options trading education by SJ Options
24
Aug
MARKET PLUMMETS, VOLATILITY SOARS Popular options strategies are crushed. Weekly credits lose 68%, calendars lose 52%. SPX BEGINS TO FREE-FALL (8/17/15 – 8/21/15) Popular Strategies Sustain Huge Losses During Global Blood Bath We’ve seen it happen over and over again for decades, but more often than not, option traders choose high probability trades without considering […]
read more05
Apr
DON’T BE FOOLED BY THIS NEWBIE TO OPTIONS WHO PUSHES CREDIT SPREADS This is just a response to someone who pushes credit spreads, a trade that has caused many trader to lose their entire life savings. The bottom line is, the OTM credit spread is a poorly designed trade. It’s trading without a safety net. […]
read more10
Mar
Today’s lesson will be about the pros and cons of the credit spreads. First, let’s talk about the positive attributes of the credit spread. The reason most credit spread traders fall in love with this option strategy is because the trade can be designed to have a high probability of profit. By selling a credit […]
read more15
Oct
Credit spreads have a high mathematical likelihood of achieving profitability; however… So why don’t I consider them one of my favorite types of trades? Because they also have a high risk of loss, and that means stress. Credit spreads are highly directional and that by itself implants the kind of risk into the trade that […]
read more15
Oct
A Credit Spread: Is The Popular Option Trade Really a Mirage? The Truth About High Probability Credit Spreads with Options OTM Credit spreads are one of the most popular instruments used in Option Trading. The question is why. The answer is simple. The OTM credit spread is the easiest spread to understand for beginning option […]
read more15
Oct
Credit Spreads Explained And How To Adjust For Risk Many investors looking to get into options start with credit spreads after learning basic options fundamentals. This occurs because credits spreads are easy-to-understand and it appears that everybody seems to make money off of this strategy. After all, there are entire options courses out there dedicated […]
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