Recovering From Losses

Recovering From Losses

Losses are an unavoidable fact of trading. Understanding how long recovering from losses generally takes helps set expectations and reinforces the argument for staying small, trading often and staying in uncorrelated products.

Understanding Extrinsic Value

Understanding Extrinsic Value

A comprehensive understanding of extrinsic value can help drive improved decision-making when trading volatility. Read on to learn more...

Crude Oil: OPEC and OVX

Crude Oil: OPEC and OVX

Crude oil pricing has been all over the place in the wake of the latest OPEC announcement. Read on to learn more!

Trade, Rates, and The Fisher Effect

Trade, Rates, and The Fisher Effect

The result of the recent US Presidential election could create ripples in the world of international finance. Read on to learn more!

Probability of Touching Both Sides

Probability of Touching Both Sides

Probability of touch (POT) expresses the likelihood of a stock reaching an option’s strike price between today and the option’s expiration. Using POT can help us assess risk in trades such as strangles while at the same time, combating cataracts! 

Tasty Trends: Sector Rotations

Tasty Trends: Sector Rotations

Just like a deep river, the currents beneath the incoming Trump administration are swirling in unpredictable ways. Read on to learn more about some important changes taking place in the market since the election.

Managing Portfolio Theta

Managing Portfolio Theta

Managing theta at the portfolio level is critical when trading volatility. Read on to learn more!

Short Straddles in Sector ETFs

Short Straddles in Sector ETFs

Sector-specific ETFs offer diversification and require less buying power than index ETFs. Selling straddles in these products also offers a statistically high probability of success.

Post-Election Volatility Analysis

Post-Election Volatility Analysis

If the US Presidential election was any indicator, the 2016 trading year may have saved the best for last - especially as it relates to volatility.

Portfolio Protection: Long VIX

Portfolio Protection: Long VIX

2016 is far from over with some impacting events still left on the calendar. If you've been considering portfolio protection, today’s post is for you!

Context Around High VIX

Context Around High VIX

Curious how the current spike in VIX compares to recent history? Today’s post has the information you need to know...

Natural Gas: What's Next?

Natural Gas: What's Next?

Been following the dramatic rise in natural gas prices? Today’s post has the info you need to know.

Market Skew: Reading the Tea Leaves

Market Skew: Reading the Tea Leaves

Let’s look at an indicator that may help you leverage opportunity during periods of high expected volatility. Read on to learn more!

Probabilities Never Lie

Probabilities Never Lie

Numbers have no agenda. Numbers do not know what they did the day before. They simply communicate the most up-to-date market information and it’s up to us how we use that information.

Cost of Buying Wings

Cost of Buying Wings

There is a direct correlation between risk and reward. The greater the risk, the greater the reward. We can limit our risk, but doing so means taking less profit and accepting a lower probability of profit.