About Options Trading Strategies

Posts Tagged ‘chuck hughes’

When trading options I utilize my three trend following systems to identify buy and sell signals. I also use trend confirmation indicators such as On Balance Volume to confirm the price trend. Historical and actual profit results demonstrate that this combination of strategies produces a powerful investing force that identifies trades with the greatest profit potential. My Option Cycle Strategy when used in conjunction with trend following takes option trading to a new level by increasing …

When trading options I utilize my three trend following systems to identify buy and sell signals. I also use trend confirmation indicators such as On Balance Volume to confirm the price trend. Historical and actual profit results demonstrate that this combination of strategies produces a powerful investing force that identifies trades with the greatest profit potential. My Option Cycle Strategy when used in conjunction with trend following takes option trading to a new level by increasing …

When I trade stocks or options I like to use money management rules to limit my downside risk. When I purchase a stock or option, I like to limit my losses on a losing trade before they develop into large losses. For example, I will normally sell a stock if it drops 7 to 10% below my entry price. Limiting losses is an essential part of every successful trading program. The problem in todays volatile markets is that a stock can easily decline 10 to 15% in one day. This type of volatility can …