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Trade Logic Unlocked

How to Reduce Outlier Risk

Trade Logic Unlocked

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

Whenever you have a collection of data points, the Normal Distribution is going to take over. And whenever the Normal Distribution takes over, outlier moves should come as no surprise. Still, as premium sellers, it is these outlier moves that can ultimately serve as the biggest hurdles we must overcome.

As a result, in today’s Trade Logic Unlocked, we offer up three ways to effectively reduce your exposure to outlier risk.

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