• 722 days Will The ECB Continue To Hike Rates?
  • 722 days Forbes: Aramco Remains Largest Company In The Middle East
  • 724 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,124 days Could Crypto Overtake Traditional Investment?
  • 1,129 days Americans Still Quitting Jobs At Record Pace
  • 1,131 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,134 days Is The Dollar Too Strong?
  • 1,134 days Big Tech Disappoints Investors on Earnings Calls
  • 1,135 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,137 days China Is Quietly Trying To Distance Itself From Russia
  • 1,137 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,141 days Crypto Investors Won Big In 2021
  • 1,141 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,142 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,144 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,145 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,148 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,149 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,149 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,151 days Are NFTs About To Take Over Gaming?
Zombie Foreclosures On The Rise In The U.S.

Zombie Foreclosures On The Rise In The U.S.

During the quarter there were…

What's Behind The Global EV Sales Slowdown?

What's Behind The Global EV Sales Slowdown?

An economic slowdown in many…

The Problem With Modern Monetary Theory

The Problem With Modern Monetary Theory

Modern monetary theory has been…

  1. Home
  2. Markets
  3. Other

Exit Alert - 30 Day Fed Funds

2/8/2009 5:10:53 PM

Greetings, J.E.D.I.

Welcome to The J.E.D.I. Way.

If you are interested in continuing to receive our advice following your free trial, please click the following link to subscribe: http://www.stockbarometer.com/pagesJEDI/learnmore.aspx

LONG TERM TREND SIGNAL: DOWN

This e-mail is to alert you that The J.E.D.I. Way will close out its straddle position on the February 2009 30 Day Fed Funds on Monday, February 9 ,2009 by taking the following action:

(1) Sell to close one (1) 30 Day Fed Funds February 2009 99.75 Call (Ticker Symbol: FFG999.75C) at a limit price of $0.02 Good for the Day.

(2) Let one (1) 30 Day Fed Funds February 2009 99.00 Put (Ticker Symbol: FFG999.00P) expire at expiration date on February 20, 2009.

Note: We purchased the call option on November 8, 2008 and received a fill at $0.015. We also received a fill of $0.015 for the put option purchase on November 8, 2008. Our total cost for purchasing the straddle on November 8, 2008 of the February 2009 30 Day Fed Funds totaled $ 153.63 ($0.03/.25 x 10.4175 x 100 + $28.62 (commissions: 14.31 x 2)

A fill price of $0.02 will cut The J.E.D.I. Way's losses on the February 2009 30 Day Fed Funds to $84.60 ($0.03 [initial purchase price paid for straddle] minus .02 [price we will attempt to exit straddle at] /.25 x 10.4175 x 100 minus $42.93 in commissions [$14.31 x 3])

The February 2009 30 Day Fed Funds Chart above appears to be taking on the shape of a rounding topping pattern which may imply that prices on this particular month's contract has peaked.

Thus close out your straddle position on the February 2009 30 Day Fed Funds using the tactical strategy referenced above.

Good Luck!

And may the force of volatility will be with you.

Best Regards,

 

Back to homepage

Leave a comment

Leave a comment