July 21, 2017

Volatility is Back…So Are We…

We're back. Or better said, it's back. That's right...our old friend Mr. Volatility has once again made an appearance. Just look at the chart below.   For those of you who have no idea what I'm talking about the VIX, or implied volatility is back above historic lows. After much research, we know when the VIX reaches 13 or below selling options in the major indices is typically a bad idea. Basically, the VIX below 13 is an options sellers kryptonite...that is if you are selling options on SPY, SPX and a few other highly-liquid underlyings. But the VIX is once again back above a tradeable level so let the selling begin. Over the course of the next week I plan on selling options on SPY and SPX using credit spreads and … [Read more...]

The Trades are a Comin’…

The market is setting us up nicely. Hopefully, we open higher in the morning so I can make some trades. Although, even a flat to slightly lower open would do the trick. Subscribers get ready...the trades are a comin'. If you are a believer in a statistical approach towards investing please do not hesitate to try my options strategies. I use simple mean-reversion coupled with probabilities for each and every trade. Give it a try, it’s free for 30 days. If you haven’t had a chance,  please join my Free Weekly Newsletter, Twitter feed and/or Facebook page. … [Read more...]

Get Ready to Sell Premium

Ah yes...Mr. Market finally answered our repeated requests for a return to volatility. The VIX popped to levels not seen since mid-April. Hopefully, the surge continues. I would absolutely love to see the VIX kick up over 20 or even 25. The push lower today also helped out all of our August expiration trades. And as I have stated over the past few days...subscribers expect to see a wave of trades going forward. Now that volatility is back there should be plenty of opportunities to sell options using high-probability strategies like vertical spreads, iron condors and selling puts. I do expect to see a push higher over the short-term in most of the ETFs we follow. As you can see in the High-Probability, Mean-Reversion Options Indicator … [Read more...]