Trade Alert – (GS) February 24, 2026 – BUY

When John identifies a strategic exit point, he will send you an alert with specific trade information as to what security to sell, when to sell it, and at what price. Most often, it will be to TAKE PROFITS, but on rare occasions, it will be to exercise a STOP LOSS at a predetermined price to adhere to strict risk management discipline.

 

Trade Alert – (GS) – BUY

Buy the Goldman Sachs (GS) March 2026 $790-$800 in-the-money vertical bull call debit spread at $9.00 or best

 

Opening Trade

2-24-2026

expiration date: March 20, 2026

Portfolio weighting: 10% weighting

Number of Contracts = 12 contracts

Goldman Sachs (GS) has just sold off by 11% over fears that it will be replaced by AI. I’m sorry, but I’m just not buying it. The company just announced spectacular earnings and is on track to repeat the performance this year. Better to take advantage of other traders’ stupidity and short-sightedness and pick the low-hanging fruit here.

Goldman Sachs was kind to me last year, so I am more than happy to visit the trough one more time.

I think that the falling interest rate play could work for another year. Now that we are in a full-fledged jobs crash, it can’t go any other way. The long-awaited Supreme Court decision is finally behind us.

Look at every banking and financial stock chart in the market, and they are all breaking out to the upside. It is clear that traders believe a Fed interest rate cut on September 17 will be followed by many more. Banks and financials are among the biggest beneficiaries of falling interest rates.

The Volatility Index ($VIX) over $20 assures us that we will get rich prices for the options.

What do we buy? Every interest rate-sensitive play out there, even the remote ones.

Therefore, I am buying the Goldman Sachs (GS) March 2026 $790-$800 in-the-money vertical bull call debit spread at $9.00 or best.

Don’t pay more than $9.40, or you’ll be chasing.

DO NOT USE MARKET ORDERS UNDER ANY CIRCUMSTANCES.

Simply enter your limit order, wait five minutes, and if you don’t get done, cancel your order and increase your bid by ten cents with a second order.

If you don’t want to sit in front of a screen all day or live in a foreign time zone when the US stock market is closed, such as Australia, or don’t want to sit in front of a screen all day, simply enter a spread of Good-Until-Cancelled orders overnight, like  $9.00, $9.10, $9.20, $9.30, and $9.40. You should get done on some or all of these.

This is a bet that (GS) will not drop below $800 by the March 20 option expiration in 19 trading days.

Here are the specific trades you need to execute this position:

Buy 12 March 2026 (GS) $790 calls at…………….$115.00

Sell short 12 March 2026 (GS) $800 calls at……$106.00

Net Cost:………………………….……….……………………$9.00

Potential Profit: $10.00 – $9.00 = $1.00

(12 X 100 X $1.) = $1,200 or 11.11% in 19 trading days

 

 

 

 

 

If you are uncertain about how to execute an options spread, please watch my training video by clicking here.

The best execution can be had by placing your bid for the entire spread in the middle market and waiting for the market to come to you. The difference between the bid and the offer on these deep-in-the-money spread trades can be enormous.

Don’t execute the legs individually, or you will end up losing much of your profit. Spread pricing can be very volatile on expiration months farther out.

Keep in mind that these are ballpark prices at best. After the alerts go out, prices can be all over the map.