Not the Best Time for a Vertical Credit

vertical

Vertical credit spreads are a popular option strategy for a reason. They give an option trader a high probability of a profit, especially when the spread is initialized out-of-the-money (OTM). Who does not like a nice probability on an option trade? I always say you have 3 out of 4 ways to make money. The […]

I Like the Odds

odds

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Stop Always Thinking Bullish Trades

non-bullish

Here is a quick but important post about remembering what type of market we are facing and why many traders always think about bullish trades…even when the market is heading south. Let’s face it, it has been a less than stellar bullish year thus far. That said, many traders are still primarily looking for bullish […]

Is the Tide Turning?

tide

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Follow or Fizzle?

follow or fizzle

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Big Technical Day Tomorrow

small trading accounts

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IV and a Double Calendar on SPY

IV and a Double Calendar on SPY

Recently in MTM’s Group Coaching class, we talked about a long double calendar on SPY. The interesting part about the conversation was that Fed Chair Powell was speaking the next day at the Jackson Hole Symposium. A volatile day might ensue the next session. Implied Volatility Skews At the time we were looking at the […]

Greeks of Directional Time Spreads

We’ve been seeing a lot of time spreads trading lately. A LOT. And one variety of time spread I’d always been a fan of—directional time spreads—I’ve become just stark raving mad of a fanatic about recently. Directional Time Spreads Why trade directional time spreads? As I like to say, it’s not just about probability of […]