Options Trading

Bank of America has been range-bound for a year and a half, making it the perfect candidate for writing options. Read more

When Harry Markowitz came up with the Modern Portfolio Theory in 1952, he wasn’t privy to the ultimate way to truly protect one’s portfolio. Read more

A put ratio spread is written with the expectation that the underlying security is about to fall by a very small margin. Read more

A call ratio backspread is ideal for a trader who sees a big move coming, thinks it will be to the upside, and wants to limit potential losses on… Read more

The Small Dogs of the Dow is a simple and effective strategy that has outperformed the Dow Jones Industrial Average and the S&P 500 over the last 20 years…. Read more

Like all ratio writing, consistent profits from a put ratio backspread are produced via proper planning, experience and a dash of luck. Read more

A short bull ratio spread has nearly all the upside potential of a long call but has less downside risk, and can be implemented on a nearly cost-free basis. Read more

A short bear ratio spread affords the trader slightly less gains than a regular long put, but with less initial cost and less risk. Read more

Bear ratio spreads involve the purchase of an at-the-money put and the the sale of two or more out-of-the-money puts. Read more