Tag: selling options

Is It Time To Start Buying Options Instead Of Selling Them?

| October 4, 2019 | 0 Comments
Is It Time To Start Buying Options Instead Of Selling Them?

In a world of ultra-low interest rates, it seems every investor is searching for yield. Of course, that should come as no surprise when 10-year notes are yielding something like 1.6%. A yield like that is certainly not going to fund most people’s retirement! Given the yield of government bonds, it’s also no wonder that […]

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Options Trading: A Probability & Profitability Discussion

| June 14, 2019 | 0 Comments
Options Trading: A Probability & Profitability Discussion

It’s a well-known investment maxim where risk is correlated to reward.  But, when it comes to options, it seems people are making claims to both consistently hitting singles while simultaneously being home run kings. In my next three articles (this is one of three), I want to explore how returns should be calculated, whether it’s […]

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What Percentage Of Options Expire Worthless?

| May 17, 2019 | 0 Comments
What Percentage Of Options Expire Worthless?

One of the persistent and pernicious myths regarding options trading is that 80% of all of them expire worthless.  The number relies on the fact that most options get closed well before expiration and can create a misleading belief that selling premium is the only sure way to make money trading options. We’ve all seen the marketing […]

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Selling Versus Buying Options: A Risk/Reward Comparison

| May 13, 2019 | 0 Comments
Selling Versus Buying Options: A Risk/Reward Comparison

Next week I’ll be speaking at the MoneyShow in Las Vegas. It’s one of my favorite experiences every year. Not only is it a great opportunity to meet and talk to other options traders, but I also get a lot of really good questions at the event. I decided that this year I’ll be more […]

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Options: How To Buy Them Before They Expire Worthless

| September 19, 2018 | 0 Comments
Options: How To Buy Them Before They Expire Worthless

One of the persistent and pernicious myths regarding options is that 80% of all them are worthless.  The number belies the fact that most options get closed well before expiration and can create some misleading beliefs that selling premium is the only sure way to make money trading options. We’ve all seen the marketing emails […]

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2 Ideal Stocks To Generate Covered Call Portfolio Income

2 Ideal Stocks To Generate Covered Call Portfolio Income

We’ve enjoyed a tremendous bull market from 2009 into early 2018, but for the past three months the S&P 500 has been in correction territory. Is this another hiccup in the journey upwards, or is it the start of another multi-year period of flat or negative returns? Some investors prefer to avoid that question and […]

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One Way To Trade This Monster Tech Stock In January

| January 3, 2018 | 0 Comments
One Way To Trade This Monster Tech Stock In January

It’s officially the start of a new trading year, but that doesn’t mean you have to create all new investment strategies.  While there are certainly going to be some changes (possibly big ones) in 2018, there is plenty that happened in 2017 which will more or less be repeated this year. For instance, the leading […]

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The Perfect 10% Payout For A Toppy Market

| August 9, 2017 | 0 Comments
The Perfect 10% Payout For A Toppy Market

Worried about a pullback? I don’t blame you. But you shouldn’t stash your portfolio in cash when you can bank this 10% dividend and be protect yourself from a drop in the stock market. Rather than buying stocks for their payouts and hoping they don’t crash, you can extract more money from them – and protect your […]

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A Cheap Options Trade That Wins No Matter Which Way The Market Moves

| June 16, 2017 | 0 Comments
A Cheap Options Trade That Wins No Matter Which Way The Market Moves

With the Fed raising rates this afternoon, we could be in for a period of dramatic market swings. Here’s how you can profit in either direction using options. This is a win-win trade that can be placed by anyone no matter their level of experience or account size.  There’s been so much talk of low […]

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Go Long United States Steel Corporation (X) Stock And Buy American

Go Long United States Steel Corporation (X) Stock And Buy American

X stock is a Trump play if there ever was one. Go long infrastructure spending with U.S. Steel. United States Steel Corporation (NYSE:X) has had a rough 2017. While it was much-loved as a “Trump play,” X stock has fallen by more than 50% since February. But while I’m not one for catching falling knives, […]

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Buy This Stock At A 10% Discount Or Get Paid Not To

| September 2, 2016 | 0 Comments
Buy This Stock At A 10% Discount Or Get Paid Not To

Using an easy to understand options strategy, you can purchase this undervalued and attractive stock at a 10% discount to its current price or get paid real cash income not to. Professional money managers use this strategy to build positions in stocks at a discount while also earning a regular income stream. Rates are ridiculously […]

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Three Ways To Make Buying Options More Affordable

| July 29, 2013 | 0 Comments
Three Ways To Make Buying Options More Affordable

There’s absolutely no denying how powerful options can be.  Options have nearly unlimited uses.  And, savvy traders can learn to reap huge rewards from trading options on a regular basis. Of course, like anything else in the world of investments, options aren’t perfect.  One of the few negatives to trading options is some calls and […]

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