Tag: options traders

Another Bearish Trade to Hopefully Pad the Coffers

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It amazes me how many people, some professional options traders included, run from challenging markets. The beauty of options is that we have the ability to make money in any type of market, bull, bear or sideways.  I mean, come on, it’s been an incredible environment for bear call spreads and numerous other options strategies… Read more »

An Earnings Season Short Strangle in Verizon (VZ)

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Earnings season gets into full swing next week with an array of companies due to report, including Tesla (TSLA), Netflix (NLFX) and a host of other, high-beta stocks. However, while most traders will be looking to trade the higher-beta stocks due to the heightened premium, my intent, as always, is to focus on the boring,… Read more »

Potential Starbucks (SBUX) Trade Using the Highest-Probability Options Strategy

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Short Strangle Starbucks Statistically speaking, it doesn’t get much better than the short strangle. Many professionals claim it’s the ultimate options strategy. And there is no doubt it is the bread-and-butter options strategy among most traders that take a quantitative, or mathematical approach to trading options. A short strangle is a neutral, range-bound options strategy… Read more »

Trade Idea: How I’m Approaching Microsoft Earnings

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I’ve been enjoying discussing various earnings trades this earnings season. Next week I plan on delving into risk-defined strategies like iron condors with a few examples. However, this week I’m going to stock with another short strangle, this time in Microsoft (MSFT). The company is due to announce earnings next Tuesday, October 26 after the… Read more »

Trade Idea: How I’m Approaching Intel Earnings

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Short Strangle Earnings Trade As I’ve said numerous times in the past, statistically speaking, when it comes to options strategies it doesn’t get much better than a short strangle. A short strangle is a neutral, range-bound options strategy (short call and short put) that has undefined risk and limited profit potential. Typically, a short strangle… Read more »