I’ve recently received a few emails from readers asking how to repair their credit spreads or iron condors. In some cases their short strikes had been breached. Given the unprecedented rally we’ve been experiencing, it’s not hard to believe that most of these issues have been on the call side.…
When it comes to the stock market, “the best time to buy is when there’s blood in the streets”. This quote it credited to Baron Rothschild, a British noble in the 18th century and member of the Rothschild banking family. I like the modern day analogy that when the stock market…
While markets have been on a stellar run lately and it seems like there is no stopping the bulls, now might be a good time to start thinking about having some downside protection. A sharp selloff would be particularly painful for bull put spread sellers. You would get hurt both…
Double diagonals are not your average options strategy. Let’s take a detailed look at this little known strategy and see if it’s worthy of adding to your option trading arsenal. We’ll look at: Trade setup Breakevens, max profit and max loss How Implied volatility affects the trade Managing the trade…
There are some great trading blogs out there these days and the number of bloggers seems to be rapidly expanding. There are a few bloggers who I read on a regular basis. These guys are the crème de le crème of option bloggers who provide great market analysis, trade ideas…
Twitter is a fantastic place to find trade ideas and check what’s happening in the markets. The problem is, there is a lot of noise and a lot of spammers. So how do you separate the wheat from the chaff? It was no easy task, but I’ve separated the top…
