As an options trader, you have to take risks in order to produce a nice return. Unfortunately, not all trades turn into wins. Bad news here or there can quickly turn a potentially nice profit into a loss. The key is learning how to take calculated risks and avoid devastating losses. First things first: You…
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Technical indicators show a trio of video game stocks — Roblox, Take-Two Interactive and Activision Blizzard — are well-suited to make runs to the upside even as the economy reopens from the pandemic, CNBC’s Jim Cramer said Tuesday. The “Mad Money” host’s analysis is based on charts from technician Bob Lang, the founder of ExplosiveOptions.net…
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You know the saying “the cream always rises to the top?” It is often true regarding the stock market. A name like McDonald’s or Caterpillar might not be sexy compared to a hot biotech stock, but quality stocks are the ones that perform best over the long term. The trick is figuring out which stocks…
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If you’re a full-time trader of stocks, options, commodities, bitcoin or some other asset class, you’ve had your share of good days and bad days. When the good days pile up, it seems like you can do no wrong. Even a trade that is on shaky terrain might break even or turn into a winner.…
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The secret to building wealth as a trader is simple: Don’t be greedy. It’s also easier said than done. Greed is very difficult to overcome, because it’s hard to know exactly when to take a profit. You can stay with bullish trades for a very long time, so long as conditions remain favorable to the…
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If you’re a regular reader of this blog, you know I am endlessly frustrated by the on-going game “Predict the Fed’s Movements.” Why traders and investors insist on playing annoys me to no end. The Fed doesn’t hide its intentions. In fact, when there’s a change in Fed monetary policy, you’ll know. Why the obsession…
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We all knew it was coming: new taxes. We didn’t know how far and wide it would stretch and who would be on the hook until last week when the Biden administration announced an increase in the corporate tax rate and the individual rate for high earners, including capital gains. While it’s never fun to…
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How to Use Index Puts to Protect Your Portfolio with Marc Chaikin – Webinar Recap Though the strong bull trend that’s been in place for nearly is year is far from over, this is not the time to be complacent. You need to be proactive to protect your portfolio from losses. During this options trading…
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Market Volatility and the VIX, Explained – Webinar Recap On Monday, I wrote a blog about how to manage low volatility as a trader so you don’t end up losing your shirt. In this options trading webinar, I’m expanding on that discussion to break down the myths and mystery behind market volatility and the VIX. Watch…
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Last week I wrote about how low volatility signals complacency in markets – and possible trouble ahead. The Volatility Index, or VIX, can stay low for quite some time while buyers continue to plow money into stocks. Eventually, the fun ends and some traders pay a price for their over-confidence. Today, we’re talking about how…
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