Sunday, June 15, 2008

What are the disadvantages of this option trading strategy?

Because I only place two to four trades a month and a majority of them I leave untouched until expiration, my style is a little boring. But that’s what I like………steady……..boring…….income…….month-after-month. The other issue most traders have is the concept itself. It’s not commonly taught to the public and that’s why you don’t hear too many main street investors using it. It’s been used by professionals for years to generate income but not by the retail investors/traders. Once your account grows like mine, you won’t mind the boredom.

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