Jump to content


Next High Impact Market News Event:
Retrieving events...


Toggle shoutbox The Traders Chat Open the Shoutbox in a popup

@  traderpusa : (10 September 2019 - 01:35 AM) that was my bmw lol. E60.
@  Monoaldo : (10 September 2019 - 01:34 AM) E60
@  manfloy : (09 September 2019 - 11:12 AM) well said.
@  traderpusa : (09 September 2019 - 11:07 AM) at least for the moment, china will hold back because of economic conditions. My guess is they want to involve PLA but simply are not in a position to do so for the moment.
@  traderpusa : (09 September 2019 - 11:05 AM) well, regardless of any agreement between uk and europe, there is still nato is trump doesn't blow it up lol
@  manfloy : (09 September 2019 - 11:04 AM) I am really worried about HK if the PLA phase in this can interrupt the entire chain between FX liquidity and current import / export countries. I understand that we have a bunch of corporations exposed to China, now believe that 99 percent of them are stable in HK because they have a high law. If the PLA gets in, they'll substitute this economic centre with a singapore.
@  manfloy : (09 September 2019 - 11:04 AM) Yeah, they're really a very significant player. I am informed that there is also a lot more than economic, for instance there are a number of military agreements agreed between the GB and the EU, which is serious.
@  traderpusa : (09 September 2019 - 11:02 AM) the UK being part of the EU GDP figures, but not part of the Euro only makes things a bit complicated on how to interpret numbers for trading purposes.
@  traderpusa : (09 September 2019 - 11:00 AM) of course one needs to focus on US being the biggest economy but UK is still up there. https://gyazo.com/42...39df1c7c58d9221
@  manfloy : (09 September 2019 - 10:56 AM) I'm focused on the US, so I don't spend so much on the GB, I'm supposed to study it well since 2015, but something has altered worldwide, literally, it's an enormous step in the world's liquidity and global system, modifications are nice, but they're really colorful.
@  manfloy : (09 September 2019 - 10:56 AM) thanks good reading
@  traderpusa : (09 September 2019 - 10:53 AM) As to China, read this over the weekend : https://apnews.com/6...f75f013bf54e6a9
@  manfloy : (09 September 2019 - 10:51 AM) Spectacular indeed lol, this is huge to be honest
@  traderpusa : (09 September 2019 - 10:47 AM) it's gonna be interesting. MP's are leaving the sinking ship and now also Bercow has resigned. Gonna miss this guy lol
@  traderpusa : (09 September 2019 - 10:46 AM) https://gyazo.com/58...16d785753060ff0
@  manfloy : (09 September 2019 - 10:44 AM) I am very concerned about GBP, I have decided to leave until the government is making some definite deals on the Brexit. I'm not a supporter of uncertainty.
@  manfloy : (09 September 2019 - 10:42 AM) US It is expected to rebound until new years, because the season is coming and everyone is ready for new year revenues.
@  manfloy : (09 September 2019 - 10:41 AM) China is underwater now, and I can't even define how starving they are for dollars. Their imports fell significantly last quarter. They're trying to stimulate again, but I don't think it should work out, more than: we're back to the 2014/2015 situation. The issue with the Chinese central bank cutting off the supply of cash, the issue that they are not diversified around the world.
@  manfloy : (09 September 2019 - 10:41 AM) https://gyazo.com/25...967a0945fa48037
@  traderpusa : (09 September 2019 - 01:49 AM) Trump should wake up and tweet something lol

Photo

Options STRATEGY that returns 2% return every month


  • Please log in to reply
8 replies to this topic

#1 fasih

fasih

    Member

  • Members
  • PipPip
  • 419 posts

Posted 02 September 2019 - 04:47 AM

*
POPULAR

For the past six months, i have been trading options on stocks for income on the order 1-2% a month .. till date, i have a 80% win rate and the trades that i "lost" also made money.. This is not a new strategy by any stretch, pros have been doing it for a long time..

            If enough people here are interested , i will detail the strategy here in some detail.. otherwise i will pass on it since it is a " binary options " forum after all.. :)


  • Tripack, varvas, Singh and 8 others like this

#2 traderpusa

traderpusa

    Member

  • Verified Strategist
  • PipPipPip
  • 2,316 posts
  • LocationManila

Posted 02 September 2019 - 04:51 AM

always interested to learn something new.


  • singu, fasih, happyjas and 3 others like this

#3 Tripack

Tripack

    Trader

  • Moderators
  • 2,501 posts

Posted 02 September 2019 - 08:02 AM

Sounds great !
  • traderpusa, fasih, happyjas and 2 others like this

#4 singu

singu

    Member

  • Members
  • PipPip
  • 418 posts

Posted 02 September 2019 - 08:24 AM

always interested to learn something new.

 

Me too  :)


  • traderpusa, fasih, happyjas and 2 others like this

#5 Abdul777

Abdul777

    Member

  • Members
  • PipPip
  • 175 posts

Posted 02 September 2019 - 08:30 AM

Le' go


  • traderpusa, happyjas and ameint like this

#6 Sambo

Sambo

    Member

  • Members
  • PipPip
  • 135 posts
  • LocationNorthern Ireland

Posted 02 September 2019 - 10:32 AM

i'd be interested to hear  :) This is basically a fx forum now anyway lol


  • traderpusa, fasih, happyjas and 2 others like this

#7 ameint

ameint

    Member

  • Members
  • PipPip
  • 90 posts

Posted 02 September 2019 - 11:43 AM

sounds very good
  • traderpusa, happyjas and Abdul777 like this

#8 fasih

fasih

    Member

  • Members
  • PipPip
  • 419 posts

Posted 02 September 2019 - 12:30 PM

In this strategy, we are not interested in "trading options" ,  we are merely after a predictable stream of monthly income .. trading options involve assessing risks using delta, theta , vega etc, which means we have to be able to reasonably predict the direction of the underlying stock.. we are not particularly interested in that.. in fact, if we are correct in our analysis, we will make money regardless of the movement of stock in either direction..

 

              the strategy involves selling ( writing ) deep out of the money put options on good stocks.. to clarify, when u sell options, u receive a premium ( how much? this depends on the strike price, volatility and time of expiry as calculated by black scholes options pricing model, which u dont need to know ) ..

 

             What is selling put options mean? it means u r telling someone ( an option buyer) that u will buy his stock if the price of the stock falls below a certain price ( strike price).. for example,  assume a stock  is trading at $60 a share , u will tell someone that u will buy his stock during a certain time period( say 1 month),if  the price of stock falls below say $50 at specified predetermined amount of $50 ( which is called a strike price )..   in compensation u demand a option premium of lets say $5 a share.. so if at the end of the option time period, the stock is trading at $45 , u will buy it at a price of $50..  

             this is a form of selling insurance to the put option buyer and u making an income out of it .. good news is that majority of put options  expire worthless..

 

   http://www.clipular....mqzmXOTo0ko-LDs

 

    that means majority of the time, ull collect premium income without any hassles ...

 

up coming next :

 1) how to identify good stocks to base this strategy on? 

 2) how to determine the optimum strike price for your option  ( using discounted cash flow analysis ) ?

 3) what to do when the option is exercised and ur obligated to buy the stock from the option buyer .. good news? u will still make money from it..

 

  thats it.. happy trading..


  • traderpusa, happyjas, ameint and 1 other like this

#9 Singh

Singh

    Member

  • Members
  • PipPipPip
  • 983 posts
  • LocationToronto,Canada

Posted 02 September 2019 - 07:30 PM

Finally someone is talking about real options vs binary options.

I have trades naked calls and puts myself with moderate success and I buy out of the money calls and puts with directional bias.

Selling calls and puts always scared me due to unlimited risk and limited reward.

Looking forward to your further explanation Fasih, specially about how to choose stock and if you use any scanner.

Regards,

Singh
  • traderpusa, fasih and Abdul777 like this

"The game taught me the game. And it didn’t spare me rod while teaching."
- Jesse Livermore

 

My Youtube channel for trading videos -  https://www.youtube....user/mindpl4y3r





0 user(s) are reading this topic

0 members, 0 guests, 0 anonymous users


USA REGULATION NOTICE: There are many binary options companies which are not regulated within the United States. Most of these offshore companies are not supervised, connected or affiliated with any of the regulatory agencies such as the Commodity Futures Trading Commission (CFTC), National Futures Association (NFA), Securities and Exchange Commission (SEC) or the Financial Industry Regulatory Authority (FINRA).

It is our STRONG opinion that you do not operate with any unregulated brokerage firm as they may steal or try to scam you out of every dime you have. Please take notice that any unregulated trading activity by U.S. Citizens should be considered unlawful.

Risk Disclosure: Binary Options Edge does not accept any liability for loss or damage as a result of reliance on the information contained within this website; this includes education material, price quotes and charts, and analysis. Please be aware of the risks associated with trading the financial markets; never invest more money than you can risk losing. The risks involved in trading binary options are high and may not be suitable for all investors. Binary Options Edge doesn't retain responsibility for any trading losses you might face as a result of using the data hosted on this site. The data and quotes contained in this website are not provided by exchanges but rather by market makers. So prices may be different from exchange prices and may not be accurate to real time trading prices. They are supplied as a guide to trading rather than for trading purposes.