Vertical Credit Spreads
A credit spread is one of the safest and most successful strategies there is. Learn more about vertical credit spreads and boost your trading account.
How to Trade in Trending Markets
A lot of money can be made by simply riding a trend. Not only is going with the trend wise, buying and holding a position for weeks is less stressful than day trading.
Horizontal Debit Spreads
The horizontal debit spread (often called a calendar spread or time spread) is a neutral strategy when constructed using at-the-money options. As such, it is a good strategy to use in a choppy, sideways market.
The Beauty of Combinational Strategies
Options are enormously flexible in the ways you can use them. TradingMarkets contributor Len Yates gives his expert advise on using combination-option strategies to simulate your portfolio.
How to Use Backspreads in Options Trading
The backspread is an amazing little strategy when you expect a potentially big price move, but think you could be wrong and no move whatsoever develops.
Buying Deep In-the-Money Options
Len Yates shows you how to buy deep ITM options -a good way to carry out directional trading in high volatility market environments.
The Many Scenarios Options Traders Have to Choose From
Len Yates describes in-depth the nature of options so you can make the best trading decisions.
Applying LEAP Options to Long Term Stock Moves
LEAPs are an attractive alternative to stock ownership. Not only do they
have a better risk/reward profile, inexpensive LEAPs are easy to find and
thus come with an inherent edge.
How to Exit Option Trades as Expiration Day Approaches
In-the-money calls and puts often trade for less than their intrinsic value on, or near, expiration day. But, there are ways that you can get the full value for your option position…
How to Write Covered Calls
Covered writing, also known as a “buy write”, is often touted as a safe way to generate extra income from a stock portfolio, and the Short Covered Call is often an investor’s first introduction to trading options.
Choosing the Best Option to Trade
The advantage of options is that when you’re correct about the direction of the market, gains are unlimited. When wrong, losses are limited…
7 Mistakes Novice Options Traders Make
Here are 7 common mistakes traders new to options make and 3 reasons investors mistakenly avoid trading options.