February Trades - Update 2/14/09

It looks like we are starting the new year with two successful trading months. I am very excited that we have a filled Iron Condor trade that should easily expire next week on the 20th. The markets no longer have wild trading days of 500-700 point swings. Although the markets are trending down this month our bull put trade is very safe. A small slow steady decrease over a week or two will not cause our conservative bull put trades to be risk. Next weekend after Friday's expiration I will email and post to the members page a new trade expiring in March. If the markets continue to behave like they have been in 2009 we should have many more conservative Iron Condor trades that expiring in the months ahead.

February Trades - Update 2/2/09

Our January Bear Call trade expired worthless earning 3.1%.

With only 10 days remaining to expiration our RUT and IWM Iron Condor open trades remain very safe. We are going to have a very respectable 6.4% and 11.1% returns this month. The markets are finally trading in a neutral pattern this month. This is a perfect pattern for credit spread trading.

Iron Condor Trade Should be Completed Next Week

We have new orders for Bear Call trades this weekend. When these trades are filled we will complete our RUT Index and IWM ETF Iron Condor trades. These trades are returning 6.4% and 11.1%.

It's been many months since we successfully completed an Iron Condor trade. One big advantage of an Iron Condor Credit Spread trade is that option brokers only require margin for one side of the trade. This allows you to earn some very high rates of returns over a 30 day period.

February Trade Filled

On the new President's first day in office the market rose more than 200 points. The markets are going to have lots of good news over the next 3 weeks so I feel very confident in trading the Bull side of the market this month. If the market retracts with 2 weeks remaining I will look for a safe RUT Bear Call trade in order to complete an Iron Condor.

January Trade Expired Worthless on 1/16/09

Our January Bear Call trade expired worthless this week. A new tirade will be emailed and posted this weekend. Unfortunately Bull Put trades are to risky so we are not able to complete Iron Condor trades. The markets are continuing to drop each week so all we can safely do is keep trading the call side.I am still bearish and only want to trade the call side.

December Trade (Expired on the 19th)

The market increased enough to cause our December trade to be compromised and closed when the RUT Index value touched 470. If you did not exit this trade your options expired worthless on the 19th. Trading credit spreads 30 days out is very tricky because this market continues to be very volatile. It's very hard to predict the direction of the market on any given day. Bad news occurs every day as firms announce layoffs and shutdowns. The credit markets are still very tight, even for folks wanting to re-finance or buy a home. Even though long term interest rates are at historic lows credit scores have to be very high in order to qualify. Subscription fees are being refunded next week. A new trade will be emailed and posted early next week.

December Trades - Update

With only 12 days remaining to expiration it is very hard to predict the direction of this market. The trade we opened on 11/23 could quickly become un safe and have to be closed next week. The market is so volatile making it hard to know what direction and how much stock prices will move each trading day. The hedge funds are executing their orders at the end of each trading day causing huge swings in the last 60 minutes. All the news is very bad and every other business article includes a reference to the recession our country is experiencing. The debate is how long and how severe this recession will be.