Real Deal – Feb 2016 #1 (AAPL – Bull Put Spread)

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Happy Chinese New Year to all! Last year was a great year to me and I hope this year will be another fantastic year!

Though this is a festive session, I never stop reading, listening, discussing market news, commentaries, as well as options trading/investing. I always believe that trading the market will make us young. 🙂

I will start sharing my live trade in my real account with my commentary.

Feb 2016 #1 (AAPL – Bull Put Spread)
Enter AAPL Bull Put Spread, 36 DTE and capture $1.10 ($110 per options contract) premium. Options detail as per the screenshot below.

Continue reading “Real Deal – Feb 2016 #1 (AAPL – Bull Put Spread)” →

Options Chains

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It is very important to understand the options chain and let’s deep dive into few of the important information that we can gather from this options chain.

1. AAPL – this is a ticker, represents the stock that we are keen to trade

2. Last Price of the AAPL – it shows $95.42, the price that AAPL stock is traded at the time of snapshot.

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S&P500 ETF (SPY) trade – Update #3 (final!)

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I mentioned SPY Bull Put Credit Spread trade on 20 Dec 2015 with two updates on 21Dec and 25Dec.

If you follow this trade, I hope you have adopted the suggestion posted on 25Dec, which is to take profit and move on to the next trade. However, if you still hold on to this position, you don’t need to worry as well.

Let’s recap this position Continue reading “S&P500 ETF (SPY) trade – Update #3 (final!)” →

Trading/investing – a game of probability?

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When I mention trading is a game of probability, no one seems to disagree. However when I say investment is also a game of probability, not many seems to be convinced. Dividend, growth and value investors may speak with conviction that they are buying into a business, not exchanging papers and they are not speculating for a quick bucks etc. yup that’s true and while I do agree that buying a wonderful business at fair price is a good investment mantra, I still look at it from a different angle – a game of probability. Do allow me to explain.

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S&P500 ETF (SPY) trade – Update #2 And Merry Xmas!!!

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Merry Christmas everyone! As today is also US holiday , for those who have credit spread, you should be glad as time decay is on your side!

SPY Bull Put Credit Spread trade is doing good and we can consider to close the position next week to capture 50-60% of the premium collected. Continue reading “S&P500 ETF (SPY) trade – Update #2 And Merry Xmas!!!” →