Tuesday, June 9, 2009

Kerry Given - EzineArticles.com Expert Author

Equity Option Cycles[Investing:Stocks] Sometimes it is confusing why different future option months are available when we are looking at the options chains of different stocks. This article explains the system used to define which option months are available at any given time.
What Mother Didn't Tell You About Iron Condors[Investing:Stocks] Placing iron condor spreads on the broad market indexes is a relatively conservative, non-directional trading strategy that may be used for consistent income generation. This strategy profits as long as the index trades within the channel formed by the two spread positions. The downside of this strategy is its large downside risk. That downside risk must be carefully managed for success with the iron condor.
Option Expiration and Exercise[Investing:Stocks] Do you understand the settlement, exercise, and expiration characteristics of the options you trade? Beginning options traders often make costly mistakes due to either a lack of knowledge or misinformation about the basic parameters of options and their exercise. Examples of common errors include being surprised that one is unable to close an index option position on the Friday before expiration, or being surprised by an unhedged option exercise during expiration. This paper covers some of the basic concepts surrounding option expiration and how options are exercised.
Put Time on Your Side[Investing:Stocks] Options trading strategies that benefit from the time decay of options prices are attractive for monthly income generation. Pay attention to the calendar and put time on your side.
Have You Insured Your Stocks?[Investing:Stocks] Many people think of options trading as very risky and suitable only for the "high rollers". In this article we will demonstrate one of the ways options can be used in conservative financial portfolios.
Trading Options - Good Or Evil?[Investing:Stocks] You have probably heard people refer to options as a risky enterprise, akin to gambling. And it is true that options trading can be very risky, especially when engaged in with minimal knowledge and preparation. The average stockbroker or financial planner does not have sufficient options knowledge to guide you in the use of options in your portfolio. But that doesn't mean options cannot play a role in a conservative portfolio of stocks.
Why Losing Trades Are Good For You[Investing:Stocks] The reality of the trading business is that a large percentage of one's trades will be losers. Always understand the risk/reward ratio of your trading strategy. Couple that with the probabilities of success and loss to know the expected value of a series of trades using this system. But is this system compatible with your trading style and risk profile?
Trade Options With a 90% Probability of Success[Investing:Stocks] It is common to see web site banners or other advertisements similar to the title of this article, touting the benefits of options trades with probabilities of success of 85-90%. But there is a catch...
The Problem is Between Your Ears![Investing:Stocks] Two emotions, fear and greed, can be lethal to your financial success. Developing an unemotional, systematic approach to your trading and investments is crucial for success. This paper will present five guidelines to help you control your emotions and improve your trading results.
Squeezing Additional Income From Your Stocks[Investing:Stocks] Many people think of options trading as very risky and suitable only for the "high rollers". This article briefly surveys how options can be used in conservative financial portfolios to boost the income from your stocks.

No comments:

Post a Comment