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This low-risk options play is a chance for you to take advantage of the coronavirus-related volatility we're seeing every single day right now in stocks.
Monday surprised us, with the Dow bouncing much higher after the coronavirus meltdown of late last week. After a 1,200-point uptick from Friday's low, it's gone haywire ever since.
Now central banks across the world are prepared to take financial action to offset the economic impact of COVID-19. The Fed has already slashed interest rates 50 basis points.
But when investors realized this was just putting a Band-Aid on a gaping wound, markets failed to close higher yesterday.
Fast Profits guest Tom Gentile joined us to offer a low-risk opportunity for you to take advantage of this spiraling market.
Specifically, he's seeing some odd behavior in U.S. Treasury bonds - an opportunity Tom says has a 150% reward-to-risk ratio.
Here's Tom with the trade recommendation:
Buy to open TLT April 17, 2020 $155 put (TLT200417P00155000) and simultaneously...
Sell to open TLT April 17, 2020 $150 put (TLT200417P00150000) for a net debit of $2 or less.
Plan to exit for a profit of 50%.
There's More Than One Way to Exploit the Market Meltdown
Tom just gave you a low-risk play to capitalize on falling U.S. Treasury bonds.
But this isn't the only opportunity to profit following the Fed's timing.
There's a trading trend that's gaining momentum, and it's an ideal profit play in the face of crippled interest rates: cryptocurrencies.
As interest rates fall, investors would typically seek out high-yield bonds as a safe haven for their portfolio. Alternatively, some investors would turn to cryptocurrencies as a more speculative but higher-return opportunity.
Given they're willing to shoulder the higher implied risk compared to a slow-moving bond, the upside potential could be far greater in the world of blockchain, rather than collecting a 1% to 2% dividend.
But because interest rates have been cut during the COVID-19 pandemic, it's pretty clear no one will be seeking out bonds as a "safe bet" in the near future...
... leaving cryptocurrencies the supreme low-interest profit play to defend your money against the coronavirus's terror.
And these days it's not "buy and hold" and Bitcoin, either.
In fact, Tom recently identified the massive profit potential of trading what he calls "microcurrencies."
They're heavily discounted digital currencies that can be traded and cashed in just as quickly as options.
But the upside potential is unlike anything else on the market.
Investments like these have turned profits upwards of 61,000% in a matter of days.
We know it may sound too good to be true. But you don't have to take our word for it...