Earn About 6% per Month on Chinese Volatility

The Power Gauge just turned "very bullish" on Chinese Internet companies... Specifically, last Thursday, our research led to a buying opportunity in the KraneShares CSI China Internet Fund (KWEB). [Chaikin PowerFeed]( Earn About 6% per Month on Chinese Volatility By Briton Hill, analyst, Chaikin Analytics The Power Gauge [just turned "very bullish"]( on Chinese Internet companies... Specifically, last Thursday, our research led to a buying opportunity in the KraneShares CSI China Internet Fund (KWEB). KWEB has already doubled off its October bottom. And momentum is now in its favor. But today, I want to focus on another part of the China story... Volatility. China crippled its economy with "zero COVID" lockdowns for nearly three years. But then, in late 2022, the government abruptly pivoted. And now, its markets are roaring back. The surprising move has led to extreme volatility over the past few months. As I'll explain today, clever investors are taking note. And with just a few clicks of the mouse, you can join a group that earns roughly 6% per month in extra income... Recommended Links: [Here's What You Missed Last Week]( The man who nailed the Melt Up explains why a rare moment is coming for stocks this year and how it could open the biggest moneymaking opportunity of the next 20 years. You could have doubled your money more than a dozen times with his picks, so be sure to watch his exclusive interview while it's still online, and [click here for his FREE recommendation for 2023](. [This is what I just told the Pentagon]( While everyone's worried about inflation, cryptocurrencies, and a looming recession, professor and forensic accountant Joel Litman just delivered an even more surprising warning when he met with top military brass at the Pentagon last month. [Here's what Joel says will happen to the market over the next 90 days](. Put simply, in times of elevated volatility, options premiums increase. And when that happens, investors like us can use options to boost our monthly income. Trading options might seem confusing at first. But it isn't so bad after you learn the basics... For example, a call option gives an investor the right to buy a stock at a predetermined price at a set point in the future. You can think of it like a down payment on a stock... Your down payment locks in the purchase. It's non-refundable. But it is tradeable. One call-option contract controls 100 shares of stock. And its price fluctuates as the underlying stock moves up or down. Now, it's OK if you don't want to trade options yourself. You can still capitalize on what's happening in China today... You see, the professional managers at KraneShares will do the hard work for us. In short, they just created an exchange-traded fund ("ETF") to profit from the extreme volatility... I'm talking about the KraneShares China Internet and Covered Call Strategy Fund (KLIP). This ETF gives investors a "one click" way to take advantage of elevated options premiums in Chinese Internet stocks. So essentially, KLIP is a next-level investment in KWEB. KWEB trades for about $34 per share today. As part of their strategy, KLIP's managers will buy KWEB shares and sell covered calls on them at a "strike price" of $34. The strike price is simply the price at which the underlying stock can be bought or sold. And KLIP's managers generally pick strike prices closest to the stock's current level. Options also expire at a specific time in the future. In some cases, they can be bought or sold years before expiration. But since KLIP is designed as a way to make monthly income, its managers target options that expire in about a month. So let's get an idea of how it all works. We'll look at the $34 calls that expire on March 3... These calls currently trade for a listed price of roughly $1.90. That's the price per share. And since one contract covers 100 shares, the total price per contract is about $190. Here's how investors can use this strategy to generate extra income each month... KLIP's managers could buy 100 shares of KWEB at $34 per share. That's roughly $3,400. Then, they could sell a call option to an interested buyer for a total of $190 per contract. The bottom line is simple... For every $3,400 of KWEB shares that KLIP's managers own, they can generate roughly $190 in extra income per month. That works out to about 5.6% per month. Of course, KLIP is working with millions of dollars in assets under management. So the ETF's managers will be trading these contracts several times each month. The premiums will fluctuate. Sometimes they'll be higher... sometimes they'll be lower. But it's safe to say that investors in KLIP can expect to receive a solid dividend each month. Options contracts rarely trade at such high premiums – especially on ETFs. So this is a rare opportunity for interested investors to boost their income with just a few clicks of a mouse. If you're comfortable trading options on your own, you can make this trade yourself. But as you can see, KLIP allows beginners to take advantage of this extreme volatility as well. Consider putting your money to work in KLIP today. Good investing, Briton Hill Market View Major Indexes and Notable Sectors # Hld: Bullish Neutral Bearish Dow 30 -0.41% 9 19 2 S&P 500 -1.06% 160 277 63 Nasdaq -1.78% 39 47 15 Small Caps -0.68% 634 1028 225 Bonds -1.45% — According to the Chaikin Power Bar, Small Cap stocks and Large Cap stocks remain Bullish. Major indexes are mixed. * * * * Sector Tracker Sector movement over the last 5 days Communication +5.26% Information Technology +3.72% Discretionary +2.34% Industrials +1.69% Real Estate +1.51% Financial +1.01% Staples +0.74% Materials +0.01% Health Care -0.11% Utilities -1.42% Energy -5.74% * * * * Industry Focus Oil & Gas Exploration & Production Services 4 39 15 Over the past 6 months, the Oil & Gas Exploration & Production subsector (XOP) has outperformed the S&P 500 by +3.26%. However, its Power Bar ratio, which measures future potential, is Very Weak, with more Bearish than Bullish stocks. It is currently ranked #19 of 21 subsectors and has moved down 10 slots over the past week. Indicative Stocks [rating] VTNR Vertex Energy, Inc. [rating] STR Sitio Royalties Corp [rating] TELL Tellurian Inc. * * * * Top Movers Gainers [rating] CLX +9.77% [rating] REGN +4.25% [rating] CHD +3.87% [rating] GILD +3.82% [rating] PH +3.69% Losers [rating] GEN -9.63% [rating] MKTX -8.96% [rating] AMZN -8.43% [rating] MTCH -7.84% [rating] F -7.61% * * * * Earnings Report Reporting Today Rating Before Open After Close ON CINF, SWKS IDXX, TSN ATVI, L, SPG, UDR TTWO No earnings reporting today. Earnings Surprises [rating] REGN Regeneron Pharmaceuticals, Inc. Q4 $12.56 Beat by $2.57 [rating] AVTR Avantor, Inc. Q4 $0.32 Beat by $0.02 [rating] AON Aon Plc Q4 $3.89 Beat by $0.23 [rating] CHD Church & Dwight Co., Inc. Q4 $0.62 Beat by $0.02 [rating] ZBH Zimmer Biomet Holdings, Inc. Q4 $1.88 Beat by $0.05 * * * * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, [click here](. You’re receiving this e-mail at {EMAIL}. 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