Friday's Job Data

Friday's Jobs Data and the market's reaction to it was no surprise. It was my belief that traders had decided several days prior to the release that equities would rally regardless due to the chatter in the market

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Math Club Talks Options

One of the hallmarks of option trading is its extreme flexibility in both the initial construction of positions and in the ability to mutate forms to accommodate the evolution of a trader’s thesis regarding the impending behavior of the underlying.

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Notes for a Novice Trader

Just like in trading, there is very little involved with getting a motorcycle and then driving it on the roads. Without any mandatory training, you can purchase a bike with little money down, get your license and buy a helmet. For a trader to start out, he just needs to open a trading account for as little as $5,000 (controlling as much as $100K with leverage) and have an internet connection and he can start trading. Both of these events are missing key elements ? training and experience.

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The Benefits of Futures Trading

When it comes to trading different asset classes, I get more questions about the Futures markets than any other set of markets. This is because many people hear from others how great these markets are for short and long-term trading but know very little about them.

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What Does Uncertainty Look Like on a Price Chart?

Summer is typically the season where market participants have things other than trading on their minds. Even more so, this vacation season, as the cloud of uncertainty hovers over the market. This lack of interest has been manifested in the low trading volume the market has experienced over the past several months.

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Accelerating To Warp Speed

The weekly options have been the topic of our blog discussions over several weeks now. Despite this topic being the trendy subject and in the forefront of many discussions, it is helpful to recognize the functional flexibility this dramatically shortened lifespan brings to a variety of strategies.

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Delta as a Hedge

In this article, I will discuss a concept that is somewhat vague to many novice traders. First, I will define Delta in the most traditional way, and then I will provide an example of using Delta as a hedge.

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Three Challenges to Conquer for Trading Success

I believe that trading is 85% psychological, 10% risk management and 5% strategy. If you are just starting out in trading, keep this in mind. Too many times people are so busy looking for the Holy Grail trading strategy that they forget to work on the most important part of trading ? themselves.

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Students Want to Know

In this article, I will address some of the questions that I have received from students over the past few months. The topics are strike price selection, exiting short option positions and current market analysis.

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