SteadyOptions Trading Blog

2023 marks our 12th year as a public trading service. We closed 192 winners out of 282 trades (68.1% winning ratio). Our model portfolio produced 112.2% compounded gain on the whole account based on 10% allocation per trade. We had only one losing month and one essentially breakeven in 2023. 

A backspread is very bullish or very bearish strategy used to trade direction; ie a trader is betting that a stock will move quickly in one direction. Call Backspreads are used for trading up moves; put backspreads for down moves.

A long put option strategy is the purchase of a put option in the expectation of the underlying stock falling. It is Delta negative, Vega positive and Theta negative strategy. A long put is a single-leg, risk-defined, bearish options strategy. Buying a put option is a levered alternative to selling shares of stock short.

A long call option strategy is the purchase of a call option in the expectation of the underlying stock rising. It is Delta positive, Vega positive and Theta negative strategy. A long call is a single-leg, risk-defined, bullish options strategy. Buying a call option is a levered alternative to buying shares of stock.

What is a Diagonal Spread in Options?
A diagonal spread is an options strategy that combines elements of vertical and calendar spreads by buying and selling options of the same type (calls or puts) with different strike prices and expiration dates.

Let’s start with the obvious: if you can’t predict market trends, you’re playing pin the tail on the donkey with your, or worse, someone else’s investments. Reading market trends isn’t about gazing into a crystal ball; it’s about understanding economic indicators, market sentiment, and, occasionally, why everyone suddenly loves avocados.

Everyone knows the statistic - 95% of traders fail. Whether or not that's an accurate statistic, it's certainly true that few that attempt trading ever make life-changing money. Part of that is because most don't take it seriously. But what about those that do and fail?

Building wealth is a lifelong aspiration for many people, yet it’s frequently regarded as reserved for a select few. However, this perception is not entirely true, especially when it’s possible to accumulate wealth and live an abundant life.

Retirement is a time of life that many people look forward to, but it requires careful planning and preparation. One of the most important aspects of preparing for retirement is calculating your retirement needs and starting to save early. In this section, we will discuss some key points to consider when planning for your retirement.

A seagull option spread involves adding an additional short option to a vertical debit spread to reduce the net debit paid, often enabling you to enter a trade for zero cost. The name is derived from the fact that the payoff diagram has a body and two wings, imitating a seagull.

Covered calls have always been a popular options strategy. Indeed for many traders, their introduction to options trading is a covered call used to augment income on an existing stock portfolio. But this strategy is more complicated, and riskier, than it looks.

Saving for retirement can be challenging. You have to start thinking about it decades in advance and dedicate significant time and energy to the optimal strategy. Just trying to wing it and seeing what happens won’t usually work.