When I start getting signals to be long at the upper end of the range, it can be a psychological challenge.

Traders don’t want to be “late”.

It may seem like the move already happened and the risk/reward is not favorable to have a long bias.

Here’s the reality.

Market neutral, positive Theta options traders don’t have to make that distinction.

We have more tools available to us besides Long and Short.

My personal preference is to use long strategies in strong stocks, ETFs and indexes. And hold trades like theBearish Butterfly to generate income and protect to the downside.

Andrew Falde
[email protected]
SMBU
No relevant positions. Options Risk Disclaimer