In our last blog post we discussed the reasons that options traders should take it slowly when adopting a new income strategy. Here are some simple steps you can take to assure that your adoption of a new options strategy is sound: Communicate with the developer of the strategy and see if he or she is still actively trading the … Read More
Are you REALLY willing to get back on the horse?
In Friday’s options post, we talked about the tendency of options traders to become enamored of a particular strategy simply because the trader is on a brief winning streak with that specific strategy. This propensity is particularly dangerous because market neutral income options strategies typically are entered monthly. So even a mere four month winning streak—only four successful trades in a row–allows … Read More