Real-time options education and strategies
When I trade any short term time spread in SPX or SPY I almost always use the 3-day rule. When I say short term I mean that the expiration of both the spread’s short and long options is generally within the following 30 days. The 3-days refers to the amount of days between the expiration … Read more
Short post here about a trade that I made in AAPL today. I had a short setup on the hourly chart so I looked for a good option structure to trade. Here’s my tweet describing why I chose a Diagonal spread. The Put that I was selling was much more expensive than the one that … Read more
This post is about one of my favorite strategy’s for attempting to profit from a grind higher in SPX. It likely seems a little complicated to someone who hasn’t had any experience with the strategy so this is a reminder here that all of the posts on this blog are strategy’s that Travis and I … Read more
I want to preface this lesson with an explanation of why this trade will look larger in size than my typical trades from the past in this service. I used to have 2 separate trading accounts that go back many years and I finally got tired of the occasional mistake of hedging a position in … Read more
One of the most reliable chart patterns for an upcoming directional trend is the consolidation range. Below is the daily chart of MU. Price experienced a strong 45% rally from the beginning of November thru December 4th. Since then price has moved sideways in a $5 range between ~69.50 and ~74.50. Since a range like … Read more
A lot of range bound trading this past week. It’s too easy to get chopped up during those times and directional positions almost always lose value regardless of which direction you’re trading. Good time to sell Iron Condors, right? If the range is small enough, yes. However, if the range is fairly large then short … Read more