Liz here, FROM THE OFFICE. That is my ring finger, in case you were wondering.
Yesterday – trying to work with the deer and the neighbors wandering through my house – was too insane and I just broke down and came into the building. I was surprised and impressed that my parking garage card still worked. This must be what it feels like to have the black Amex.
I haven’t been here for awhile and I’ve forgotten how to talk to anyone who isn’t a 4-year-old or a felon. (My fiancé actually works in jail, he is not incarcerated, but I like freaking people out.)
Today I’ve got some quick cash from AK for you – plus a new play that’s, as per usual, headed to 100%.
You’ve been batting a series of 100%’s (I know that’s not how it works, don’t confuse me with actual baseball) with AK lately – in fact, if you got in where we recommended, you picked up two 100% oil gains awhile back…
And yesterday at close, thanks to our International Man of Mystery, your TSM calls edged up to 50% (I’m seeing 58%, but I’ll be gentle with you). This was the Frankenweenie story, which I do recommend you read if you missed it.
I would have sent you an exit alert yesterday, but as previously explained, I had no Internet and a bunch of deer running through my house. I’m hoping you already grabbed 50% on this.
These calls are expiring tomorrow, and they were bouncing around somewhat in morning trading, so – if you haven’t already – let’s go ahead and cash out a profit.
Here’s your instructions…
And here’s the next big Flex Trade that just popped up on AK’s scanner…
Get Out of TSM – Get Out! Get Out!
I first watched “Get Out” (a brilliant film) on a plane and it wasn’t the best decision because you, you know, can’t really get out of a plane.
Here’s what to do. If you didn’t get to 50%, don’t blame me.
|Action to Take:
SELL-to-CLOSE your TSM October 22, 2021 $115 Calls (TSM211022C00115000).
And now that you’ve gotten out, get in. To Archer-Daniels-Midland Co (NYSE: ADM), that is. (Yes, Andrea, I said both in and out.)
ADM, a kind of “green giant” that processes grain products and turns them into food ingredients and fuel, is set to report Q3 results on Oct. 26, and Zacks’ consensus estimate is a 2.3% increase year-over-year. They’ve been posting a lot of extra sales in their “Human and Animal Nutrition” Units, which sounds like the way aliens would describe farming, but maybe that’s just me.
They’ve also had positive earnings surprises for eight quarters in a row, which tells you to expect good things this time, too. (I’ve always thought Earnings Surprise sounds like a My Little Pony.)
And finally – love China or hate it, Garrett – ADM’s just partnered with Qingdao biotech firm Vland to serve the $1b and growing probiotics market in China. That all kicks off in the first half of 2022, so Earnings Surprise may keep right on fluttering their way.
In NOT surprising news, one of the big insider options buyers that AK tracks, just bought a large parcel of November calls in ADM.
“I went through my two-step trading plan and it hit both confirmations so I think the trade is going to be a winner,” AK emailed me succinctly (probably from Aspen).
In case you haven’t joined the 1450 Club (you don’t need the black Amex to get in), let me refresh you on what those two steps are. AK watches for unusual options activity to cross his scanner, and then he confirms that activity with a fascinating indicator called the Ichimoku cloud.
These are dirt-cheap calls on a good, solid stock. Nickel Slots for the win (I once dated a guy who said “for the win” almost constantly; we broke up).
Here’s what to do:
Action to Take:
BUY-to-OPEN ADM November 5, 2021 $67 Calls for $0.60 or better.
In very exciting news, I have to cut this email short as I’m working with Web Design today on an actual, navigable site and usable live portfolio tracker for Trading Today. Last I checked, over 50% of the plays in our portfolio were in the green (which is fantastic!) but there’s no way to really show that on our current site.
Coming soon! Under construction!
I’m looking forward to getting this newsletter sorted in a more official manner (though I cannot promise that I will ever entirely behave myself).
I also may not return TO THE OFFICE for another very long stretch, so I need to go take advantage of their cappuccino machine ASAP.
I’ll be back tomorrow with Tom on Money Calendar Friday. (He just made you 110% earlier this week, so let’s keep that streak going.)