On Friday we followed Options Tribe member Craig Wasserman’s thought processes and analysis as expiration Friday proceeded. Craig had been watching AAPL and had become convinced that it was going to pin to 320. He reached this conclusion around 12:30 PM EDT. Craig entered an AAPL 320 iron butterfly trade shortly after making his call on the pinning strike of … Read More
Smart Thinking About Capital Levels and Simulation
One of the great things about our growing Options Tribe community is the number of experienced spread traders that are actively participating and communicating their thinking to us. This free exchange of ideas is what the Tribe is all about: the more that people share their perspectives and approaches, the stronger we all become as traders. Recently, I received an email … Read More
Finding Yourself as a Trader
One of our options trainees recently asked me if I thought it was wise for him to model his trading style after my own personal trading approach. It was a legitimate and intelligent question and it deserved a thoughtful reply. I recently tweeted a great article by Charles Kirk, which is exactly on point to this question. In the article … Read More
Take your gifts when you get them
For butterfly traders like myself, there are scenarios that occur where a trade can appreciate very quickly. This can happen for several reasons. One of the very common causes of this phenomenon is when the trade is initiated in a high volatility environment and then the volatility is removed from the market rapidly. In other cases the market simply channels for the … Read More