld on Stocktwits this past month and followed our trade ideas, you could have made Billions of Dollars. Not bad but that's only a tiny portion of what you get at PSW every day. Needless to say, we've had a good month but it's no fun being right if nobody knows it so let's review a month of Tweets and also make it worth your while to send others to Our StockTwits Link and follow us there.
For the month of July, every new follower will be entered in a random drawing and one will be selected to win a free 1-year subscription to the PSW Report – our twice-daily Email that gives you access to all of our non-Premium posts as well as Stock World Weekly. If you are already a paying PSW subscriber and win this drawing, we will give you a 3-month extension of your Current Membership Level instead added to your current subscription.
If you are a Member and your friends subscribe and tweet us your name – one of those named members will also be the winner of a 3-month extension of that member's current level. The more friends you have, the better the chances to win!
We're doing this because we need to build up our social networking presence so I've been tweeting more in June. You can go to our StockTwits site and see all 45 Tweets posted since June 1st (there are many also before that) but I'm just going to review the ones that were less generic (we auto-tweet my posts) to give you an idea of what kind of value your friends can get out of this free service:
philstockworld Phil Davis
That was the post I made available to the general public in which I suggested we all get together and short all 376,620 NYMEX Futures contracts (/CL) at $102.50 for July into the June 21st termination. We revisited that trade several times over the next few weeks and they did, in fact, finish at $93.50, up $9,000 per contract for a profit of $3,389,580,000 for the whole set. With NYMEX margins at $6,000 per contract, that's a very nice 150% gain in 3 weeks – turning $2Bn into $5Bn!
For non-futures traders I had also posted the USO June $39 puts at .50 and USO finished the option period (17th) at $36.63 for net $2.37 – up 374% on that one. Turning $50 per contract into $237 per contract is the kind of trade anyone can do and we often try to find simple alternatives to our more complex trades.
THAT trade lost .05 ($5 per contract) as IWM did make it to $79.68 on Wednesday but did not hold it through expiration. This was another free post (June is our marketing month) but, as a consolation, we re-called another top on oil that morning as it spiked back to $101.60 and, of course, there were more Billions to be made. Gold futures (/YM) were a short at $1,550 that morning and we hit that one right on the head as gold fell to $1,511 on the 13th, which is 39 points at $33.20 per point for $1,294.80 per contract in 3 days.
That was a fun one. At the time we were up just $1,850 on our 12 bullish Dow trade ideas:
Not bad for free trade ideas, right? As I was just saying to Members this Morning in our review of our $25,000 Virtual Portfolio – when you sell premium "Tiiiiiiiiiiiiime is on your side, yes it is"! Just 3 more weeks of time have brought the total gain on this set all the way to $7,290 so another $5,440 added in 3 weeks – this is good stuff people! We took the money and ran in Member chat on our shorter-term plays but the long-term plays are what we like to call simply: "On Track" for their full gains – even BAC, which may be down $60 on paper (our only loss) but the stock is at $10.70 and we only need to hold $7.50 for a 100% win.
We had already flipped bullish but Greenspan gave us a great early morning entries on the futures with his comment that a default by Greece was "almost certain". "The problem you have is that it’s extremely unlikely the political system will work" in a way that solves Greece’s crisis, Greenspan, 85, said in an interview today with Charlie Rose in New York. "The chances of Greece not defaulting are very small." My counter to that was to remind Members:
Keep in mind that Greenspan works for Pimpco, who are buying up EU bonds at record highs ahead of Greece, who is right now in a cabinet meeting to try to work out a deal to get a bailout and end this mess. This is just blatant market manipulation that cost the Dow futures 100 points.
On the whole, it’s another chance to go long on the futures. The new oil contracts (/CL) fell $1 to $94.60 and they are a buy here with a stop at $94.45. Gasoline (/RB) is $2.93 and playable over that line, Silver (/SI) is worth a toss at $35.25 with a tight stop as it seems to be like if Greece falls apart, silver and gold go up and if Greece does not fall apart, the Dollar goes down and silver goes up. Russell (/TF) futures are 777 and a buy over that line and Dow futures (/YM) are 11,880 and a buy over 11,875.
Watch the Dollar (/DX) – if it goes over 76.20 (now 76.18) we are screwed but I think this is an over-reaction and a great opportunity.
As it was early in the morning, I Tweeted it and FaceBook'ed it and Linkedin it – just trying to make sure as many people as possible could take advantage of the idea and, of course, an EMail Alert went out to our Members which, I'm sure, causes all sorts of sirens to go off on their home computers!
How did those trade ideas work out? Well oil (/CL) ran all the way back to $95 and that was good for a quick $400 per contract. Gasoline (/RB) also made a penny and that's $420 per contract but silver made $36.75 and that's up $2.50, which is a nice $1,250 per contract ($50 per penny, per contract) and, of course, the Russell (/TF) ran up to 860, which was up a whopping 83 points at $100 per point for $8,300 per contract while the Dow (/YM) went from 11,875 all the way to 12,722 yesterday morning, which is a nice 847-point move at 5 per point for $4,235 per contract.
What is our lesson here? The RUT gives you the most bang for the buck! 7 hours later, In the morning post of June 17th (also released to the general public) I reiterated those trade ideas and those Russell futures, for example, were STILL 775 as late as 1pm that day so plenty of time to get on board for the late sleepers.
This was similar but I realized only Members could see my first futures post so, when we had a nice opportunity to reload, we reposted the Members Alert on Seeking Alpha with trade ideas to go long on the Dow (/YM) off the 12,000 line and the Russell (/TF), which was on the 800 mark. That trade made a little on Friday before pulling back but on Monday they were winners again and never looked back for $6,000 gains on the Russell and $3,500 on the Dow. Of course, in chat we are in and out of these constantly but it is worth noting that you can do quite well just getting in at these significant resistance levels and then just PATIENTLY letting the rally play out.
That one is just a darned good article you should reference if you have somewhere to go this summer!
This was my call to take the money and run. Perhaps a little early, perhaps not – it remains to be seen. If we get enough followers on StockTwits, I intend to put up more calls. It is our hope that people who profit from our trade ideas will decide to sign up for our newsletters – if it seems worthwhile, we'll certainly find ways to make more use of it so PLEASE – sign up for yourself and tell your friends. If you have an IPad, our Tweets come with the articles open on Flipboard and look really cool.
Thanks for your help in spreading the word!
Have a nice weekend,