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Aha! moments often occur when we are faced with a problem or a situation that requires us to think outside the box. They can happen when we are...

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[9/7: updated stop to 48. We're already #FreeRiding here, so whatever we sell the remaining portion of the position for is pure profit!]

According to "the news," Americans can't afford to buy homes and rising mortgage costs will only...

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If you’ve tuned in to either of my “Expiring Daily” Twitter spaces talks over the past two Mondays, you’ve heard me talking about a trading strategy I’m currently in the process of...

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The thing about options is that participants in these markets are very good at pricing in expected moves. You'd be amazed at how often the options market nails the expected move in an instrument before it happens.

Like point spreads in sports...

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We're making a tactical bearish bet on a transportation stock that appears to be riding the rails south to lower prices.

It's got earnings coming up in late April, so we'll be buying an express ticket on a short-term play to capture a move....

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If you would've told me a few months ago that we'd see a large crypto exchange (FTX) go bust and later a number of big banks become insolvent and collapse to zero, I would've laughed you out of the room if you followed up with: "...and bitcoin will...

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We're still in premium-selling mode until the market calms down.

That said, we're not taking any wild risks. This time, we're targeting the relatively tame utility sector and defining our risks. April expiration will become the "front-month"...

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I’ve received a few emails over the past few weeks from people who had long calls trades that went their way – a good problem to have. But they had questions about how to manage them....

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Outperformers

All things considered, the tech sector is holding up well. This gives me some comfort that this is an area we can sell some delta-neutral options premium to ride out this market volatility.

But we're going to do so carefully, defining our...

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People love the idea of entering options trades with a high probability of success. It’s easy to be seduced by the prospect of winning on 60, 70, or even 80 percent of our trades.

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Paid To Play

The Volatility Gods are offering us more tempting options premiums to sell. Is it a trap? Perhaps.

But I can step into the morass with a defined risk delta-neutral credit spread in a sector ETF that looks rangebound.

This puts me in a...

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Today's trade is going to leverage the rising volatilities introduced into the stock market this week thanks to testimony from the Federal Reserve Chairman (I've been told).

When markets get dicey and volatility rises, I like to look...

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A Racecar manufacturer is off to the races and it's time for us to get involved with a bullish bet, defined risk, and reasonable odds of success.

 

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If stocks are going higher from here, Meta Platforms $META (the cool kids call it "facebook") is likely to lead the way.

We're going to leverage some short puts to pay for the potential of unlimited upside if we get our timing right.

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Stocks continue to be slippery with the S&P 500 down 6 out of the last 8 trading days.

I'm in the camp that this is a constructive pullback after a fantastic run to kick off 2023. JC has been pounding the table all month about how sloppy,...

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Slippery markets make for rising options premiums. And one sector ETF is currently rising head and shoulders above the rest, offering some juicy premiums for us to sell into along with a wide risk management band for us to dance in.

So let's...

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