Although the prediction game is a treacherous one, Wave Strength Options Weekly editor Adam Lass says more financial storms are just as likely as bad weather this hurricane season.

This means the S&P 100 Index (OEX), which contains the 100 largest players on Wall Street, could be about to lose at least 10% of its value.

And that’s a best-case scenario. The drop could run to over 50% in a major crash scenario, according to Adam. Placing puts against the weakest players in the index is the best way to prepare for these “inevitable” losses.

This week, FDIC chair Sheila Blair said the insurance fund might have to borrow to cover the nation’s bank failures.

The FDIC’s $53 billion simply isn’t enough to cover the assets held by the growing number of “problem” banks. The FDIC’s list has increased from 90 at the end of March to 117 in June. Total assets affected now stand at $78 billion.

If even a portion of the these banks go under, says Adam Lass in Taipan Daily, the XLF December 20 puts (XLF XT), which track the S&P 500’s Financial Select Sector, could gain of some 52%. A big number of failures could send these options up 79%…

The balmy summer months have brought some much needed relief from fuel and energy bills. It’s easier to open windows and ditch the SUV when the sun is shining. But, says Adam Lass over at Taipan Publishing Group, after summer comes fall, and then winter. It won’t be long before the cold and rain set back in, and families crank the thermostat up again.

We’ve said it here before, but it’s worth repeating: People still have to eat, even in downturn.

Adam Lass in Taipan Daily says one stock worth a look right now is Buffalo Wild Wings (NASDAQ:BWLD). He has examined its chart and says this stock could gain as much as 35% over the next few weeks.

That’s because America’s wealthy “are dummying up, pulling in their horns and battening down the hatches.” And this is good news for restaurants such Buffalo Wild Wings, whose customer base is swelling as the rich go downmarket. More from Adam…

Even “bulletproof” real estate markets are collapsing. Disaster… or opportunity? I’m not quite sure if I am looking at a harbinger of the past… or a sign of the future. I can tell you that what I am looking at is shocking.