A European option is an options contract that can only be exercised on the expiry or expiration date. European options are contrasted with American options that can be traded at any time on or before their expiry or maturity date. European Options in Trading Despite the name, the use of European options in trading is […]
An American option is an options contract that can be exercised on or before the expiry or maturity date. American options are contrasted with European options that can only be exercised on their expiry or maturity date. American Options in Trading Despite the name, the use of American options in trading is not a matter […]
There are as many different trading strategies as there are traders in the world. However, despite all this variety, all traders fall somewhere on the trader type spectrum based on the frequency and speed of their trades. Understanding the trading type that best suits your personality is essential to becoming a successful trader. The Tortoise […]
Here Is The Meat Of A Trading Review I did it. And I am feeling good about it. I got rid of the “Profit & Loss” section from the spreadsheet that I use to review my trades as well as every other detail that may hint to how much money I’ve made or lost in […]
Bitcoin Prices Crater Following Epic Run Bitcoin is hitting headlines again with prices falling over 40% after reaching highs just under $20,000 earlier this month. This has been an exceptionally volatile week for the cryptocurrency market due to “high-profile security problems at two exchanges and warnings from global regulators about the risks cryptocurrencies pose.” Prices have […]
How The Pros Recover From 5 Figure Losses Every pro trader has been there a few times. You do your routine analysis looking for potential trades. You identify a great trading opportunity. You do your due diligence to make sure that you are not missing some important detail. Then when it all checks out, you […]
What The Trump Tax Reform Bill Means For The Markets President Donald Trump’s tax reform agenda has been moving markets since the first day he took office. While many Americans and other people from around the world were discussing the negative outcomes from the election of a populist president, the markets were starting a historical […]
Calendar spread is an options strategy that allows traders and investors to enter long and short positions simultaneously for the same underlying and strike price but different expiration dates. Option traders can utilize calendar spreads as a way to get into a long position at a cheaper price by selling the other leg and bringing […]
A day trader is a trader whose time horizon for trades is intraday, often for as little as a few seconds, but generally anywhere from a few minutes to an hour. Day traders attempt to capitalize on significant intraday price movements and volatility by executing multiple quick trades that capture some part of the overall […]
Volatility crush is a term used in options trading to describe the swift reduction in implied volatility of an option after the underlying stock’s earnings are announced or some other major news event. A volatility crush occurs because the implied volatility of options will rise before an earnings announcement when the future price path of […]
