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A covered ratio spread is a strategy initiated when little volatility is anticipated and a trader wants to generate cash against an open stock position. Read more

The variable ratio write strategy is a relatively safe way of trading a stock that one expects will experience little volatility in the near future. Read more

If you adhere to the “January Barometer,” you will want to pay close attention to a market downturn during the first month of the year. Read more

The ratio put write strategy is designed for traders with an existing short position in a stock who foresee a period of low volatility on the horizon. Read more

If you are caught in a declining market, you will always be better off using this time-honored income strategy. Read more

A ratio call write is typically initiated when a trader already owns the underlying stock and expects there to be little to no volatility before expiry. Read more

The call ratio spread is considered a “neutral” strategy, as it produces maximum profits when the underlying security rises marginally by expiry. Read more

At times like this, it’s worthwhile for traders to consider pairs trading – i.e., matching sectors that have consistent patterns of negative correlation. 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