Option Strategies

Credit Suisse Suggests a Butterfly Option Trade

Butterfly Option Trade: The following is from a Barrons article by STEVEN M. SEARS Butterfly Option Trade on Sprint IF THE FEDERAL RESERVE can print money, so can you. All you need is a little cash, and a ton of nerve. Consider Sprint Nextel (ticker: S). The $4 stock is a dog; it has declined…

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Stock Options Trading From Goldman Sachs

The following is from a Barrons article by STEVEN M. SEARS A STRADDLE FOR GE SHARES OF GENERAL ELECTRIC (ticker: GE) have been a disappointment for much of the 21st century. The stock has lost half of its value in the past five years, and it’s gone nowhere in the past three months. But there…

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Option Calendar Spread Update 10/5/2010

Calendar spread strategy update Option Calendar Spread Update: Oh oh, GLD jumped up today along with the rest of the market. You’d think that if the stock market goes up because the economy is getting better than Gold would go down. Nope. So I guess the economy is not the reason the market is up…

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GLD Calendar Option Spread Update 9/29/10

GLD Calendar Option Spread Here’s an update on GLD calendar option spread. Ok so GLD has continued to drift higher. It hit the upside breakeven of the calendar today and then pulled back a few cents. Time to add the adjustment. I added the 128 Oct/Nov Calendar in the same amount of contracts as the…

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Weekly Calendar Spread in GLD

Weekly options calendar Weekly calendar spread: Yesterday I added a GLD trade to the OptionGenius.com portfolio and I mentioned that GLD might be a good candidate for a Calendar Spread. Several members emailed me asking to explain how to set up the option trade and the parameters so I decided to just post it on…

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Iron Condor Option: Sample Iron Condor Trade

Iron Condor Option: Sample Iron Condor Trade Here is an iron condor option trade I am looking at today. Iron Condor in YUM: Sell 6 Sept 46 Calls,   Buy 6 Sept 48 Calls Sell 6 Sept 42 Puts, Buy 6 Sept 40 Puts Thinkorswim is showing the mid price to be .18 cents. So…

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Iron Condor Option Course Part Five

Part 5: Iron Condor Adjustments Adjustments are what separate the men from the boys. Some traders and advisories say that you do not need adjustment. That they only lower your return and increase your commissions. That without adjustments your trades should work out due to the probabilities. That has not been my experience. I have…

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Iron Condor Option Trading Course Part Four

Part Four: Iron Condor Trading Strategy There are as many iron condor trading strategies as there are iron condor traders. Everyone has their own preferences and style. To create your own iron condor strategy you have to first choose the underlying. You don’t really need an iron condor screener or software program to find suitable…

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Iron Condor Spread Mini Course Part Three

Part Three: The Risk of the Iron Condor Spread and How to Mitigate it. So far we have talked about how the iron condor has great probability of success and can generate a decent return month after month. In this section we are going to talk about what happens when things go wrong. Most traders…

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Iron Condor Option Trading Mini Course Part Two

Part Two: Philosophy of the Iron Condor Incase you missed Part One: http://optiongenius.com/blog/iron-condor-option-trading-mini-course/ Stocks move up and they move down. Very rarely do they move in only one direction for an extended period of time. Since most of the time, stocks trade in a range, why don’t we make money from the range, instead of…

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