The Geiger Index
Monday, February 23, 2009
By Keith Fitz-Gerald
Email – #17
**We’re With Soros…and here’s what to do now
The Geiger had another great week in the markets, and our portfolio reflects that. The UltraShort Lehman 20+ Treasurys (TBT) and Market Vectors Double Short Euro ETN (DRR) are up 11.39% and 5.74%, respectively. Meanwhile, on the back of volatile oil conditions, both sets of PetroChina (PTR) puts we sold recently are coming to life.
This week, the Geiger has identified another high probability play and ironically it’s one of the same companies that famed investor George Soros is pursuing – Brazilian oil giant Petrobras (PBR).
Sell 1 April 09 $17.5 put (PBRPA) for every 100 shares of Petrobras you want to own for at least $0.35 cents or more.
The Geiger assigns this trade a nice 84.61% probability of profit come April 17, when these options expire. If PBR is trading above $17.5 on April 17, 2009, we’ll keep the money we collect today and repeat the process. If PBR is below $17.5, we’ll still keep the change and buy PBR at a 33.56% discount to where it’s trading today.
If you’d prefer not to use options, that’s okay. You can still go bargain hunting. Simply enter the following order online or with your broker to buy PBR for $17.5 or less “GTC” (good till cancelled).
That may seem like an impossibly low price and that you’ll never get filled. I know. It seems low to me too but that’s the price the Geiger has drawn in the sand so rather than second guess it, let’s stick to it.
Here’s why. In today’s markets, the biggest risk is not getting into a trade, but getting into a trade too soon. The markets still have a decidedly negative bias and that means most of the assets we want will be available at far lower prices in the future than they are today.
I designed the Geiger to take this into account and judging from the conservative, yet very successful trades we’re logging so far, that discipline is paying off in spades.
Which is why it’s far better to let the markets come to us on our terms than it is to chase them.
Best regards for great trading,
Keith
Recent
Buy
Stock
price
Under
Remarks
UltraShort Lehman 20+ Treasurys (TBT)
$ 46.73
under 45
Hold- Market uncertainty is putting pressure on TBT. Keep your protective stop at $44.35.
Market Vectors Double Short Euro ETN (DRR)
$ 54.30
Hold
Hold- The dollar is still seen as the safest haven for global investors as other regions begin to collapse. Keep protective stop at $52.93
PTR March 09 $55 put (PWKOK)
$ 0.25
Sell short at
Buy: Sell Short-one contract of (.pwkok) for every 100 shares of PTR you want to own. Probable inflationary pressure should lead to oil prices rising and PTR should benefit.
$0.50 or better
PTR March 09 $55 put (PWKOJ)
$ 0.25
Sell short at
Buy: Sell Short-one contract of (.pwkoj) for every 100 shares of PTR you want to own. Probable inflationary pressure should lead to oil prices rising and PTR should benefit.
$0.25 or better
PBR April 09 $17.5 put (PBRPA)
$ 0.35
Sell short at
New: Sell Short-one contract of (.pbrpa) for every 100 shares of PBR you want to own. Join George Soros in seeing the upside potential for PBR.
$0.35 or better
Copyright – 2009 Money Map Press. Money Map Press does not act as a personal investment advisor or advocate the purchase or sale of any security or investment for any specific individual. Money Map Press provides its members with unique opportunities to build and protect wealth, globally, under all market conditions. The executive staff, research department and editors who contribute to recommendations are proud of the reputation Money Map Press has built. We believe the advice presented to its members in our published resources and at our meetings and seminars is the best and most useful available to global investors today. The recommendations and analysis presented to members is for the exclusive use of members. Members should be aware that investment markets have inherent risks and there can be no guarantee of future profits. Likewise, past performance does not assure future results. Recommendations are subject to change at any time.
If you have any questions about your subscription, or, would like to change your email settings, please contact Member Services at 888-384-8339 Monday – Friday between 9:00 AM and 5:00 PM Eastern Time. Or if calling internationally please call 410-230-1200.
Copyright – 2009 Money Map Press All Rights Reserved
Money Map Press | 105 West Monument Street | Baltimore, MD 21201
North America: 888-384-8339; Fax: 1 410 223 2650
International: +1 410 230 1200; Fax: +1 410 223 2650
Email: CustomerService@moneymappress.com
Website: http://www.moneymappress.com
Nothing in this e-mail should be considered personalized investment advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice.
We expressly forbid our writers from having a financial interest in any security recommended to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of printed-only publication prior to following an initial recommendation. Any investments recommended in this letter should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company.
Protected by copyright laws of the United States and international treaties. This Newsletter may only be used pursuant to the subscription agreement and any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), in whole or in part, is strictly prohibited without the express written permission of Money Map Press . 105 W. Monument Street, Baltimore MD 21201.
Market Watch
NASDAQ
1462.11
0.00
SP 500
778.12
0.00
DJIA
7395.70
+178.73
As Of 5:34AM 3/18/2009
Attention Money Map Subscribers!
Money Map Report,
New China Trader
& Money Moves Alert
are now found at www.moneymappress.com
