Options Trading Strategies You Can Use to Profit Over 50% of individual traders fail when using their own options strategies. Why? Because they have trading rules that they toss out the window when they get a "gut feeling" or when a trade that they really believe in goes bad. Successful traders are never attached to an individual trade. Picking a trading strategy and sticking … [Read more...]
Options Trading and Technical Analysis
Options Trading and Technical Analysis Recently, almost no options trading seminar is without some mention or introduction to technical analysis. In fact, almost all of the options trading blogs out there in the internet use technical analysis as their main basis of decision making. Why is that so? Why is options trading so closely related to technical analysis now? In order … [Read more...]
Stock Option Trading (Basic Information)
Stock Option Trading (Basic Information) It is no secret that 2008 was a terrible year for most stock investors, and most probably things are going to get worst in the future. The US and the World economy are in a recession that will probably last at least for the rest of 2009. The recession translates into less demand for products sold by companies, which means less profits … [Read more...]
Advantages and Limitations of writing covered calls
Advantages of Covered Call Writing One of the best features of writing covered calls is that it can be done in any kind of market, although doing so when the underlying stock is relatively stable is somewhat easier. But writing covered calls is an excellent method of generating extra investment income when the markets are down or flat. If Harry in the above example were to … [Read more...]
Day Trading Vs. Long-Term Investing
The act of investing is laying out money or capital in an enterprise with the expectation of profit. Investing is putting money into stocks, bonds, mutual funds, real estate, or some other financial vehicle, with the hopes that it will grow and earn profit . There are two personal styles of investing i.e day trading and long-term investing. Day Trading Day trading refers … [Read more...]