Options Trading

By Amanda Diaz, CNBC The bears are devouring Apple. Shares of the tech giant have crashed more than 25 percent from its October high, putting the stock firmly in a bear market and shedding nearly $300 billion in market cap in that time. The move comes as concerns over slowing iPhone demand, trade tensions and broader market turmoil have investors running for the exits. Apple is now on track for its worst quarter since the financial crisis, and it is the worst performing Dow component over the last three months. According to one trader, shares could plunge 13 percent more over the next two months before hitting a floor. Todd Gordon of TradingAnalysis.com notes that even with Apple's fall from the highs, it's still trading far above one of its "defining technical indicators" that has been a reliable source of support for the stock since the turn of the century.… more

Hedge funds. They're supposed to be the best of the best when it comes to stock-picking, or whatever type of trading each one specializes in. They certainly get paid well enough to give rise to such an expectation, not only collecting a fee for their work, but sharing in some of the net profits – if any – they may... more

For new options traders, choosing the right strike and expiry is a significant worry. Even for veteran traders though, it's not always easy. Options can and do take on a life of their own, and even all the number-crunching in the world won't necessarily end up panning out as expected. There's good news though… the more you do it, the... more

By Rebecca Ungarino, CNBC Facebook's pain isn't over yet, according to one top technician who just noted a troubling development in the charts. Facebook shares continued a slide Tuesday in the wake of a security breach that the company revealed on Friday and said compromised around 50 million users' data. It was trading down 1.8 percent at around $159 a... more

On Tuesday, the BigTrends Grand Slam Options advisory locked in a 58% gain on a call trade entered on Monday of last week. Namely, we bought into some Visa (V) September (monthly – 09/21) 148 calls (V 180921C148), paying an average of 99 cents, or $99 per contract. We sold the whole shebang on Tuesday of this week at $1.57,... more

By Rebecca Ungarino, CNBC After Amazon cracked through the $2,000-per-share milestone for the first time, TradingAnalysis.com's Todd Gordon is betting on an even bigger rally in coming weeks. "Amazon is in breakout mode here. I like the stock, it looks strong. I'll show you on the chart from a technical point of view that there is still room to run... more

Welcome to part-three of this primer on credit spreads, which looks at one of the recent winners from our Index Options Timer to service to not just illustrate how these kinds of trades work, but why they work and when you may want to use them over straight-up buying of calls and puts. And, congratulations! If you’ve not been overwhelmed... more