Even with most trading now computer-based, humans still serve as go-betweens. Today we explore these market makers and their role in a healthy stock market.
The calendar spread seems like a good strategy to manage financial risk. However, the model has some drawbacks, and today’s investing advice explains why.
Using option activity as an indicator for impending price moves is difficult, subjective, and unreliable. That being said, it can help confirm other indicators and increase the probability of a profitable trade.
Market volatility remains at record lows. For today’s investing advice, we explain how to calculate a stock’s volatility, and how it affects portfolios.
Today, we discuss options trading strategies that turn options’ biggest weakness into a strength. Learn how to tackle market volatility with the butterfly!