RSSAll Entries in the "Weekly Trade Idea" Category

Trade 74 Something New and Experimental

Trade 74 Something New and Experimental

  Trade 74 Let’s try something                                                   What are we looking at? A strategy that might make some sense, or not. This is a first and I have to confess it’s […]

Trade73 Cheap and Cheerful

Trade73 Cheap and Cheerful

Trade 72- What’s the Story? Remember? Strangle at 7150 and 6300, credit of 39.5. Now the whole thing has gone a bit lopsided, what are the options (doh) for adjusting? The puts are now over 10% OTM so no worry there, the calls are close to the money at 100 points above so here’s how […]

Trade72 Volatility Spikes Don't Last

Trade72 Volatility Spikes Don’t Last

  Strangle- Naked, Mad, Bad and Dangerous to Know! Yes, a naked trade ! Normally we would never go naked but this is for demo purposes, and is a volatility play. As the VIX chart demonstrates we had a low base then a bump up to around 15,then big spikes up followed by big candles […]

Trade 71 Xmas Festivities? - It's The snow

Trade 71 Xmas Festivities? – It’s The snow

Something a Bit Left Field But Not Too Crazy We always want to educate and entertain- in that order. So this week’s offering is something a little unusual in the size of the legs,and this trade has 4 legs. Sounds like a bit of a Frankenstein but it can be called a Christmas tree,as pictorially […]

Trade70 -This Kills Me, But Maybe It's The Smart Move

Trade70 -This Kills Me, But Maybe It’s The Smart Move

The Trade Calculations, or Math – You Decide! The calculator courtesy of http://www.cboe.com/framed/IVolframed.aspxcontent=http%3a%2f%2fcboe.ivolatility.com%2fcalc%2findex.j%3fcontract%3dD846C3FB-A0CA-474C-8C95-635BAACF0084&sectionName=SEC_TRADING_TOOLS&title=CBOE%20-%20IVolatility%20Services Showing FTSE April 6900 Put @29 and &7350 Call@33.5 – so what’s the trade? Hold on to your horses here and let’s look at some key factors. Is The Market Headed Back Up? I don’t know where it’s going but one or two […]

Trade 69 Addressing Fear, Taking A View

Trade 69 Addressing Fear, Taking A View

Trade 69- Avoiding The Nasties I love the versatility of options -it’s like being able to buy/sell a stock today/next week/next month. And when we want to spend nothing or get a credit,the choices are huge. Can I say mahoosive? We look at the permutations in Trade 69.               […]

Trade 68, The Bleak Prospects,Taking a View

Trade 68, The Bleak Prospects,Taking a View

  The Bleak Picture…………(actually it’s 2010) The bigger picture? Well, we are talking about options Trade 68, I jest about the snow. Resistance for FTSE? 7450. And support? 7100– in my view. VIX is still a bit spicy, VFTSE not so much-what do we make of this? Not a great time to buy or sell, but as always we […]

Trade 67- Where To Now, Sherlock?

Trade 67- Where To Now, Sherlock?

Reading The Signs, Finding the Trade Here’s a naked chart of FTSE. So what can we read into it? But before that- are there are skeptics out there who dislike charts? I railed against their use for years as I’m not good with visuals, and prefer numbers. To say I failed at art at school […]

Trade 66 The Return of Crazy Vol or Realistic Pricing

Trade 66 The Return of Crazy Vol or Realistic Pricing

   The Greeks and the Chain Here’s the ‘skinny’ and a trade for the bullish,the bearish,the don’t knows(me). We are  buyers of the 6400 put and sellers of twice as many 6200 puts. We are thus rewarded with a credit of 20. You need to know firstly, where’s the risk? FTSE falls below 6000 in March. […]

Trade 65 Sell The Farm!

Trade 65 Sell The Farm!

Technical Analysis- Does It Work-and Trade 65 I  annotated the above chart,to show the signals that for my set up, indicated a drop. Of course I ignored the chart, signals that clear don’t work, do they? And now? Clear as mud, and overbought conditions did remain for months. I believe we have a new market […]