Category: Trade Ideas

  • Trading FOMC Event Via Bearish Butterfly Spread

    Trading FOMC Event Via Bearish Butterfly Spread

    Arguably, the most important day of the year for the stock markets is right here. In about an hr, FOMC decision on interest rates will be announced. Almost everyone is expecting a 25bps rise! Whatever the FOMC decision maybe, there is a speculative Option trade opportunity on either side. Though, I am bearish, the similar strategy can…

  • Is Rising Stock Price Good for “ALL” Stock Buyers? Warren Buffett Thinks Differently

    Is Rising Stock Price Good for “ALL” Stock Buyers? Warren Buffett Thinks Differently

    I used to think that if I hold stocks in my portfolio and if the price continue to rise it’s good for my portfolio. It still holds true as I can sell it higher at anytime and pocket the gains (minus the taxes etc as applicable). However, when I was looking at Mr Buffett’s holding…

  • A Broken Wing Butterfly for Trading Russell 2000

    How do you trade downside, while still not losing much if the underlying continues to go up? This is a question I am often asked by many. There isn’t any better instrument than options, that I know of, to trade such a scenario. Albeit, the answer actually depends on how much do you understand options.…

  • 30 Year Bonds, Which Way Forward?

    Scottish Poll Results #ScotlandDecides will be available tomorrow. The GBP condor trade idea can now be closed for +50% collection of profit in just two day. If you followed it, please close the trade and book your profits. Now over to the the 30 Year bonds. The 30 Years Bonds futures are trading at 136.06 (as…

  • Scottish Referendum – Opportunities for Options Traders

    Scotland’s independence will be determined by Scottish Referendum poll results on 19th.  Polling stations in Scotland will be open from 7am until 10pm on Thursday 18 September for the public to cast their vote on independence. A key question before determining any trading opportunity is when will Scottish referendum result be announced? According to The…

  • Tesla Motors Double Top or New Break Out?

    Tesla Motors (TSLA) just hit another all time high and then quickly slipped below the previous 52 wks high. Points from such extremes are of importance. Is TSLA going to make a new high or making a double top? From technical charting perspective, there can be both bullish as well as bearish case. However, as…