How to Collect $4,850 in Instant Cash
From a “Sideways Trade”
From a “Sideways Trade”
The last few days we’ve discussed how Paragon tipped us off to a small “pullback” that could have helped you bring home a $12,335 windfall as well as how an alert triggered just before an earnings release from Tiffany & Co delivered a 433% gain in just under 36 hours.
But the truth is, sometimes the only direction a stock will move after one of these calls is sideways, and this is where Paragon really pulls its weight…
Because, while most investors would likely just “sit out” a sideways move, my powerful new system can actually trigger a trade recommendation that allows you to use that calm to your advantage.
Let me give you an example, so you can see what I mean.
Before a recent earnings announcement, shares of the equipment-maker Deere & Co. were trading for $146.
But unlike the profit stories from our earlier articles , in this instance, my Paragon system predicted Deere’s stock wouldn’t move up or down much in the days that followed.
That advanced knowledge would have freed me up to construct a unique trade where I could collect upfront money from other investors who were betting Deere was going to move in a big way.
I know that may sound incredible, so let me explain.
The types of trades my system pinpoints always have two sides…
On one end there’s someone who believes a stock is going to move in a certain direction and is willing to buy into a trade where they can make money if it does.
But on the other side, there is always someone who believes the exact opposite will happen...
And is willing to accept that bet.
When the advanced knowledge I get from Paragon tells me a stock isn’t going to move much in either direction, it opens an opportunity for me to collect instant cash...from people who are betting a stock is going to up…
AND from people who believe it’s going to fall.
My goal is always to take the side of the trade that carries the lowest risk with the highest payout potential…
And when a stock’s share price is stuck in a rut, there’s simply no better way to make money than my “sideways trades”.
For instance, prior to a recent earnings announcement, shares of a company called Autodesk were trading for $138.
And Paragon let me know they weren’t expected to move much.
With that insight, I put a trade together that would have allowed you to instantly collect $4,850 from investors who believed the software design firm was going to make a significant move one way or the other.
Now before I go any further, I want to be crystal clear about something…
As great as this may sound…
And as bulletproof as this technique is... there are no free rides.
Because while you’re collecting the cash upfront when you open this trade, there are four things that can happen after that.
And the best way to explain those outcomes is to use Autodesk as an example.
When we instantly collected the $4,800…
Autodesk was trading at $138.
And again, that money is yours to keep and spend as you see fit… no matter what happens next.
But the trade is just starting, and it will stay active until the date we agreed to when we placed it…
Which is usually around two months.
If the share price goes nowhere – and stays at $138 – you win.
And the real beauty of this technique is that if the stock doesn’t move by the end date, the trade simply ends.
Nothing needs to be done.
Which means you could have made $4,800 – or a 94% return – with about five minutes of work.
Now as I mentioned a moment ago…
There are four things that can happen when you use this type of trade.
And this is only one of them.
But what if the stock does move?
Well, here’s the thing…
When I take the money from the folks who are betting on a rise or a fall…
I build a cushion into the trade so there’s room for the stock to move.
Let’s continue the example from earlier, using Autodesk.
Just ahead of an earnings call, this company was trading at $138 and Paragon had indicated its share price wouldn’t change much in the near future…
But thanks to my built-in cushion, Autodesk could have fallen all the way to $131 – or jumped to $144 – and you still would have won… and kept all the money.
That’s a cushion of at least $6 in either direction -- which is pretty stout.
But what happens on the off chance that Autodesk shares moved more than that?
Well, in addition to the cushion I bake into every trade…
I also put a unique twist in the instructions that amounts to an insurance policy…
And thanks to that safety net, you could have still made a profit.
Let’s say Autodesk jumped above $145 but didn’t hit $150… you would have lost money to the investor who was betting the stock would go up.
But you wouldn’t lose enough to wipe out the full $4,800 you collected upfront.
So you still profit… just not as much as if Autodesk hadn’t moved at all.
And the same holds true if the share price falls, provided that it doesn’t drop below $125
In fact, the only way you could have lost money on the Autodesk trade was if share prices made a drastic move one way or the other…
And even then, any loss would not only be offset by the money you collected upfront…it would also be capped by the insurance I built in...
Which is why this is one of my favorite techniques.
Better still, I’m tracking another opportunity like this right now…
And it could allow you to receive an instant cash deposit in your trading account of up to $4,050 or more.
I’ll tell you more about it at our Summit on Thursday.
We start at 1 pm sharp EST...You’re not going to want to be late to this…
Jim Fink
Founder
Ultimate Profits Summit