Income of 65% is possible with this trade

Even as the Federal Reserve Cuts Rates, Traders Can Still Generate Income
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Even as the Federal Reserve Cuts Rates, Traders Can Still Generate Income

Traders are expecting the Federal Reserve to begin cutting rates as soon as this month. In fact, based on the price of Fed Funds futures contracts, there is a probability of more than 99% that the Fed will cut rates.

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For income investors who have suffered with low rates for more than ten years, the upcoming cut is bad news. Historically, the Fed has taken a series of steps in one direction, either cutting or raising rates several times before reversing course. The upcoming cut indicates a strong likelihood of a series of interest rate cuts.

This all means interest rates can remain low for at least the next several years and that means income investors may not see a quick return to rates they were accustomed to before the financial crisis. This could be the ideal time for strategies that are less traditions.

We share the details of an actual trade based on recent market data that uses an options strategy to potentially generate high income while limiting risk, and as we explain in our latest article, this trade could deliver a gain of more than 60%. This is a short term trading opportunity so this strategy could possibly be repeated several times a year to generate significant amounts of income.

We have all of the details of the strategy and the specific trade in our latest free educational article that is available right here.

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