How To Survive a Market Correction

The last few market sessions have been scary, but they are very normal. Most experts predict we could see a correction every 8-12 months, and last on average about 54 days. What’s most strange is that corrections are a sign of a healthy stock market… in most cases. A correction…

Read more »

Wall Street Created The Product That Helped Plunge The Market

So much for profiting off of a calm but booming stock market. The dramatic sell-off in stocks Friday and Monday forced a flood of buying in derivatives to close out one of Wall Street’s biggest trades: while buying stocks, traders were betting against volatility, which has been near historic lows….

Read more »

The Best Strategy for Profiting In This Market

We are following a very similar script from January 2016. So what exactly did we learn was the best strategy for profiting in a crashing market… Well, for most investors to make money, they tend to follow the market and go long when the market is rising. Alternatively, they go…

Read more »

Debit Spreads vs Credit Spreads – When Should You Use Each

Let’s say for instance you have targeted a stock or ETF setup you like and want to make a directional trade. Maybe some technical indicator alerted you to a possible turn in the underlying or you just needed to hedge your portfolio with a new trade. Whatever the case, you…

Read more »

Back to Basics Friday: The Biggest Options Myth Dispelled

One promoter who likes the idea of writing covered calls states that: “Over 75% of all options held until expiration expire worthless… That’s why you should do what the pros do and sell options to other people. After all, if most of them will expire worthless, why not collect some money for…

Read more »

Want Your Trades to Skyrocket? Use This Method…

What if there was a simple trick to juicing profits during earnings season, regardless of the direction of the stock. For trades, the number single biggest problem during earnings season is not knowing where a stock will move after its earnings come out. And that not know can make it…

Read more »

One Great Reason To Learn Vertical Option Spreads

This message goes out to all of the naked put sellers. For a moment, say the market has made an extended higher in your favor. There is a good chance you are getting a little nervous. Will the rally keep going, and if not, how I can protect my current…

Read more »

Beware Of This Scam

I know my readers would never mess with binary options, but for those who have thought about it comes a major warning by Britain’s financial watchdog group. The Financial Conduct Authority (FCA) said unsuspecting consumers were being lured into buying fraudulent investments via social media sites like Facebook, Instagram and…

Read more »

A Simple Way To Boost Your Profits… Even If You Are Buy and Holder

Are you a buy-and-hold investor? I want you to pay very close attention to what we are saying. Most buy-and-hold investors will watch their gains disappear as volatility eats away at them. There is an incredibly simple strategy you can use to boost your ROI and hold those shares over…

Read more »

An Illustrative Guide To Trading Options

The best way for most people to understand a complex topic is through illustration. I don’t have any scientific evidence to back this up, so I thought I would toss out that nonsense on a lazy Friday. Either way, I found this great infographic made by our friends at Steady Options….

Read more »

The Most Revealing Conversation I’ve Had In Years

Last night was the thousandth time I’ve had the exact conversation, yet something about it was different. After my kids were tucked into bed, I met a few friends to play paddle tennis and drink some beers. While introducing myself to one of the newer guys, he asked me what…

Read more »

If History Is Our Guide, Stocks Could Rally 20% In 2018

We have written extensively on the strength of this bull market. For the only the second time since 1929, the maximum drawdown on the S&P was less than 3% Put it like this, had bought and then sold at the worst possible times last year, you would have lost a…

Read more »