Saturday, December 14, 2013

Getting in to the right strike price

Knowing what strike prices to select and when to get into a trade is a very important aspect of generating consistent returns.  When we are about 45 days out from expiration, we begin the process of identifying strike prices for the top and bottom credit spreads. 

Our goal is to get filled with about a 5% to 10% return for each spread and to maximize the size of our “safe zone”, giving the index that we're trading a large zone to move around in. 

Every week we  will be introducing a strategy after careful analysis on index. We are  considering different factors influencing the index movements. 

Those who are new to the option trading we will be sending an option trading guide

click here to get more from this strategy

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