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Suggested Stop

In situations where the market does not move in our favor, we can prevent substantial losses by the use of stop losses. We will close out a position and take a loss when a trade was initiated in accordance with our signal but the value of the short option increased rather than decreased, reaching our "Suggested Stop-Loss Level".

We do not always provide "Suggested Stop-Loss Levels" at the same time we issue a signal. We may instead:

• Issue a "Suggested Stop-Loss Level" at a later time, once a short option position has already been taken;

• Provide a new "Suggested Stop-Loss Level", replacing the one previously issued;

• Not issue a "Suggested Stop-Loss Level" at all.

Best Months July 2010: +115% June 2010: +137% May 2010: +88% Mar 2010: +300% Feb 2010: +425% Jan 2010: +104% Dec 2009: +181% Nov 2009: +415% Oct 2009: +446% Sep 2009: +375% Aug 2009: +113% July 2009: +213% June. 2009: +235% May. 2009: +88% Apr. 2009: +367% Mar. 2009: +91% Feb. 2009: +210% Jan. 2009: +170% Based on actual trades autotraded by major brokers Based on premium received for selling options short

Uncovered SPY Options Signals Past 6 Months +229% -3% Our Signals Buy & Hold

As of 9/1/2010

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