February 27, 2017

Up, Down, Up, Down…What’s Next?

The market took a tumble today and my guess is there is more to come going forward. Although, as an options trader, the direction of the market doesn't really matter too much. As an options trader who focuses on options selling strategies, it's all about the volatility. As long as implied volatility for SPY stays above the historical average all is well in the land of high-probability options strategies. I've started off the year with several successful trades, but admittedly the trades have been few and far between. That's about to change. Stay tuned!!! 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 … [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...]

Just the indicator tonight…

Just the high-probability, options indicator tonight. Not much changed today. Tomorrow should be interesting. Subscribers stay tuned!   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...]

The Return of Volatility?

After hovering around 11-12 since early June, volatility, as seen through the VIX, is finally making it's way back above 13. Of course, there have been a handful of teasers over the past several weeks so the move today is certainly not definitive, but it's worth keeping a close eye on. As options sellers, particularly those of us who like to sell options premium on the major market benchmarks like the S&P 500, an implied volatility below 13 just isn't viable. However, above 13 and we are back in business. Of course, I would prefer to see something in the range of 18-25, even as high as 35, but we will take what we can get at the moment. As for individual ETFs, FXE looks the most interesting. And of course, Apple (AAPL) continues to … [Read more...]