JPMorgan Chase & Co. (JPM): A Bet on This Bad News Bank Could Land Traders 89% Profits

A close below $50 in JPMorgan Chase & Co. (NYSE:JPM) on a weekly basis or the loss of half of the option’s premium would trigger an exit. If you do not use a stop, the maximum loss is still limited to the $900 or less paid per option contract. The upside, on the other hand, is unlimited. And the June options give the bull trend nine months to develop.

This trade breaks even at $54 ($45 strike plus $9 options premium). That is a little less than $1 above JPMorgan Chase & Co. (NYSE:JPM)’s recent price. If shares hit the $62 target, then the call options would have $17 of intrinsic value and deliver a gain of almost 90%.

Recommended Trade Setup:

— Buy JPMorgan Chase & Co. (NYSE:JPM) June 2014 45 Calls at $9 or less
— Set stop-loss at $4.50
— Set initial price target at $17 for a potential 89% gain in nine months

Note: If you’re a stock trader looking to boost returns, Alan’s options service may be perfect for you. To learn more about his options service, and how you can save 70% today, click here.

$1,000 Per Month Trading System

You could collect $1,000 or more per month without buying a single stock. Click here to learn how…