Tag: law of large numbers

What is High-Probability Options Trading?

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What is high-probability options trading? I am often amazed by the lack of common sense when it comes to investing. Investors seek the best possible information, but unfortunately most turn to the wrong sources. For starters, turning on the television for investment advice, in most cases, is a big no-no. Yet, how many people listen… Read more »

Trader’s Toolbox: High-Probability Mean Reversion Indicator (Heading into the Week of August 30)

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Trader’s Toolbox: High-Probability Mean Reversion Indicator (Heading into the Week of August 30) Let’s get this straight from the onset: There is no holy grail when it comes to indicators. You are not going to find an indicator that is completely foolproof. It doesn’t exist. However, there are certainly helpful indicators out there to assist you… Read more »

Trader’s Toolbox: High-Probability Mean Reversion Indicator

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Trader’s Toolbox: High-Probability Mean Reversion Indicator    Current High Probability Mean Reversion Indicator (ETFs Heading into the Week of October 4) Archived High Probability Mean Reversion Indicator (ETFs Heading into the Week of September 27) High Probability Mean Reversion Indicator (ETFs Heading into the Week of September 20) High Probability Mean Reversion Indicator (ETFs Heading… Read more »

Bearish Call Spread Example – Russell 2000 (IWM)

Many of you have asked that I give a bearish call spread example in the iShares Russell 2000 ETF (IWM). I’m not going to get into the weeds on bear call spreads today, but if you wish to learn more about my approach to the bear call spread option strategy, including another bearish call spread… Read more »

What is the Best Stock for Credit Spreads?

best-stock-for-credit-spreads

I’m often asked, “What’s the best stock for credit spreads?” Admittedly, as a quant-based options trader, I’m dumbfounded by the question because it would require me to have a crystal ball, and unfortunately, my crystal ball broke decades ago. So, I can’t answer the question with any accuracy. However, I can tell you how to… Read more »