In this issue, we update our indicators and then explain why we remain cautious while offering two work in progress ideas, one an updated hedge using iShares Russell 2000 Index (IWM) and another long SPDR Gold Shares (GLD) suggestion.
XLF, Payment Processor IV Cheap, Trade?
As we head into the fiscal cliff and a potential European solution/crisis one thing strikes me, risk is not being priced into financial assets.
Going Vertical in AAPL
One of the basic directional spreads when learning to trade options is that of the vertical spread. It is extremely versatile and represents a major building block of more complex spreads.
Relatively Speaking
I was a bit hesitant when considering this week?s article because the topic is very subjective. The difficulty lies in fully explaining the possible interpretations of the following chart, and how what could be a powerful tool for you may be misinterpreted if used improperly.
Mideast Kerfuffle
My first option trade was in 1990 on a crude oil contract leading up to Gulf War I. I was convinced oil prices would rise and I was right. I don?t remember how high crude went at the time, maybe $40 or $50 a barrel, but it was a nice win.
Option Block 200: It’s a Celebration
It’s our 200th episode. We share our favorite moments, some milestones, and discuss options (a bit). Come join the fun!
Is It Really That Simple?
During a live trading exercise in class, a student exclaimed, ?Can it really be this easy to make money in the markets? It is so simple!?
There?s a Time for Everything: Thoughts on AAPL Option Strategies
Do you know how many different types of options strategies there are? A lot: That?s how many!
Volatility Trading Digest – Scoreboard
We offer a tally of our closed November positions, then a new add-on idea using previously assigned stock followed by a conditional hedge suggestion.
Volatility Trading Digest – Oversold Bounce
By most measuring techniques, the S&P 500 Index (SPX) is oversold and due for a bounce.
Option Block 199: Apple Selloff and Yoga Pants
With a 50% guarantee of entertainment, you’d be missing out if you skipped this Option Block. Options? VIX? AAPL? We have it all!
The Banks Are Toast for Now
There is a pattern beginning to shape since the election and for the most part it is not good for equities.








