Today’s trade idea for option traders: Sinclair Broadcast Group (trade closed)

My last trade idea on Sinclair Broadcast Group (SBGI) was almost a year ago. And since that time, SBGI had first a nice, dynamic move upwards followed by a pretty steep drop literally within days in March 2021 from the high of around $39. Caused by several negative fundamental news, the price decline finally stopped at the levels of around $28 and since then it was moving sideways in a slight decline till now. Since then a triple bottom was formed at the level of around $26, there is a good chance the price will bounce from this level and move higher. At least in the next couple of weeks. And that would be enough to set up a short term trade as usual. So let’s dive in, folks.

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Today’s trade idea for option traders: Unum Group (trade closed)

As opposed to the winter and spring, this summer 2021 wasn’t really good for option sellers as the implied volatility was too low. Actually, it’s still too low. But with Unum Group, we now finally got a stock with a higher implied volatility as usual. That’s why I’d like to introduce my trade idea on this one. So let’s check it out!

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Options vs. Futures: What’s the Difference?

As opposed to many other websites describing the topic options vs. futures, I don’t agree with the statement that options and futres are derivative investments. There are not at all! What they are is that they are derivative trading instruments (or derivative products, methods or whatever). But they are not investments! Though I agree that there are several similarities between both: they are both speculative, they can be highly profitable and, if you handle them in a wrong way, highly risky. In this article I will show you the difference of options vs. futures. So let’s start, folks.

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Today’s trade idea for option traders: Bed Bath and Beyond (trade closed)

It’s been a while since I published a new trade idea. The reason for this was that since a couple of weeks the most stocks were rather bearish than bullish. Besides that, the Implied Volatility was too low to get a decent premium. And what should you do in such periods? The answer is simple – do nothing! Stay out of the game and wait, don’t force it. The next opportunity will come for sure which is maybe right now. That’s why I like to publish the next trading idea on options. This time it’s again Bed, Bath and Beyond. I already published a trade on this stock (check it out here). So let’s see if the idea will work out on this stock again.

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Why and How Should We Use Covered Call Strategy- The Basics of a Covered Call Option

The popularity of covered call option strategies stems from the fact that they allow traders to hedge their holdings while also possibly generating additional profit. Professional market players imply a covered call strategy to boost investment income. Still, individual investors can benefit from this conservative but effective option strategy by taking the time to learn how it works and when to use it. Let’s take a look at the covered call in this context and see how and why to use the covered call strategy in business! So, let’s get started!

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