Options For Income – May 2019 Update

So, that was an interesting month. That is, if you think crazy is interesting! Since crazy is probably going to stick around for awhile, let’s take a look at how the Options For Income portfolio did in May.

Up 8.61% on the month, 4.36% in the last week and 2.70% in the last day. Obviously the portfolio is leaning bearish right now! Let’s break down a few of the current positions to see how we arrived here. Make sure you read all the way to the bottom of this post where you will see this month’s big winner! (Note: click on any image below to open in new tab)


XRT (The retail ETF). Here is the risk profile of the current XRT position:
$3,630 risk. Current profit $2,405. Return on risk 66.3%

If you were a subscriber to the Options For Income service, these are the chat room real-time trades you would have seen:

On that XRT position we took a $890 loss on the Calls but we have made (so far) $3,295 on the Puts for a current net profit of $2,405. Next position…


SMH (The semiconductor ETF). These are the chat room trade alerts:

Here is the current risk profile of SMH.
$3,048 risk. Current profit $1,455. Return on risk 47.7%

We have many other positions in the portfolio but this is the last one I will share here. If you want to see the rest, why don’t you sign up for a free trial? See below for the link. So here is my current favorite position:

RUT (Russell 2000 Small Cap Index)
$1,075 risk. Current profit $2,463. Return on risk 229%

Let’s take a look at the chat room to see how we arrived at that extraordinary return.

And one final summary for the chat room to tie these RUT transactions together:

Just for fun (yes, I know, sad that I consider this fun) look at only the Put Vertical Spread component of the position and you will see a position within a minimum profit of $825.

This should give you a pretty good idea of what Suz Smith and myself offer our subscribers at the Options For Income service. We don’t just throw out a trade suggestion without giving you some context about why we are placing a trade in the first place. We believe in educating our subscribers so that they can actually learn to trade like this on their own. Last, but definitely not least, every trade shown above are defined risk positions where we actually reduced the original risk by a substantial amount as the trade progressed. We believe risk reduction correlates highly with stress reduction. After all, trading isn’t much fun if you can’t sleep at night!

That is all I have for you now. If you are not a subscriber and you would like access to the Options for Income subscriber chat room, you can sign up for a 14 day Free Trial to try out the service. What have you got to lose, it’s free!

CLICK HERE for the Options for Income Free Trial.

Our other services are listed below.


Written by:


Paul Frey is a 30+ year trader with experience in equities, options, and futures. In addition to trading he manages Vega Options providing option educational services to new and experienced traders who are looking for improved results. He teaches strategies and techniques that reduce or even eliminate the initial cost of a trade while still maintaining potential future profits.

02nd Jun 2019

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