Growing an options account consistently takes more than following tips or relying on luck. There are three critical factors that every trader must master to build a profitable and sustainable trading practice in the options market. Let’s dive into these three secrets and explore how they can help you grow your options account. 3 Tips … Read more
Credit spreads are a very forgiving strategy that carries a higher probability of success. It is perfect for beginners because of the following reasons: Mild Directional View You do not have to have a strong thesis about the movement of the stock. As long as you can identify a stock that is trending higher, lower, … Read more
The 45-day expiration is the “sweet spot” when trading credit spreads. This period is long enough to allow enough time for the trade to work in your favor without being too long to risk excessive gamma. Here’s why it’s effective: Time Decay Works in Your Favor As you get closer to expiration, time decay really … Read more
Now is one of the most traded commodities in the world and is taken by many traders, from the novice traders to the experienced timers who have spent years trading. Such a task is trading in crude oil, which is certainly not easy to do since the commodity market is faced with many factors, such … Read more
The term short interest has long been a buzzword among traders and investors. It also came alive in 2021 when the GameStop saga left many short sellers reeling in losses, making short interest the most talked-about topic around. Indeed, while it receives major attention, many traders are still asking: does high short interest mean a … Read more
Trading and investing talk over the past two years has been dominated by short interest. And who can forget the dramatic appearance of that concept against the backdrop of the GameStop saga? The short sellers took a massive beating as the stock price skyrocketed within no time, making short interest a talking issue. Many traders, … Read more
One of the most deeply ingrained beliefs in trading is that stop losses are necessary for managing risk and holding back the capital. For years, traders have been taught that a stop loss acts as a safety net in preventing disastrous losses; yet time and again, countless backtests have demonstrated that using a stop loss … Read more
Finding consistent entry and exit points is the challenge in trading the world of stock markets. Most traders are unable to distinguish between short-term noise and long-term trends and therefore often make noise-driven rather than data-driven decisions, miss their calls, or enter too early or too late. This is even more so the case for … Read more
This IBS (Internal Bar Strength) indicator gives the answer. However, that said, it is rather a pretty powerful simple tool no trader applies it to its fullest extent. The IBS works as measuring the closing position of a stock against its range of the day. As such, it could find trading opportunities based on buying … Read more
Many traders are concerned with effective ways of making money from the fluctuations in stock prices. However, the challenge is finding working tactics that are simple to apply. Despite the rather huge potential for swing trading, many prefer never to give it a go because of its associating complications, which arise from the turbulent times … Read more