If as a trader you find yourself wanting to invest in stocks and commodities without actually buying stocks, trading weekly options may just be your cup of tea. Why? Well, trading weekly options can be a good way to leverage your funds and to take advantage of shifts in the price of a company. Keep … Read more
In their most basic form, buying options enables a trader the right, but not the obligation, to take some form of action, such as buying or selling shares of an underlying stock, by a specific predetermined date. There are two kinds of options – call options and put options. Likewise, there’s two sides to every … Read more
Simpler Summary As a trader, the chart is your road map, but sometimes it can be a confusing map to read. This is why traders look at different indicators and studies, to help identify times when the chart is entering a potential trade setup. One of the most successful indicators our Simpler Trading Team uses … Read more
When is Earnings Season? Earnings season comes around four times per year, and falls in the months of January, April, July and October. For the most part, the season is over about a month and a half after it starts. The meat of the reports are typically clustered together in about a 3 week period, … Read more
Simpler Summary The phrase, buy on the rumor and sell on the news, is all too common on the market floor. There’s certainly some truth to the saying as news and even rumors can affect the market. For instance, this week started with talks of more tariffs, and we ended the week with lacking numbers … Read more
Simpler Summary This week we saw a market holiday fall right in the middle on Wednesday. Additionally, this was coupled with a shortened trading day on Tuesday. Whenever we come across a trading week with a holiday right in the middle, volume dropping off shouldn’t be a surprise. This drop can cause choppiness and consolidation … Read more
There have been volumes of work centered around the theory of seasonal trades published. This is one I have used for years and have found it to be quite useful. Around the July 4th Holiday week each year the grain charts will frequently show a major move in one direction or the other. The basis … Read more
Simpler Summary This week has certainly been an interesting one in the markets. We’ve seen a pick up in the daily ranges each day this week, but overall the market has been rather flat and consolidating. This could be due to the market holiday next week, or it could be just a normal pull back … Read more
Simpler Summary As summer heats up we’re seeing the market cool down on a small pullback. For those who may’ve been in rising bias trades, you may be feeling some heat in your account. If you find that your anxiety is at a boiling point when taking a look at your trades, you may need … Read more
One way to think about hedging is to consider it like insurance. When people hedge, they’re essentially insuring themselves against an event that could be costly to them. So, although hedging doesn’t prevent the negative event from occurring, it does help lessen the impact if something occurs. Hedging In The Financial Sense Hedging in the … Read more