Cole Turner
What is Implied Volatility? – How it affects the Pricing of Options
Implied volatility indicates how volatile a security’s price may be in the future. It is important to understand that implied volatility is one of the factors that influences the price of options. This article will explain implied volatility so that investors can make intelligent decisions about buying and selling options. High implied volatility means that […]
Stop Loss Order vs Stop Limit Order – What is it?
A stop loss order and a stop limit order are two tools that can be used by an investor to get into and out of the market at times when an investor may not be able to place an order manually. By using these orders, an investor is telling his broker that he does not […]
Naked Call and Naked Put – Risky Option Trading Strategies
The naked call and naked put are option strategies where an investor sells options without having ownership in shares of the underlying stock. These strategies can be profitable but are very risky and should only be attempted by advanced traders. This article will serve as an introduction to the naked call and naked put. Naked […]
Box Spread (Long Box) – Option Trading Strategy
A box spread, also known as a long box, is an option strategy that combines buying a bull call spread with a bear put spread, with both vertical spreads having the same strike prices and expiration dates. The long box is used when the spreads are underpriced in relation to their expiration values. By reading […]
How to Deal with Noise and Distractions in the Market – Bob Lang
Bob Lang is the Founder and Chief Options Analyst at Explosive Options, as well as the President and CEO of Aztec Capital. Through Explosive Options, Bob acts as an options trading mentor and is focused on providing his clients with his technical expertise. Bob also serves as a go-to technical expert on Jim Cramer’s show, […]
Broken Wing Butterfly and Butterfly Spread – Option Trading Strategies
The broken wing butterfly and the butterfly spread are two different types of option trading strategies that involve trading four option contracts with the same expiration date, but with three different strike prices. These strategies can be profitable for investors, but also contain risk. This article will explain the broken wing butterfly and butterfly spread […]