Where's my tax cut?
The market is getting worried that TrumpDon'tCare is not only going to impoverish tens of Millions of Americans (bad for Retail) but that the fight over it will delay the things they really care about like MORE FREE MONEY in the form of lower taxes for the Top 1% and, of course, the dismantling of regulations as well as the regulatory agencies that are supposed to enforce them. In short – where is our Gangster's Paradise?
Fortunately, as members of the Top 1%, we are able to take full advantage of the chaos and the Biotech Short (IBB) from yesterday's morning Report opened at $4.45 and closed at $5.90 for a nice 32.5% gain on the day. Of course that's nothing compared to the Monday morning Report's timely Tesla (TSLA) short, which was:
We're hoping TSLA goes higher but worried they won't so our trade for the moment is going to be:
That nets you into the $7,500 spread for $3,300 so the upside potential is only $4,200 (127%) but, on the bright side, it's only 32 days away (April 21st) to expiration. We only need TSLA to stay below $265 to collect the money and, if they go higher, we will roll our short calls to 6 May or June calls at higher strikes (the June $305 calls are $5 and the margin is $15,000 on 6 short ones)