Trading Strategies

Junk Bonds Look Tempting, But Don’t Be Fooled

Stocks are for growth. Bonds are for income. That’s how investing has worked for generations. But there’s always been a big problem with it. No matter how high interest rates are, bonds never seem to provide enough income. That’s especially true now, with year-over-year inflation running at over twice the return of the highest-yielding government…

Big Things in the Works…

AK and I have some huge things in the works… In fact, I’ve been so busy transitioning to the new Trade Room software, I didn’t even have time to write an article this week. I’ve also been prepping my option education courses for the 3PM Trade Room sessions… There’s been a massive demand for this…

Don’t Worry — The Housing Market Won’t Crash

2022 has given people a lot to worry about. The painful bear market in stocks. Inflation at a 40-year high. Shortages of essential items like baby formula. Even, at one point, nuclear war. And, while this probably doesn’t come as a shock, the media hasn’t helped ease these worries. Barron’s recently said people are getting “squeezed” by…

Using RSI to Create ROI

Contrary to popular belief — and yes, I admit I’ve contributed to that belief — I’m not solely a “gut trader”… I’ve been around long enough to determine most of the high-complexity algorithmic techniques are complete BS… But there are a few tried and true technical indicators with clear benefits to predicting market moves. The one…

Want to Profit in a Bear Market? Don’t Buy Puts

Ask most traders how to profit in a bear market, and they’ll say “buy puts.” I get it. Put options go up as prices go down. Prices, as we saw yesterday, are very much going down. It sounds like a no-brainer… But trading options is never quite so simple. Puts can deliver gains as stocks…

#1 Bear Market Myth, Debunked

Every week in True Options Masters, Amber Hestla and I commit to giving you an options education that will actually make you a great trader. Sometimes that means sharing advice that you’d never get out of a textbook — or worse, a social media influencer. For a perfect example, look no further than our ideas from…

Cashing In as the Market Crashes

No sense dressing it up… Stocks got wrecked this week. S&P 500 down almost 7%, and NASDAQ down almost 8%. Yet, with portfolios down across the board, my newest strategy continues to produce quick winners. I went live detailing this new strategy at the close yesterday. The whole thing’s about how this bear market is ripe for trading call…

Why You Should Lean Bullish, Even in Bear Markets

Nearly 20 years ago, I sat in the living room of the Italian consul to the United States. She lived in Denver, but a sign on her front door informed me I was “leaving the United States.” Their home was foreign territory. But I didn’t need my passport to enter. I had an inside connection….

Harness the Power of Beta

Last week we talked about hedging instruments and how “levered” they are. These tools can tell us how much a specific instrument will move relative to the broader underlying market. And we got a great example of this on Tuesday, with markets making their worst single-day loss since 2020. In fact, here’s a look at Tuesday’s performance for all…

“There’s Always a Bull Market Somewhere” — Here’s How to Find It

Jim Cramer is a controversial talking head on CNBC. Some love him. Most love to hate him. I don’t understand the controversy. He’s just a guy on TV… and a smart one at that. Cramer is familiar with the fundamentals of dozens of companies. He understands consumer and business trends in different sectors. He can…