On 1/12 I went long TLT by buying Feb 153 Calls for $1.80. The next day, as price moved higher, I sold the Feb 155 Calls for $1.60 leaving me with a $2 wide spread with a cost of just $.20! Then on 1/14 I turned the position into a Call Condor by selling a...
read moreThe first step in my process of initiating a new option position is identifying a promising chart setup. I'll consider setups on various time frames anywhere from the 65-minute charts all the way up to the monthly charts. My typical trades originate from the daily and weekly charts but I'm always looking for the best...
read moreTrading is hard. That’s not breaking news. We all know that. The hardest part of trading for most is once in a trade when to exit. Often a trade is initially profitable only to have it reverse and take back all of the profits and then some. After that experience it’s easy to exit a...
read more"Let me tell you about the time I doubled my money on an option trade in one day." Wow, that's great! "Yeah, unfortunately I gave it all back the next day and by the end of the week I was down 50% on the trade." Sound familiar? Of course it does. It's happened to practically...
read moreIf I buy a single Aug21 SPY 310/305 Vertical Put Debit spread how many assets do I now own? One of course! Wait, is this a trick question? One, right? The correct answer is five! If that answer didn't occur to you right away then keep reading because I'm going to reveal one of the most...
read moreThere's 'trading' options and then there's 'buying' and 'selling' options. Of course trading involves buying and selling but it's much more than that. Successful traders plan their trades and take advantage of opportunities when they present. Unsuccessful traders play options like the roulette wheel in Vegas. Put 10% of my entire portfolio on red 7....
read moreHow can a option position be free? Just 1 day after establishing a NFLX position this week I had the opportunity to eliminate all cost in the position while still maintaining a potential maximum profit of $10,020. Actually, I did a little better than that. I locked in a minimum $20 profit even if NFLX...
read moreJust 4 days after establishing a TWTR position I had the opportunity to eliminate all cost in the position while still maintaining a potential maximum profit of $6,000. How can a ZERO dollar cost position have a potential $6,000 profit? Keep reading below and you'll see the answer to that question. First, I have to...
read moreThis week I'm going to walk you through how I was able to buy SPX Calendar spreads on March 2nd for $2.75 each and sell them on March 14th for prices ranging from $7.00 to $45.00! That means the worst performing Calendar had a 154% return. The best performer was up over 1500%. In.Eleven.Days. Below...
read moreWeek 2 of The Art of Chart's new option service, Vega Options, is in the books. My portfolio is 5 for 5 with profitable positions and I have shared all of the opening and closing transactions with the twitter group as the week progressed. Vega Options is not a trading service however I do share,...
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