with premiums so cheap-especially call options-is it worth trying to gt into credit trades? Would it make more sense to buy long spreads and leg in to create a zero cost or credit trade? Looking ahead to May options it might be a plan to position for a big drop-Sell in May etc,but also to have some kind of call strategy to capture any up moves. Honestly I don't think we have a clue about this market since the government started paying the bankers bills.

New Approach

Due to time constraints I no longer have the luxury of seeing data from one minute to the next,so I have to seek a longer time frame set of strategies. To date these have incurred small losses but the risk/reward is superb so I shall persist knowing that like a stopped clock I will be right some times. I hope to have in depth discussions about real trading issues,and have joined Facebook,much against my ethos,but I want to find a group of traders who are mutually supportive in the aim of making good profits every month,every year.

Greeeeeeeeeeeeeeece!

I'm told the Greek markets are smashing up,as if anything will change. Looks like nasty speculators playing games because some other no hoper will be elected. I don't know about the politics or economics of the whole saga but I understand Greek people are struggling to get medicines as suppliers no longer allow a line of credit. How long before the place degenerates into total chaos? I feel very sorry for the decent people of Greece. The tax dodging populus must expect no sympathy. Meanwhile I'm told some trading platforms are closing on sunday and not allowing pre-market trades. Who knows world markets could rocket,albeit on hope and the faintest whiff of reality,but it happens,so I should not judge,just trade what comes my way.

Bull Market or BS market?

Well my put ratio spread went out worthless so I keep the handsome premium, and now I'm back in the black for my trading year.
I will speculate in some zero cost call trades but I'm not convinced about anything. Resistance looks likely at 6050,I'll make a decision this week,but with volatility so low it doesn't pay to sell any options currently.

Part trade

Managed a small put ratio spread 5500/5450 on tuesday afternoon, not quite getting the bottom of the market. I still have no call trades,but this Greek business is such an unknown. I have risk if the ftse drops 450 or so in the next few days

Another day, no dollar

Watched my potential trades and could see no reason to have any risk for tiny reward. When the market does move, I'll probably be caught napping,but trades I would have taken in the last 2 weeks have looked a bit miserable in terms of R/R. I hate having nothing in the game..

How to trade a stagnant market

Seems to me I am never at the screen when moves do happen as yesterday was a case in point. However this is a very odd looking market,devoid of meaningful moves. VIX is rangebound between 16.5 and 19 but the bolly bands are not showing much of a squeeze

Interesting Link

http://www.commondreams.org/
This is an interesting site,and the article I found most disturbing is the reduction of unemployment benefits,being reduced to 76 weeks from 99. how on earth can people survive with no money?
The stock markets are so disconnected from the economic world it is disturbing. Sure iPods are selling like hot cakes, but this really is illusory there is no recovery, just a thinning out of staff and bashing of the poor. Funny how the US has 5 times more crime pro rata than the UK, it might make sense to join the dots. Crime pays when you have nothing to lose.

New Take, Old Strategy

Just sat through another options video- I get a lot of trading emails for free and I am never dismissive of these guys,they often have a valid point. The latest one simply suggested an iron condor where reward = risk. So on a 50 point short spread,you will take in a total premium(both sides) of 25,thus the risk in worse case is 50(-25) = 25. Will have a look at what strikes and how far OTM this would require,but when markets are flat,or showing nice S&R, this looks a useful trade.

Flat Flatter Flattest

What a very strange market -cannot figure things out,and I guess no one else can either. So what will move the market? I think there may be some exogenous event,and I hope it's not a horrible one.
Latterly we have seen the horrors of brutal dictatorships,vile oppressive regimes, and fundamentalism.
The basket case countries are a stark reminder that our freedoms, envied by most of the world,come at a cost paid for by many generations.
We must invest in ourselves,and our security as bankers must invest in the society that feeds them.(Alpesh Patel inspired this evening on Jeff Randall's Sky programme 'What's a banker worth')

Keeping up to date

I'll try and post daily as it's a good discipline,but the only pearl of wisdom from today is: doing anything for 10,000 hours usually means you will get quite good at it-but there is no quantifiable period for luck.
However.
The harder you work the luckier you get.

Funny how......

Other traders seem so reluctant to be honest and share their trading results. the only honest source I found was from a company website of wealth managers. It makes grim reading


clearly a great many 'investors' are down about 30%- so the funds will have to make around 50% just to get back to par. Not good in a high inflation environment. I'd be furious that so-called professional fund managers behave like premier league footballers-probably worth £500 a week,but somehow the rewards seem to be in the stratosphere,and..... for terrible performance