Tag: licensed financial adviser
Apple Stock Ten-Month Covered Call
With stocks dropping fast, many quality companies can be bought at fire sale prices. Apple is one such stock and is currently trading 12.22% below its 52-week high. Here’s how…
Read More »How to Get a Free Hedge From a 1-1-2
Today, we talking about how to get a free hedge for your portfolio. We recently discussed the 1-1-2 option strategy consisting of selling two puts plus and buying a put…
Read More »NVDA Bull Put Spread Idea for Income Traders
Nvidia stock continues to show amazing strength and is above the 21, 50 and 200-day moving averages. Today, we’re looking at a bull put spread. As a reminder, a bull…
Read More »Reducing Capital Usage In Butterflies
Contents How Can We Fix This? FAQs Conclusion A trader adjusting a non-directional broken-wing butterfly often increases the margin or capital requirements. Suppose it exceeds the capital allocated for the…
Read More »Price Sitting On Top Of A Ball
Contents T+0 Line Another Example Butterfly Example Delta On Both Sides Of The Ball Conclusion In option strategy theory, we have a whole bunch of funny expressions. That is why…
Read More »Have You Seen the Time Fly Options Strategy?
Contents Introduction Trade Details Composition of Two Calendars Exit Before the First Expiration The Greeks Frequently Asked Questions: Conclusion Introduction Options investors have creative names for their option strategies, such…
Read More »No Stress Iron Condor Trade Example
Taking the stress out of trading iron condors is taking longer DTE (days to expiration) trades. The longer DTE makes the trade less sensitive to price movement. Significant price moves…
Read More »GS Condor Example
Contents Adjustment Closing Trade Conclusion FAQ The “GS Condor” – sounds like a good name for an airplane. In this example, we analyze an iron condor on Goldman Sachs (GS)…
Read More »Amazon Sold Puts with Delta Hedge
Contents The Greeks Price Moved Possible Take Profit Time to Close Conclusion FAQ Sold puts with a delta hedge gives us a curve similar to a short strangle. Let’s take…
Read More »Dollar Cost Averaging: A Primer and Calculator
Contents What is Dollar Cost Averaging? Why Dollar Cost Average? Asset Selection The Math Creating A Dollar Cost Average Calculator Fractional Shares Closing Thoughts on DCA What is Dollar Cost…
Read More »