Thanks for the replies everyone....looks like my trade that I've been doing will be profitable 90% of the time, but one large news event will wipe...
Don, what do you mean find the stock that's "paired off"?
The big risk is the "black swan" event either up or down. But, for those warning against this...do you also never hold an equity long overnight...
Yes if it enters and exits my "range" often, I can rack up trading losses, but I get a "buffer" for my trading losses by the premium I collect...
Well the one I just opened is with CLF. I sold calls at $75, and puts at $65. Stock is at $70. So, pretty far out of the money.
I do see your point, and it's a good one. What if I were to only use index ETFs? I've been doing strategy with CLF, and some large cap blue chips...
I'm new to trading options, and I've been doing a strategy for the past few months that's given me some success. I don't see much risk, and it...
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