October 2018 was a brutal month for stock investors.
The S&P was down almost 10% while at one point the NASDAQ was off nearly 12% — both of these qualify as “market correction” territory.
In my Options Income Blueprint service we were forced to roll a few of our put positions into November to avoid loss or taking assignment.
But overall we “survived”… you might even say we “thrived” in October 2018.
We closed 6 trades during the month and all of them closed with a profit.
The month was led by Square Inc. ( ), a market leader in payment processing for small businesses and a stock that has been trading higher each month.
It’s impossible to ignore the shift toward cashless transactions, and this trend shows no signs of slowing with Square Inc. as one of the leading players. Square offers distributed physical access to credit-card processing, which I see this as the fastest-growing part of the digital-payments trend.
We have been trading Square all year long and even with the market sell-off, we cautiously continued to sell short-term puts on the stock in October and collected cash profits over $540.
And we benefited from a boost in the financial sector as we sold short-term puts on Capital One Financial ( ) and cash in for $306 in only 7 trading days.
We’re happy October is over and we still have a few put positions open, but our Options Income Blueprint members sure liked banking profits in a month where almost every stock was down.
Year-to-date in Options Income Blueprint, we’ve closed 66 trades with 65 winners generating over $14,616 in cash and a 29.7% return.
Next up: November … The Mid-Term Elections are over and while the Democrats capture back the house, the market likes the results and looks to be calming down and recapturing some of the losses from October. We’ll keep trading heading into the end-of-the-year holiday trading. Don’t miss out on this month’s new winners.
I hope you can join us. The easiest way to get started is with my Options Income Blueprint “no-brainer” 60-Day Test Drive. Get the details here.
About The Author
Michael Shulman is a 30 Year Veteran of the financial markets – as a trader, a financial analyst, a financial writer and most recently as an educator.
Mr. Shulman made his first option trade in 1985 – COMPAQ Computer calls – a position that expired worthless. His second trade broke even; the third brought him a year’s salary, a near twenty to one return on his investment. He has never looked back. He entered the financial publishing business formally in 2001 as director of research for ChangeWave Research’s institutional research business and as the writer and editor of Hedge Fund Investing.
He has published two books – Sell Short and Made in America – both of which can be found on Amazon.com, and he is a frequent contributor to reputable financial sites like Seeking Alpha, MSN, MainStreetInvestor, and Traders Reserve.
Most importantly, since 2010, he has dedicated himself to teaching income investors how to get more income from their portfolios using simple yet safe options selling strategies which produce income every week. This approach was developed from the ground up in Mr. Shulman’s own accounts, his goal to develop a strategy that cannot be replicated by institutional investors of any size and therefore independent of fads and trends that change too often to provide a consistent approach for individual traders.
His trade recommendations in his Options Income Blueprint, Perpetual Income Portfolio Club and Income Masters services maintain a 98% success ratio, meaning his trades produce the expected income 98% of the time. No one’s perfect.