New RPM for Plain Vanilla – Southwestern Energy Co. (SWN)

Here is a new trade for the Plain Vanilla Virtual Portfolio! Using the patented Search tools on PowerOptions we came across SWN which looks promising…and familiar. I had actually traded SWN before and the trade was used as an example in the webinars and live seminars on the application of IM #6!

SWN Southwestern Energy Co. Buy to Open 300 @ $46.34
TKQXK SWN Dec 2009 55 PUT Buy to Open 3 @ $12.20
Bought shares of SWN $46.34
BTO Dec 09 55 Put +$12.20
Total Investment $58.54
Guaranteed Return -$55.00
Total amount AT RISK $3.54 or 6.0%

Now, we are using SWN in the Plain Vanilla virtual portfolio to demonstrate the advantages of limiting risk BUT only using Income Method #1. If I were to put real money in this trade, I would use the Fission portfolio so I could have all 9 income methods at my disposal…remember, the Plain Vanilla trades are merely virtual trades.

All right folks, let’s see what SWN does for us virtually, this time around!

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