Posts Tagged ‘Butterfly’

(Option Trading) Glimpse Trade: XHB

Here is this month’s Glimpse of Genius trade. Glimpse of Genius is a free service where we share one delta neutral/option selling trade a month so that you can see how these trades work in real time. We do these “live” and you can sign up to be updated by email whenever we adjust or…

Read More

Butterfly Option Strategy Basics

The Butterfly Spread Not sure how a butterfly works or makes money? No problem. This video is in response to a question from a member. He wanted to know how the trade made money and why he had to exit the trade to get his profit. The answer to the second part of the question…

Read More

Stock Option Strategies – 4 Strategies You Can Trade

What is option trading? New to option trading? Not sure what the difference is between a butterfly, a condor, or a mouse? (Hint: there is no strategy called “mouse”) In this video I open up one of my personal trading accounts to show you 4 trades that are all of a different strategy. We have…

Read More

MCD Butterfly Spread Update

MCD Butterfly Spread I just exited the MCD butterfly I posted on the blog on 3/25. I exited with a credit of 3.10. I originally paid 3.11 for the trade so I lost .01 on 2 butterfly spreads or $2 plus commissions. There is still 10 days left to expiration and MCD has not hit the…

Read More

Butterfly Option Trading: MCD

Butterfly Option Strategy for MCD Just added a new option trade in my personal portfolio today. It’s a classic butterfly spread on MCD – McDonald’s. The trade was Buy 2 April 70 puts, Sell 4 April 75 Puts, Buy 2 April 80 Puts for a debit of 3.11 per spread or a total cost of…

Read More

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…

Read More

Option Return: 17.39% in Just One Day

Would you like a 17% one day option return? That’s what one of my members got today. He actually did much better than I did. I am still in this trade. He was able to get in at a much better price than I did yesterday and already exited the trade today. Butterfly option trade…

Read More