In part 1 one of this lesson we looked at debit spreads, how they work, and why you'd want to use them. In simplest terms, a debit spread is still a net-long purchase of a put or call that bets on a stock's (or index's) direction. In that it's a debit, you're paying money to own the position with plans...
In part 1 of this lesson we took a look at what debit spreads were, and how they work. The explanation, however, is only the first piece of the groundwork we're laying to illustrate how and why you'd want to use them but also use their opposing trade… the credit spread. As a refresher, a debit spread means you're a...
In part 1 of this lesson we took a look at what debit spreads were, and how they work. The explanation, however, is only the first piece of the groundwork we're laying to illustrate how and why you'd want to use them but also use their opposing trade… the credit spread. As a refresher, a debit spread means you're a...
Stocks logged a second weekly gain in a row, extending an uptrend that's been well underway since March. All told, the S&P 500 new sits 18% above that low, reaching another 52-week high last week. It was hardly the kind of power bulls want to see here, however. The market wasn't able to hold on to its intraweek high, and...
Stocks logged a second weekly gain in a row, extending an uptrend that's been well underway since March. All told, the S&P 500 new sits 18% above that low, reaching another 52-week high last week. It was hardly the kind of power bulls want to see here, however. The market wasn't able to hold on to its intraweek high, and...
If you're ready to move beyond the mere purchase of put or call options, great! You'll be opening up a whole new world of ways to take advantage of how option prices change. As you may likely already know, it's not so simple. There are a lot of factors that influence — often unexpectedly — option pricing. And, perhaps one...
If you're ready to move beyond the mere purchase of put or call options, great! You'll be opening up a whole new world of ways to take advantage of how option prices change. As you may likely already know, it's not so simple. There are a lot of factors that influence — often unexpectedly — option pricing. And, perhaps one...
— A narrow group of stocks could soon be soaring thanks to their peers' bullishness. — If you're looking for some budding bullishness in this overbought environment, look to the food retailing and healthcare equipment industries. Neither are flying yet. But, both are close. One more nudge could do the trick, given their technical shape made since early 2020. That's...
— A narrow group of stocks could soon be soaring thanks to their peers' bullishness. — If you're looking for some budding bullishness in this overbought environment, look to the food retailing and healthcare equipment industries. Neither are flying yet. But, both are close. One more nudge could do the trick, given their technical shape made since early 2020. That's...
The market didn't end last week on a particularly high note. It just doesn't matter. Stocks were ripping higher the rest of the week, carrying the S&P 500 to a 2.4% gain for the five-day stretch. The market's now as high as it's been since April of last year, when it was on its way down to begin what would...
