Battle Room members are sitting on 50-100% good points in Seabridge Gold this yr.
The query I preserve getting: “Karim, how do I lock in these huge income with out lacking out if this factor retains operating?”
One technique involves thoughts while you’re holding a winner that’s moved this sharply.
The Deep In-The-Cash Secret
A deep in-the-money name possibility offers you dollar-for-dollar motion together with your shares whereas letting you are taking a bit of cash off the desk.
Right here’s the way it works:
Let’s say you personal Apple at $200 per share. As an alternative of holding these shares, you can purchase a $150 name possibility for about $52.
What simply occurred?
- You management the identical 100 shares for $5,200 as an alternative of $20,000
- You freed up $14,800 in capital
- You get almost the identical upside (the choice strikes 90-95 cents for each greenback the inventory strikes)
That is your artificial lengthy inventory place – identical upside, approach much less cash in danger.
Why This Works So Effectively
As a result of the choice is already $50 “in-the-money,” most of its worth is actual – not simply time premium that wastes away.
Time decay? Barely touches you. The choice strikes virtually dollar-for-dollar with the inventory as a result of it has a delta close to 1.00.
The Seabridge Gold Play
That is precisely what I beneficial to members with our Seabridge place.
With good points of fifty% to 100% already banked, right here’s the transfer:
Promote your shares at $27 (locking in income), then purchase the January 2027 $15 name for about $13.
What this does:
- Takes $1,400 per 100 shares OFF the desk instantly
- Retains you within the sport if Seabridge runs to $35, $40, or larger
- Protects you if gold will get hammered – your threat is now capped on the possibility premium
Why Seabridge Retains Working
This firm is sitting on one of many world’s largest gold and copper deposits in British Columbia. We’re speaking 47 million ounces of gold and seven billion kilos of copper.
Proper now they’re negotiating with main miners to develop this venture. When that deal will get introduced, we might see an enormous revaluation.
And right here’s the perfect half – subsequent week, Seabridge CEO Rudi Fronk is becoming a member of me stay on Monument Merchants LIVE.
I’m going to ask him point-blank in regards to the standing of these partnership negotiations. You don’t need to miss this!
The Numbers Sport
Gold is sitting close to $4,150 an oz – up +55% this yr. Copper is over $5 a pound on AI and EV demand.
Seabridge is the proper play for each metals, and our members have benefited mightily.
However right here’s the factor – while you’re sitting on these sorts of good points, it is advisable to take into consideration safety. The deep in-the-money name technique lets you have got your cake and eat it too.
Tips on how to Execute This
- Decide your strike – Go a minimum of $10-15 under the present inventory worth
- Select LEAPs – Give your self 1-2 years for the story to play out
- Verify the delta – You need 0.90 or larger for that dollar-for-dollar motion
- Dimension appropriately – Threat solely 2-5% of your portfolio per place
YOUR ACTION PLAN
If you’ve bought winners like Seabridge, don’t simply sit there hoping they preserve going up. Take cash off the desk with deep in-the-money calls and keep within the sport.
Our Battle Room and Catalyst Money-Outs members have made severe cash this yr.
This technique retains you positioned for what’s subsequent whereas defending what you’ve already received.
Watch your electronic mail for particulars on the Rudi Fronk interview – it’s going to be enormous!