Month: May 2013

Importance of Technical analysis in your trading

  Importance of Technical analysis   You’ve probably wondered about the importance of Technical analysis and Volume analysis, and how much emphasis you should give to such tools when you decide your trading strategies. There are people who swear by Technical analysis – they’ll take the trade only if a certain pattern is playing out. …

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Explosive profits on Priceline Short Strangle (PCLN) trade in 2 days

The Short Strangle is generally a trade that’s considered risky because it has unlimited Loss profiles on both the Call and Put sides. But in this case, with a buffer zone as wide as the Panama Canal, it made sense to put the Short Strangle on Priceline, especially because of a very special Implied Volatility arbitrage that had opened up in the days before it released earnings.

The Ultimate Options trading strategy

What a historic milestone in the markets today. The SPX above 1600, and the Dow tipped its head briefly above 15,000 and the Nasdaq at 13 year highs….Wow..Of course, we can debate whether actual conditions on Main street warrants such lofty market highs. But who am I to argue – we react to the markets, not predict them. As it happened, today’s market topping moment gave us an opportunity to exit our monthly trading cycle (29 days to be precise).