The S&P Witch Project” (Active Trader, December 2004) analyzed how the S&P 500 index behaved surrounding “triplewitching” expiration days — the two-day periods in March, June, September, and December when stockindex futures, stock index futures options, and equity options expire. (After single-stock futures were launched in November 2002, triple witching days were sometimes called “quadruple witching” days because these new … Read More
Rolling LEAPS calls
You can make money buying stocks and holding them for long periods, but you risk a large amount of capital when doing so. By contrast, buying calls can provide the same type of returns with less risk. The problem is that time decay works against you. A strategy designed to compensate for this drawback is buying long-term calls on exchange-traded … Read More
Straddling the COT report
Traders often view the Commitment of Traders (COT) report as a futures market Rosetta Stone — the key to deciphering where different markets are headed. The problem is that the report can confuse as much as it clarifies. Each week, the Commodity Futures Trading Commission (CFTC) publishes the COT report, which lists open interest in more than 90 futures markets … Read More
Trading in 2005-2008 T-note futures
Although some aspects of markets never change, specific volatility and price patterns evolve over time, and only those traders who can adapt their strategies to the prevailing market conditions are likely to enjoy sustained success. “Dissecting T-note futures: Tendencies and characteristics” (Active Trader, July 2005) details the behavior of the 10-year T-note futures (TY) contract from March 1, 2004 to … Read More
The importance of buying time
The long straddle is a non-directional option strategy that can yield solid results with low risk. It’s used when you expect a stock or futures contract to make a big price move but you don’t know whether it will be up or down. Besides price, the other variables that affect the value of a long straddle are volatility and time. … Read More
iqoption – How to trade Binary Options?
How to trade Binary Options? With the spread of Internet technology, more people gained access to online trading in the financial markets, which soon became the source of their primary income. Investment and speculative tasks became much closer to an ordinary people than ever; now, anyone can join the investment community and make investments in the financial markets. After individual … Read More
How to Trade Binary Options
At the heart of the immense popularity of binary options is how to trade Binary options. The click and trade nature of them make options accessible to all varieties of traders, whether market novice or market expert. The consistent high returns and transparent risks allow traders to clearly see and plan how to trade binary options. What are binary options? … Read More
3 ducks trading system
A common sense approach to price observation Buy when prices are going higher and sell when prices are going lower. In a nutshell this is my goal when I am trading the forex market. But the above statement of buying when prices are going higher or selling when prices are going lower may be too broad and therefore it may … Read More
What are Binary Options?
Just what are binary options? They are the latest and most profitable financial instrument to conquer the global markets in the past few years. Traders around the globe are using binary options to add liquidity to their portfolios safely and with minimal risk. What is binary option trading? Binary options combine the analytical aspects of day trading with the lucrative features of … Read More