How to Trade Conservative Credit Spreads
Many people have asked me how do I trade credit spreads? Well here is the ebook to show you how to trade credit spreads. It is the basic method I use to trade-
Do you want to learn an option strategy that helps you sleep better at night?
How about a 5 to 15% profit with an 80% probability of success on each trade?
To learn more go to ---> Conservative Options right now!
Credit Spreads
Credit Spread Trading Made Simple - Memorial Sale!
Jeff Ziegler has one of the best programs available for trading credit spreads called Credit Spread Trading Made Simple. The program costs $997, basically $1K. This weekend he is giving it away! That is right just for joining his membership site for $149 he is going to give 100 people a copy of his program for free.
OK now I have the program, I have read and watched the entire thing. I have his All Star Trading Plan. I have been into the membership site. I have seen it all, read it all, watched it all and I can tell you that this is one of the easiest ways to profit trading credit spreads.
The system works because he has strict rules and you are in control. It is not a black box system - you do the trading, meaning you are active and looking at charts and actually trading. The best part is that you do not have to sit in front of your computer all day watching your trades, because one of the rules is that you only make your decisions about trading and form a plan after the market is closed. It takes only about 15 to 30 minutes a day, you can do it right before you go to bed each night. He teaches you all of it and it is so simple I showed it to my 10 year old and he gets it.
So if a 10 year old can figure it out and actually correctly see when to place a trade and when to get out of a trade and that he his going to profit at least 10% then you can! It is one month of the membership site and $1000 program for only $149 and you can cancel at anytime, so there is no risk!
Just go to Credit Spread Trading Made Simple and click the yellow ‘Add to Cart’ button to get the special Memorial Weekend Special Sale Offer. You definitely want to get this at this price and he supposedly is only going to do this for 100 people, so get one this weekend or better yet you better go now —> Credit Spread Trading Made Simple
Events
Credit Spread Webinars: 2 must attends
If you trade credit spreads it is a must for you to attend 2 webinars coming up from the CBOE Options Institute -
Option Trading: Understanding the VIX®
Brian Overby, TradeKing
Thursday, July 9, 2009 | 3:30 – 4:30 pm CentralThe Options Institute & TRADEKING present, “Option Trading: Understanding the VIX®” presented by Brian Overby, TradeKing’s Senior Options Analyst and author of The Options Playbook. Before you decide to trade the VIX, be sure to join Brian as he demystifies VIX options by explaining what a volatility index is, what the VIX represents, how the VIX is priced and what it says about the marketplace.
This is an absolute must because your premiums or what your profit is from selling options is controlled by the volatility. Knowing the volatility index and where it is going can help you time when to purchase and when to sell options. In credit spread trading you are selling options so it is important to have a complete understanding of volatility. This will be a must attend webinar.
The other CBOE webinar -
Steve Lentz’s Credit Spread Campaigning
Steve Lentz, DiscoverOptions
Thursday, July 23, 2009 | 3:30 – 4:30 PM CentralThe credit spread is an effective strategy when combined with solid technical indicators. Join Steve Lentz as he explores the concept of “credit spread campaigning”. See how solid returns can be generated with creative money management and position rolling. Back tested results will be presented.
An obvious one to attend as it is about credit spreads. To sign up for these webinars just head on over to the CBOE Options Institute, sign up for free and then register for these upcoming webinars.
Credit Spread Service
Index Credit Spread System
Heres a service that trades via an Index Credit Spread System - Index Option Trader
After months of consistent and successful trades, we created the Index Option Trader service for investors looking to achieve consistent results month after month. The strategy is primarily centered around monthly, market neutral, index option credit spreads on major index products such as the SPX, SPY, and IWM to name a few. We strive to execute trades each month that maintain a low, limited risk strategy.
Looks like someplace that trades the way I trade, check them out they have an auto trade service with one of my favorite brokers Think or Swim and they are giving away a free options guide. So check them out right here –> Index Option Trader
Markets
SPX: Where we are at
It is time to wait! Be patient and see where the market is going to go, that is where the smart trader should be right now. The SPX is hitting resistance and support. Let’s check out the chart -
We are still below the 200dma and probably will be until sometime in June or July. The 50dma is flat. You can see the upper resistance line created from the double top made back in February and the weak support line angling up towards the resistance line. This starts to put strain on the index creating pressure the longer it stays locked between these two lines the more pressure and when the break out occurs the larger it will be or so the theory goes. Doesn’t matter for the present because we do not know which way the market is going to break through. We need to sit and wait.
When the breakout happens, then we make the decision to trade. If the market breaks to the downside it would be safe to trade a bear credit spread above 875 resistance. Now if it breaks above 875 then some more waiting has to occur till SPX comes back and retests 875 or at least makes a new support higher than 875.
Credit Spread Trading
Free Ebook
Six Steps in Taking the Risk Out of Trading Stock Options