Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
In today’s market, traders are constantly searching for an edge—something that thrives in uncertainty. The Iron Condor is exactly that kind of strategy. With implied volatility fluctuating, and mean reversion in play, is now an ideal time to deploy a high-probability, risk-defined options strategy like the Iron Condor in the tech-behemoth?
(more…)This afternoon, Amazon (AMZN) will be the final exciting earnings event of the season. Afterward, it’s going to be mostly humdrum stuff until it fizzles into nothing (then, weirdly, NVDA has their moment in the spotlight on the 26th).
Amazon is a rather steady stock, being a $2.5 trillion behemoth whose defining characteristic is the ascending price channel, where it has been banging around for almost all human history.
“The markets can remain irrational longer than you can remain solvent.” — John Maynard Keynes
It’s a sobering reminder that even the most seasoned investors aren’t immune to the fickle nature of the financial markets. Today’s S&P 500 seems to be on an endless upward trajectory, defying gravity with each new high, tempting traders to believe in an unbreakable rally. But history whispers a different tale—bull markets, no matter how robust, are often punctuated by sharp, unexpected corrections. While no one can predict with absolute certainty when the tide will turn, prudence suggests preparing for the inevitable. Strategic hedging isn’t about forecasting the future; it’s about fortifying your portfolio against it. This is where the bear call spread becomes more than just a strategy—it becomes your safety net when the euphoria fades.
(more…)The one and only “time-aggressive” position I have is on EFA, which are March $80 puts. I’m up 22% on them, but I will ditch ’em if EFA crossed above the dashed line. This line represents the resistance expressed by the tag of the broken trendline.
I still think the (sloppy) diamond pattern could turn out to be a big winner, but, yeah, we need to get some selling going on here!
First things first—don’t let the term “Greeks” intimidate you. They aren’t ancient riddles, nor do they require decoding with mystical insight. The Greeks are simply tools—powerful ones—that help you understand how options behave. For anyone serious about trading options, the Greeks are not barriers but bridges to better decision-making.
Today, we’ll focus on one of the most fundamental Greeks: Delta. This isn’t a comprehensive dive, just a starting point. Think of it as laying the first brick in a strong foundation. In the coming weeks, I’ll expand on each of the Greeks with detailed discussions.
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