First, I’d like to thank everyone who joined me for last night’s Project Lightspeed event. Thousands tuned in to find out about a groundbreaking new strategy I discovered that could hand investors big gains without taking big risks in options trading. (If you missed the event, or would like to watch a replay, click here.)
Throughout the years, my subscribers have asked me to use my proprietary, market-beating system, which has enabled me to beat the market by 3-to-1, to trade options. They thought it would be the perfect tool to help implement even greater gains that I’d been known for.
And achieve them without taking on excessive risk.
I took this as a challenge and crunched trillions of data points and explored the financial markets at a depth I’ve rarely explored before. As it turned out, my subscribers were right.
I also realized that the key to a successful options trade hinges on picking the right stock, based on superior fundamentals. Most investors get caught up in “hunting” for the perfect option at the perfect price. But they fail to consider the most important element to the entire equation: the underlying stock.
The reality is when options are used improperly, that trade is nothing short of gambling. It’s why it’s critical that before we pick the option, we pick the right company that we know has the potential to climb higher because of its strong fundamentals.
When you choose randomly, odds are high that you’ll be left holding the bag after the smart money flees the stock.
So, I took this new-found knowledge and created Power Options. The premise is simple: Use long-term equity anticipation securities, known as LEAPS, to leverage the gains from fundamentally superior stocks with explosive potential. Through LEAPS, we have at least a year to benefit from the underlying stock’s movement, which also helps limit our risk.
My proprietary system scours nearly 5,000 stocks per week and pinpoints those with growing sales and earnings that are sure to move higher over the next year or two. But that’s just where things begin. Once I’ve found the right stock, I do a second deep dive to find the safest, most lucrative LEAP options for maximum gains.
And we really couldn’t be doing this at a better time.
I look for fundamentally superior stocks to strengthen in the second half of March, thanks in part to quarter-end window dressing. This happens when professional money managers shore up on high-quality stocks to make their portfolios “pretty.”
In addition, these stocks should benefit from positive analyst revisions in late March and early April ahead of the first-quarter earnings announcement season. And after that, the first-quarter earnings season itself should be stunning, thanks in part to easier year-over-year comparisons.
These are the kinds of stocks I look for as I build my Power Options LEAPS Portfolio. In fact, my first six options trades, released yesterday, are all plays on companies that posted strong earnings results in their most-recent quarters.
Every one of these stocks has posted at least double-digit earnings and sales growth. And they all beat Wall Street’s earnings estimates, too.
So, in an environment where the companies that post strong earnings are rewarded, these stocks are well-positioned to meander higher over the longer term. So, it would be foolish to not trade options on stocks with potential upside ahead. These first six plays at Power Options are just a taste of what’s to come. I look to continue adding plenty more trades to my Power Options Portfolio.
The Editor (Louis Navellier) hereby discloses that as of the date of this email, the Editor (Louis Navellier), directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below: