Option Trading Strategies » Trading Strategies

Bull Call Spreads

Owen Trimball — Fri, 16 Apr 2010 03:05:11 +0000

Bull call spreads are option trading strategies involving the simultaneous purchase of call options at a lower strike price and shorting (selling) the same amount of call options at a higher strike price. Both long and short positions will have the same expiry date.

They are called “bull call spreads” because you enter them on the [...]

Options Spread Trading

Owen Trimball — Tue, 19 Jan 2010 07:50:32 +0000

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Risk Free Option Trading – Using Arbitrage

Owen Trimball — Wed, 02 Dec 2009 07:17:09 +0000

People are always wondering if there is a way that you can invest in the stock market totally risk free. Is there a way that, once you enter your position, there is 100 percent certainty that you will make a profit?

The answer is ‘yes’.

In this article, we will discuss how this strategy works, but need [...]

What Can The Forex Maestro Do For You?

Peter — Wed, 04 Mar 2009 19:19:00 +0000

What if there was an automatic way to capitalize on the $3 trillion forex market, would you be interested? Of course you would. You and everybody else. This is why forex robots have become so popular and it seems the newer the robot the more evolved they are getting.

Over time, creators of [...]

Selling Options – Is it the Holy Grail of Investments?

Peter — Mon, 14 Jul 2008 13:29:34 +0000

Option sellers believe that if it is not, it is pretty darn close. Probably the closest an investor will ever get to the long sought “Holy Grail of Investments” or what is considered to be the ideal investment.

Let’s take a look and see what exactly is regarded as the ideal investment. When asked to define [...]

Planet Wealth and The Amazing Dimitri Strategy

Peter — Fri, 25 Jan 2008 01:25:05 +0000

Planet Wealth’s flagship product is what they like to call “The Amazing Dimitri Strategy”. It’s all about how to “rent out” shares that you already own, as well as “selling insurance on any market”.

The “rent out shares” is otherwise known in investor jargon, as “Covered Calls”. The idea is that you own at least 1,000 [...]

U.S. Citizens – Trading the Australian Market is Easy

Peter — Thu, 17 Jan 2008 12:08:35 +0000

The reason I have written this post, is because Option Credit Spreads can sometimes be more suited to shares on the Australian Stock Exchange (ASX), rather than the USA Stock Exchanges, due to the tighter spreads and therefore lower exposure to risk.

Most option spreads on the USA stock exchanges are a minimum $2.50 apart, whereas [...]

When The Stock Price Goes the Wrong Way – Rolling Out

Owen Trimball — Fri, 11 Jan 2008 04:44:35 +0000

Let’s take an imaginary scenario, where during August we have taken out a credit put spread, often called a “Bull Put Spread”, on a stock whose price we expected to rise (therefore “bullish”) or at least remain around the current level, by the September expiry date. But during that time, to our surprise, the stock [...]