Options

Do you think about probabilities on each and every investment you make? You should. Read more

We’d be remiss if we didn’t offer as part of our options education series one of the building blocks of all options strategies: the call purchase. Read more

The dividend capture technique uses a covered call structure not as a strategy in its own right, but rather to achieve a particular, unrelated goal. Read more

The Dow ETF has pushed into “very overbought” levels, setting up an ideal trading strategy. Read more

The deep-in-the-money bull call spread offers both limited upside and downside potential compared to a traditional covered call. Read more

The writer of an in-the-money covered call is banking on a sideways – or even slightly lower – trajectory for the underlying stock or ETF. Read more

The diagonal bear put spread is written in expectation of a sideways move in the underlying stock over the near term, followed by a sharp spike lower. Read more

When a stock quickly jumps into a “very overbought” state, mean reversion – the tendency for a stock to return to its average price – usually kicks in. Read more

A diagonal spread is often used when a sideways move is expected in the near term for the underlying security, followed by an abrupt spike at a later date. Read more