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…

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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…

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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…

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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…

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After This Market ‘Melt-Up’, Here’s How To Protect Your Portfolio Using Options

The stock market is hitting new all-time highs every other day and volatility is sinking to historically low levels. Traders need to start thinking about hedging their overall stock holdings. This can be done easily with the purchase of put options using a spread and with the lower VIX. And…

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Selling Puts: Easy Income Starts Here

There is no doubt, when the market is red-hot there is a strategy that has proven itself effective over and over. Selling Puts is one of the safest, easiest ways to earn big income.  Of course, it can backfire once in awhile, so please understand the risks involved. I discovered…

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Here’s How To ‘Smartly’ Replace Stocks With Options

For new option traders, there is a strategy you will become familiar with called stock replacement. Stock replacement is defined by Investopedia as “an investment strategy that attempts to mimic the returns of a certain asset or group of assets by using a combination of different derivatives rather than buying…

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Ever Heard Of A ‘Melt-Up’? The Market Is Headed For One!

FOMO or the fear of missing out is something you see in millennials, but so far this year, it is affecting investors and the market in ways I can not adequately explain. Like others in the space, I am asking myself how can this market continue to run-up without any kind…

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The Simplest Way To Double Your Money With Options

Even though we are programmed to believe the title of this article is simply clickbait, I can assure it is anything but. Traders have been misinformed for far too long. Traders make a major mistake about an opportunity to double your money – at half the price. Luckily, you’re not going…

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A No-Brainer Trade For The Digital Payments Boom

The exchanging of real dollars is becoming less and less common, as are the merits of doing so. Our digital, credit-fueled society has little room for the slow, paper currency of old. Even the tried and true transactions of the cash economy (i.e. small businesses and person-to-person exchanges for goods) are becoming better served by digital transactions, which are quicker and safer (both in personal safety and fraud).

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Why Most People Fail Miserably At Trading Options (And How To Avoid It)

Facts are facts right? They can’t be argued. The truth is that most people who trade options fail miserably and lose money each year. But if you’re reading this blog, I think it’s safe to assume that you could be one of the people who prosper from options trading. Let’s be…

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How Reading Options Activity Can Offer Clues To Price Moves

Using option activity as an indicator for impending price moves is difficult, subjective, and unreliable. That being said, it can help confirm other indicators and increase the probability of a profitable trade.

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