Click Here

Archive for the ‘Vertical Spread’ Category

Versatility of Iron Condor Spreads

If you’re new to our site, make sure to watch our FREE Online Option Income Trading Video by Going Here. Thanks for visiting!Here is a study of a variation on the Iron Condor spread trade – a skewed, or unbalanced put condor spread. This trade which was constructed using put options on GS early this [...]

Iron Condor Trading

Iron condor trading can be somewhat challenging for us option traders simply because we are only given a limited amount of times to ‘play’ every year. These trades are monthly income trades – we put them on ONCE every month. For many – myself included – that’s the beauty of these trades. I only have [...]

Best Option Strategy

What is the ‘best option strategy’? Of course this could be viewed as a silly question as the ‘best option strategy’ is purely a matter of opinion as one trader will no doubt have a favorite option trading strategy over another. However, one not so silly answer to that question could have to do with [...]

IRON CONDORS- Whats an Iron condor ?

Iron condor is an income generation strategy consisting of 2 credit spreads. Mainly used in neutral markets.

Bull Call Spread

The bull call spread is an option spread designed to benefit from a bullish market (as the name of this strategy does imply). There are different types of vertical spreads – the credit spread – and the debit spread. The credit spread is a spread trade where the trader placing the trade ‘sells’ an option [...]

Iron Condor Strategy

The iron condor strategy is the perfect trade for range bound mostly trend-less markets. This is an option spread strategy that allows the option trader to take advantage of the passing of time as the the iron condor spread generates it’s profits from theta decay – or – the out of the money options which [...]

Options Selling

One of the most fashionable options selling strategies of non directional trading investors is the iron condor strategy. The iron condor spread is a theta positive option strategy option traders use when they feel the underlying being used will stay within a range on the price chart over the next however many days are left [...]

Vertical Spread

An option vertical spread is the sale of one option and the purchase of another nearby option together as one ‘spread’. It is termed ‘vertical spread’ because if you were to look at an option chain that listed the all the available options – as well as the option sold and the option bought – [...]

Option Selling

The first time someone tried to explain the concept of option selling to me I had a near brain meltdown. Okay, maybe that’s a little over dramatic – but it was something that was a bit difficult to wrap my head around – and after coming to understand the concept and then trying to explain [...]

Iron Condor

The Iron Condor option spread trading strategy is a great way for investors to generate a decent monthly cash flow without having to site behind the computer all way watching every up and down tick of the market. The iron condor is a theta positive option selling trade. What the iron condor trader is hoping [...]