We just finished our first week with my new Infinity Profit Plays service, so I wanted to touch base and let everyone know how it went and how it works…
It was a rousing success!
First, let’s talk about the trade itself, which was on Academy Sports & Outdoors Inc. (Nasdaq: ASO). We entered a position on the underlying stock and bought a call option, both on March 31 — super simple!
The stock was trading at $25.78 with the call option at $4.55 per contract at the expiration date I gave. So at 100 shares per contract, it cost $455 to enter a position on one contract.
April 5, just three trading days later, we exited our positions with a nice 19.43% gain on the stock at $30.70 a share. On the call option, we reeled in a 104.4% gain, exiting at $9.30 per contract, so $930 is what we walked away with for every contract we bought!
I hope I have everyone’s attention now…
By the way, you can get my next trade alert by text and/or email.
All you have to do is call 1-877-212-7539 for more information!
How it works… Infinity Profit Plays is a short squeeze strategy. And the reason it’s called Infinity Profit Plays is simple…
When buying a stock, the absolute worst thing that can happen is the stock goes to $0. The best thing that can happen is the stock goes up — a lot… double, triple, tenfold or more, possibly to infinity and beyond — hence the name of the service.
When you short a stock, it’s the exact opposite. The best thing that can happen is the stock goes down. Shorting a stock is simply making a bet that its share price will fall. And when you exit your position, you buy the stock back at, hopefully, the lower price.
So when a lot of people are short a stock and the share price keeps going up, those shorts then get squeezed. Remember, they have to buy the stock back to exit their positions. And then what happens is more people, like momentum traders, force the stock to rise and squeeze the shorts even more…
Check out my short video and let’s go into further detail on the trade itself, and I’ll explain the technical indicators behind why I chose this stock for its potential to get squeezed, and I’ll tell you more about how Infinity Profit Plays works.
You can sign up to get these trade alerts via text and/or email by calling 1-877-212-7539!
And as always, please like and subscribe to our YouTube channel and podcast, “Smart Money Circle,” where I interview some of the most brilliant minds in the business. You can also follow me on Twitter, and read more of my thoughts on the market at WealthPress and on Forbes, where I’m also a contributor.