How I Made 1% Per Day Trading This TOXIC Stock

When there’s blood in the streets, invest!

In today’s article, I want to share how I took a calculated risk on Wall Street’s most hated stock — and pocketed 1% per day, profit.

This isn’t self-indulgent either. There are several key takeaways you can use in your own trading. Especially when it comes to crisis stocks and contrarian investments.

The Trade

Most people know about the terrible fires in Hawaii.

And Hawaiian Electric Industries, Inc. ($HE) was initially blamed for causing the disaster. Hawaiian Electric shares plummeted when the news broke. And the stock tumbled from over $40 per share, to less than $10.

Many traders jumped in at this point.

I didn’t.

Too risky.

Instead, I waited until Hawaiian Electric was cleared of allegations.

And while I missed the massive 44% leap in share price, I used the opportunity to sell out-of-the-money put options.

The weekly put option I sold last Wednesday paid $40 to collateralize $1,250. With the option expiring Friday, September 1st.