YAHOO!! A credit spread

Here is some interesting news on Yahoo regarding Carl Icahn and his purchase of 50 million shares of the company. With all the talk around Yahoo and Microsoft and Mr Icahn the volatility of this stock has been up creating some decent premiums, although right now it has fallen to its normal levels in the 30s, most liekly due to the recent news. Here is the article… Profiting from any outcome of the Microsoft/Yahoo deal

From this article, the opinion of the writer is to do a debit spread or a credit spread -

If you want immediate gratification, you may consider the October 20/17.50 put credit spread for a 25 cent credit. This is also an 11.1% return, and the stock has to fall 26.8% to cause a problem

In looking at this trade, it is a little too far out as far as time is concerned. I prefer 2 to 6 weeks, this trade gives the stock entirely too much time to get back to $20 from which it came. Although in the last two years the stock has not been below 17.5, so with the current support at 22.50 or so this may be a good long term credit spread.

bull put credit spread, credit spread, yahoo

Six Deadliest Mistakes Credit Spread Traders Make

I read the report from Jeff Ziegler, “The Six Deadliest Mistakes Traders Make”

It is a simple one page report that summarizes very well what I have been following and telling traders here on this blog for the last couple of years. It is the fundamentals of trading. Things such as having a trading plan and using money management and not trading using your emotions. It is a good review and on one page so you can pin it up close to your computer or where ever you do your trading so you can visualize it and be sure you are following it. Check it out at Jeff’s website - Jeffrey Ziegler

Go to the website and either wait for the pop up or half way down the page you can subscribe to the report. Be sure to get it now.

credit spread trading, jeff ziegler, mistakes traders make

Jeffery Ziegler on Credit Spreads

It is interesting what you can find on the internet when you know how to look and if you know someone who knows someone…This is the case with Jeffery Ziegler. I first came across Jeff’s website through one of my internet marketing and health and fitness mentors Matt Furey. I did not think much of it at the time, looked at the site and thought ahh must be one of Matt’s students in the option trading niche and more specifically in my beloved niche of credit spreads. I thought I will keep an eye on this and see where it goes because he might just have a program that I would like to send all of you to see. By the way his website is http://www.jeffreyziegler.com I see that Zhannie Furey, Matt’s wife, is a student of his and has given him a video testimonial  and so has Ed Baran a friend of Matts and he is also using Matt’s graphic artist for the cartoon characters. So I will expect some good stiff competition in the area of internet marketing  of credit spreads.

Now what I have just recently found is a blog. It appears to be a trial blog made for or by Jeff and I will tell you it has some good information on it so check it out before he pulls it down…. http://xims7wwie5.blogspot.com/  Now you are probably thinking how in the world did I find this blog, it does not even have a good domain name…well what it does have is good information in a video format, something the search engines really like and I know how to use search engines to find all the “good stuff” that I am interested in such as credit spreads.

Now supposedly Jeff’s product will be available in a week or two June 6th to be exact. And it will be a program on how to trade credit spreads for a monthly income, similar to what I promote. I wish him well with his product launch and I look forward to seeing it. By the way he does have a free report which I think you should read. I am going to give it a review in the next post. Check out one of the videos for promoting the program here…. Get Rid of Your Day Job 

credit spreads, jeffery ziegler, matt furey

A basic understanding of option trading

Do you know why you want to trade options? Is it the high percentage gains that are possible or is it because of the leverage that trading options can give you? Or is it because you can get started with very little money in comparison to trading stocks?

Then on top of that do you know what option strategy you want to use to make your gains? Obviously I like the conservative methods of trading credit spreads, iron condors, and diagonal spreads. How about you have you thought about what strategy you like and what fits your style?

Here’s an article for the beginner that is a must read that focuses on what I just asked you here.  Trading Options In A Modern Market 

option strategies, trading options

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