May 2014 trades

My May 2014 E mini S&P trades:

Sold:
Aug 2014 1450 put
Jul 2014 1680 put
Aug 2014 1580 put
Aug 2014 2010 call

Bought:
Jul 1720 put

Disclaimer:
This is purely for educational purposes and not trade recommendations.

April Trades Part 2

My April 2014 Part 2 E-mini S&P trades:

Sold:
Jul 2014 1520 put
Aug 2014 1360 put
Jul 2014 1490 put
Jul 2014 2000 call
Jun 2014 1540 put
Jul 2014 1560 put
Jun 2014 1630 put

Bought:
Jun 2014 1680 put

Disclaimer:
This is purely for educational purposes and not trade recommendations.

The Complete Guide to Option Selling - Review

I came across this book few years back and it totally changed the way I look at options selling altogether.  The book is written in very simple way that traders unfamiliar with futures options could easily grasp the concept behind the author's way of looking at selling options and how selling options on futures could open up a whole new set of opportunities for anyone who may be keen to make some serious money using options.

I strongly recommend this book for those who want to take a totally new perspective in trading to get some insights through this book.  And hopefully, you like me, will embark on this new journey in your trading!

wild dreams

Correction coming?

Heavy selling these two days. .. Stay on the side line meanwhile.

April 2014 Trades

My April 2014 E-mini S&P trades:

Sold:
Jul 2014 1400 put
Jul 2014 1525 put
Jul 2014 1650 put
Jun 2014 1510 call

Bought:
Jul 2014 1700 put

Disclaimer:
This is purely for educational purposes and not trade recommendations.

March 2014 Trades

My March 2014 E-mini S&P trades:

Sold:
Jun 2014 1700 put
Jul 2014 1600 put
Jul 2014 1450 put
Jul 2014 2030 call
Jun 2014 1930 call
Jul 2014 1970 call

Bought:
Jun 2014 1910 call
Jun 2014 1740 put

My March 2014 commodity trades:

Sold Sugar Jun 2014 16 put (closed with profit on 4 April 2014)

Sold Corn Jul 2014 410 put (closed with profit on 28 April 2014)

Disclaimer:
This is purely for educational purposes and not trade recommendations.

The beauty of selling put options

Selling put options proves to be a profitable way of trading compared to what I did previously!

The flexibility of this technique coupled with the risk management of it make it a very attractive strategy for someone who has never made any real money in the stock market like myself. 

There are many ETFs available.  Go for those which are high in liquidity and thus low spread between bid and ask prices.  For example,  the SPY, QQQQ, IWM, etc.

In selling put options,  remember,  you just want the underlying ETF to stay above the put strike price which you sold the put option, to make money. Sounds easy?  :) perhaps.

If you know technical analysis,  great!  Sell put options below the support line to give you that added edge.  Else not to worry too much, try aiming for around 10% below the current price.  You may have to sell 2 or 3 months out.

Wild dreams