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    June 16, 2019

    It’s Allocation! Allocation! Allocation!

    When I talk to new (and even some veteran) traders when they are struggling with their trading, invariably one of the issues that they have is allocation.  Options traders should not characterize themselves as a “5 lot trader” or a “10 lot trader” as a futures trader may.  Futures traders typically manage their risk by […]

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    June 16, 2019

    When to Use a Calendar Spread vs. a Diagonal Spread

    Calendar spreads and diagonal spreads have many similarities but also some important differences. Click the video below as we discuss these types of signals and how to apply them in our approach to Advanced Micro Devices (Ticker: AMD). Follow me on Twitter @CboeSib

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    June 13, 2019

    The Distinction Between a Stop and a Stop Limit Order

    Stop and Stop Limit orders can be used across just about any asset class.  They are similar in nature but with some very important nuances. Click the video below as we discuss these types of orders. Follow me on Twitter @CboeSib

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    June 13, 2019

    How To Calculate The Expected Move Of A Stock

    You have done all of your analysis and have come up with a directional strategy for a stock option trade.  Great!  A lot of the hard work has been done.  But what should your price target be for your spread?  In this video, I will show you how using just three simple data inputs will […]

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    June 11, 2019

    How To Calculate A Target Or Stop Price

    It’s quite easy to manage a winning trade.  Everyone is a genius when profits are on the board.  But, part of trading is dealing with how to manage trades that are not in your favor.  This video will explain how to set profit targets as well as stop levels. Follow me on Twitter @MikeShorrCbot  

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    May 20, 2019

    Are Stock Options and Stock Warrants the Same Thing?

    A stock warrant and a stock option are financial contracts between two parties that grant the buyer the right to buy or sell shares of stock at a set price within a defined period of time. Stock warrants and stock options are similar investment securities that can be used to generate a profit or used […]

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    May 17, 2019

    How To Calculate A Target Or Stop Price

    It’s quite easy to manage a winning trade.  Everyone is a genius when profits are on the board.  But, part of trading is dealing with how to manage trades that are not in your favor.  This video will explain how to set profit targets as well as stop levels. Follow me on Twitter @MikeShorrCbot  

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    May 14, 2019

    What Is Option Delta?

    Delta measures the degree to which an option is exposed to shifts in the price of the underlying asset (i.e. stock) or commodity (i.e. futures contract). Values range from 1.0 to –1.0 (or 100 to –100, depending on the convention employed). Follow me on Twitter @MikeShorrCbot  

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    May 2, 2019

    The Distinction Between a Stop and a Stop Limit Order

    Stop and Stop Limit orders can be used across just about any asset class.  They are similar in nature but with some very important nuances. Click the video below as we discuss these types of orders. Follow me on Twitter @CboeSib

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    March 15, 2019

    If You Are Going To Trade VIX Options, You Need To Know These Things

    Created by the Chicago Board Options Exchange (CBOE), the Volatility Index, or VIX, is a real-time market index that represents the market’s expectation of 30-day forward-looking volatility. Derived from the price inputs of the S&P 500 index options, it provides a measure of market risk and investors’ sentiments. If you want to trade OPTIONS on the […]

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