This week, options educator and strategist Paul Forchione returns to the Options Tribe to show how he uses OptionVue software to structure and analyze these positive theta spread positions in various futures markets. He will show how these positions behave in relation to market movement and changes in implied volatility by generating performance curves and discussing the Greeks.
Sometimes it’s your job to lose money
In this video, Seth Freudberg discusses why it is disadvantageous for a trader to get into a mindset that he must win every trade at all costs. He must instead accept that the best trades have anticipated losing months in each year, no matter how well designed that strategy is.
One of the Most Important Trading Skills You Need to Develop
This coming Wednesday, after the market close, Bella is going to teach a trading class about one of the most important trading skills that many traders don’t understand. Tape reading is a crucial skill for all types of traders. Not just intraday or short term traders. Tape reading skills add value to trades that are held for swing, intraday and … Read More
The End of Volatility
During the first three years of my trading career I participated in a stock market that seemed to move 1%+ almost every day. That market was built for short term traders. But during that same time period regulators pushed through a series of market structure changes that I believe laid the foundation for a long term decline in stock market … Read More
Impatience is a major enemy of beginner options traders
In this video, Seth Freudberg details the problems of raising capital level too quickly and suggests an alternative way to structure your growth process as an options trader. After experiencing some success over a small time period, they decide that they can trade much larger without understanding the tragic ramifications of increasing your capital level too quickly.
See the Hypos
Today we’re looking at creating premarket if/then statements. There’s a powerful list of benefits associated with adding this to your routine. I hope that is helpful to your own trading. Merritt Black *No relevant positions Important Disclosures
The danger of the overconfident trader
Yesterday I wrote about a trader struggling with added size and risk. In seeking a solution for this trader one possible area of focus was overconfidence. How does it happen? Why is it dangerous? What can we do to combat overconfidence? You trade well. You are seeing screens well and the market is trading in a way that allows your … Read More
A trader struggles with added risk
Here is an anecdote from our proprietary trading desk in NYC. A consistently profitable trader (CPT) shot me an email this week to chat about struggling with a recent bump in share size and risk. He felt he had taken a step back with his trading after being given the opportunity by the firm to take a few steps forward … Read More