One of the ways I have discussed working from how was trading stocks. This could be day or swing trading. I have a page on it that you should look at before deciding this is right for you. As part of that strategy I wanted to discuss one way you can purchase a stock (or […]
Month: July 2017
SPX Iron Condor Look Back Trade
SPX – 6/23/16 I placed this Iron Condor the day before the Britain European Union exit vote. This could have been considered a high risk trade, except I legged into it. I sold my Calls on 6/23 and waited until 6/24 to sell my Puts. I was able to take advantage of the market panic […]
Covered Calls
It is time to delve into one of the main strategies I trade. Those of you who are familiar with covered calls, please do not say “really, covered calls again!” because I do not trade typical covered calls. My portfolio is broken down into a number of different strategies that help to increase my returns […]
NDX Look Back Iron Condor
NDX – 6/17/2016 On 6/17 I decided to place an Iron Condor on NDX while it was trading at $4,371.20. Little did I know at the time this would become a nightmare trade for me. Most of the time when you have to defend an Iron Condor it is on the Put side which is […]
RUT Credit Spread Look Back Trade
RUT – 08/05/2016 On 8/5 with RUT trading at $1226.64 I decided to enter into a one day high risk trade. Based on momentum I believed that RUT was heading down that day but that is not the real reason I entered the trade. I was looking for a hedge trade to bring in premium […]
Diagonals
What is a diagonal option trade? A diagonal is when you purchase calls or puts with different strike prices and expiring at different times. Examples: Purchase a $75.00 call expiring in 6 weeks and sell a $70.00 call expiring in 2 weeks. Purchase a $40.00 put expiring in 2 months and sell a $45.00 put […]
Condors
Iron condors are a favorite of mine. I typically only trade them on indexes such as RUT, SPX and NDX. I prefer SPX because I have found it trades more predictable to me. I seem to run into problems more often with RUT and NDX. That is not to say I do not trade them, […]
Virtual Trading
Most online brokerages offer virtual (paper) trading. I cannot begin to express to you the importance of virtual trading. It gives you an idea about how a new strategy will work and how the position looks on a day to day basis. There are a few things I need to warn you about however. First […]
Money Management
This is probably the most important part of any trading strategy or account. Without proper money management you will find your account busted very quickly. Remember if I am right 60% of the time I have done well. That means I have to manage my account in a way that I can survive being wrong […]
