The Fail Safe Exponential Moving Average System (EMA) is a technical based investing system that utilizes exponential moving averages to define "buy" and "sell" signals. Technical analysis is a discipline that focuses on historical price patterns, trends and quantitative analysis with the goal of determining future price movements in a stock or index.
Selecting an option strike price is an often overlooked but important part of profitable option investing. Option premiums consist of time value an intrinsic value.
Option Premium = Time Value + Intrinsic Value
The strike price of an option determines the option’s time value and intrinsic value. Options lose all time value at expiration.
Options Lose All Time Value at Expiration
When you purchase an option the time value portion of an option is a decaying asset. Therefore the goal is to maximize intrinsic value and minimize time value when you purchase an option.
Goal is to Maximize Intrinsic Value and Minimize Time Value
In this video you will learn a simple method for selecting a strike price that allows you to maximize intrinsic value and minimize time value when you purchase an option.
FUTURES. STOCKS, FOREX AND OPTIONS TRADING INVOLVES HIGH RISKS WITH THE POTENTIAL FOR SUBSTANTIAL LOSSES.
PLEASE READ. PAST RESULTS ARE NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. THERE IS A SUBSTANTIAL RISK OF LOSS TRADING STOCKS AND OPTIONS WITH OR WITHOUT THIS OR ANY OTHER ADVERTISED PRODUCT, SERVICE OR SYSTEM. ALSO, HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.
Since our Legends of Trading Forum was such a success we have decided we must have another! We will keep you updated on when and where! More info coming...
