options—the swing trader s perfect tool

... {The sensitivity of the stop } INCLUDESYSTEM: "TT PRO STOP",STOPON, STOPSENS, PASSWORD; TT Pro Stop and Reverse Adaptive Trailing Stop System This always-in Stop-and-Reverse system simply uses the ... Zig-Zag swing This method assures that a swing high will always be followed by a swing low and is very effective in most dynamic swing analysis studies The programs in the Swing Trader s Tool Kit ... course as a “Wave” or as a Swing A Swing trader tries to exploit the swings of the market with as little exposure to risk as possible Swing trading consists of looking for optimum times to...

Ngày tải lên: 31/10/2014, 17:47

... rendering professional services If professional advice or other expert assistance is required, the services of a competent professional person should be sought Wiley also publishes its books in a variety ... grid you can see that as the strike prices get higher, call prices decrease and put prices increase This happens because at each successively higher strike price there is less intrinsic value in ... exchanges designate the available strike prices for each listed security For most stocks the default range between strike prices is points (e.g., 25, 30, 35, 40) Many stocks also offer strike prices...

Ngày tải lên: 23/04/2014, 15:55

... года — сложный индекс NASDAQ (NASDAQ Composite Index) понизился на 63 пункта (или 2,5%) до 2.493 Падение возглавили Cisco Systems Inc (CSCO) и Microsoft Corp (MSFT), причем Cisco понизилась на 13/8 ... капитала на фондовом рынке ("U .S stock funds see record outflows, Estimated $13 billion drop in February mirrors concerns." by Craig Tolliver & Irish Regan, CBS.MarketWatch.Com, March 1, 2001.") ... отставку "в обстановке резкого снижения прибылей" ("Investors wallop Yahoo shares, Earnings warning, Koogle removal take toll," by Bambi Francisco, CBS.MarketWatch.Com, 30 ПЕРВЫЕ ШАГИ ПЕРВЫЕ ШАГИ 31...

Ngày tải lên: 23/04/2014, 23:42

... года — сложный индекс NASDAQ (NASDAQ Composite Index) понизился на 63 пункта (или 2,5%) до 2.493 Падение возглавили Cisco Systems Inc (CSCO) и Microsoft Corp (MSFT), причем Cisco понизилась на 13/8 ... капитала на фондовом рынке ("U .S stock funds see record outflows, Estimated $13 billion drop in February mirrors concerns." by Craig Tolliver & Irish Regan, CBS.MarketWatch.Com, March 1, 2001.") ... отставку "в обстановке резкого снижения прибылей" ("Investors wallop Yahoo shares, Earnings warning, Koogle removal take toll," by Bambi Francisco, CBS.MarketWatch.Com, 30 ПЕРВЫЕ ШАГИ ПЕРВЫЕ ШАГИ 31...

Ngày tải lên: 28/06/2014, 08:20

... possibilities are endless You must also remember that getting into a trade is only one part of the equation In fact, in many instances selecting and entering a trade is the easy part Sometimes ... incorrect ways to use, 95–96 delta, 89–91 profit/loss comparisons, 86–89, 87 (figs.), 88 (fig.), 88 (tabs.) strategies for bullish scenario, 82–86, 83 (figs.), 84 (fig.) buying 100 shares at 94, ... www.optionscentral.com Author s Company Web sites www.essextrading.com www.essexcta.com What It Offers Exchange specific quotes, education, and strategies Information from the company that clears executions...

Ngày tải lên: 09/08/2014, 16:20

... options traders first learn to walk, then to run Usually traders begin with simplistic strategies such as going long or shorting the market, and using stops to limit losses Some just listen to ... goods and services They also use stock profits to start small businesses, reinvest in the stock market, or add to their savings This process of putting stock profits back into the economy helps the ... used as lessons that needed to be learned Simply put, stress produces incomplete knowledge access Stress, by its nature, causes humans to become tense in not only their physical being but also...

Ngày tải lên: 09/08/2014, 16:20

... expires in October and has a strike price of 30 DETERMINANTS OF OPTION PRICES Options are sometimes called “wasting assets” because they lose value as time passes This makes sense because, all else ... the symbol for Sears is simply S, Coca-Cola has the symbol KO, and International Business Machines is easy to remember—IBM Nasdaq-listed stocks have symbols with four (and on rare occasions five ... make the most sense to you and then specialize in those strategies RISK PROFILES Before launching into our discussion of specific strategies, let s discuss one of the most important tools for viewing...

Ngày tải lên: 09/08/2014, 16:20

... The reason a covered put is not a suggested strategy for most traders is because it has unlimited risk The sale of the put does help offset the cost of the short Basic Trading Strategies 117 Covered ... the short stock position if you wish • The price of the stock rises above the initial stock price, but stays below the breakeven: The short stock position starts to lose money, but this loss is ... In this case, 32.10: (30 + 2.10) Margin: Significant STRATEGY ROAD MAPS For your convenience, the following subsections provide step-by-step analyses of the basic strategies discussed in this chapter...

Ngày tải lên: 09/08/2014, 16:20

... deltas Bullish option strategies have positive deltas; bearish option strategies have negative deltas Bullish strategies include long futures or stocks, long calls, or short puts These positions ... have positive deltas Bearish strategies include short futures or stocks, short calls, or long puts; these have negative deltas Table 6.1 summarizes the plus or minus delta possibilities As a rule ... Harvard Business School skills to aggressively study floor trader methods I was surprised to realize that floor traders think in 10-second intervals I soon recognized that we could take this trading...

Ngày tải lên: 09/08/2014, 16:20

... strategist can nothing but let the puts expire worthless In that case, the loss is equal to the commissions paid for the trade On the other hand, if the stock falls sharply, the losses can be substantial ... the range of risk and will cause you to con- Straddles, Strangles, and Synthetics 231 sider closing out the entire position at a loss or purchasing back the shorted stock and possibly holding ... result in substantial losses If the stock falls below the short strike price before expiration, the strategist might consider closing the position by purchasing back the short puts and selling...

Ngày tải lên: 09/08/2014, 16:20

... these trades is to look at a list of the largest declining stocks during a trading session When a stock drops dramatically in one or two sessions, it often enters a consolidation phase This is ... positions Seminar students frequently ask, “Is there any possible way to fix a losing stock or option trade?” Rest assured that our Optionetics team of traders has found some viable answers However, ... Optionetics team has researched and discovered many ways to fix long and short positions, as well as spread positions on stock, options, and futures Each Optionetics 911 strategy fulfills three basic...

Ngày tải lên: 09/08/2014, 16:20

... money supply and causes short-term interest rates to decrease Reduced rates induce consumers and businesses to borrow Consumers will borrow money for items such as automobiles or homes Businesses ... levels of the National Association of Securities Dealers Automated Quotations System (Nasdaq) Level I quotes provide basic information such as the best bids and asks for Nasdaqlisted stocks Level ... the transactions executed as you desire and at the best price possible, choosing the right broker is essential to your success Let s review the stock market order process The seven steps are:...

Ngày tải lên: 09/08/2014, 16:20

... trading signals While systems are without emotion, traders are not and often try to outguess a system Misuse and lack of discipline are major causes of losses in trading systems CONCLUSION The investment ... balance sheet is total assets By dividing “net income” by “total assets,” we get return on assets (ROA) This is a measure of just how efficient management is in utilizing the assets at its disposal ... that systems capture a very limited number of possibilities, this characteristic is also what makes systems useful The ability to reduce information to observable patterns gives the trader some semblance...

Ngày tải lên: 09/08/2014, 16:20

... He asserts that he does not invest in stocks but rather in businesses and feels that one of the dumbest reasons to purchase a stock is because it is going up Buffett feels that investors should ... arsenal of low-risk/high-profit options strategies, profits can indeed flow profusely The consistent disciplined application of these strategies is essential to your success as a professional trader ... the newswires Access to other business publications is also available Dun & Bradstreet www.dnb.com Dun & Bradstreet specializes in press releases and company profiles, focusing on news, views and...

Ngày tải lên: 09/08/2014, 16:20

... Small-cap stocks, 19 Small investments, 450 Small order execution system (SOES), 359–360 Small trades, 12 Socially conscious investing, 22 Socially responsible stocks, 20 Specialists, functions of, ... Specialist trading/specialization, 13, 427 Speculation/speculators, 26–27, 29, 244 Spiders (SPY), 32 Spreads, implications of, 113 See also specific types of spreads Spreadsheet programs, 79 Standard ... to buy and sell stocks stock split An increase in the number of a stock s shares that results in decreasing the par value of each share stops Buy stops are orders that are placed at a specified...

Ngày tải lên: 09/08/2014, 16:20

... rendering professional services If professional advice or other expert assistance is required, the services of a competent professional person should be sought Wiley also publishes its books in a variety ... Analyzing Risk: What Separates the Winners from the Losers 11 Summary 18 Chapter 21 The Basics of Options Option Definitions 21 Options on a Specific Security 26 Intrinsic Value versus Extrinsic Value ... most discussions of these strategies fail to answer the right question— “What is my risk on this trade?” Novice traders are quick to latch onto ideas that promise the potential for huge profits...

Ngày tải lên: 09/08/2014, 16:21

... best used to augment your other investments The Three Primary Uses of Options There are three primary uses of options Each of these uses offer unique benefits—and risks—that traders and investors ... books @ www.BingEbook.com The Basics of Options 35 from trader to trader Nevertheless, regardless of which trade you might choose, the key to success remains the same The trader who will succeed ... exchanges designate the available strike prices for each listed security For most stocks the default range between strike prices is points (e.g., 25, 30, 35, 40) Many stocks also offer strike prices...

Ngày tải lên: 09/08/2014, 16:21

... opportunities to astute traders Each strategy also entails unique risks, which must be understood and accounted for if you hope to use them successfully More information on how to use these strategies is ... volatilities are high They can establish spreads in which they buy inexpensive options and sell expensive options, thus obtaining the best of both worlds These are key steps in consistently placing ... rises and loses money if the stock falls, the option position • Makes money if the stock remains relatively unchanged • Incurs losses if the stock makes a significant move in either direction (see...

Ngày tải lên: 09/08/2014, 16:21

... them This chapter also establishes a framework for selecting trades using these important concepts as a guide Valid Reasons to Trade Options As discussed in Chapter 2, several opportunities might ... 105 Traders can use a number of measures to identify quiet markets Although a thorough discussion of the indicators is beyond the scope of this book, some examples that industrious traders may ... that stock Traders who dismiss this subtlety of option trading severely hurt their chances for success Try to Follow the Options on Every Single Stock or Futures Market It is a common desire...

Ngày tải lên: 09/08/2014, 16:21

... which strategies make the most sense, given your answers To show how you could use this table, consider the following scenario Based on some technical analysis, you expect a given stock to rise ... rallies instead and takes out a key resistance price, our basis for entering the trade is no longer valid and we should exit For our purposes, we chose to hold the trade as long as JDSU stays below ... considerations for the selected trading strategy in general, and the example trade specifically As discussed in each strategy chapter, the key elements involved in using any strategy successfully...

Ngày tải lên: 09/08/2014, 16:21