Options investors should take the time to learn about market volatility. This measure can help investors with decisions about the overall trend of the market. The Chicago Board Options Exchange (CBOE) created an indicator that helps investors keep track of volatility. Appropriately, this index is named the Volatility Index or VIX. If you point your […]
What if there was an indicator that can help you determine the tops or the bottoms of a market? That indicator would seem like a worthy inclusion in your trading tools, right? Many traders feel that the Put-Call Ratio (PCR) is just the indicator for the job of predicting the direction of the market. Before […]
Many investors consider options investing to be risky. There are several reasons why people think that, but let’s explore three actual risks associated with options investing. The first risk has to do with expectations management. Novice options investors expect stock prices to move quickly. While that can happen, it often doesn’t. These investors load up […]
Sometimes we forget the basics. Even in a year with low implied volatility of the market you can scratch out just under 30% profits in our long and short-term portfolios. You can also cash out out income portfolio with a 20% profit by following basic strategies, not by gambling! So let’s review the basics. Here they […]
Long-term Equity Anticipation Securities (LEAPS) are options contracts with longer expiration dates than standard options, which usually expire in a year or less. The expiration dates for LEAPS are usually over a year, but some can have up to three-year expiration dates. Investors can use LEAPS instead of buying an underlying stock outright. This strategy […]
