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options: Archive

David Borun

What is the VIX Telling Us About the Equity Markets?

The last time the VIX was this high, it was time to buy

CBOEPositive Net Change

David Borun

Spread Trade #8 - The Calendar

Buying or selling a calendar spread is a bet on a divergence between actual and implied volatilities

CBOEPositive Net Change

David Borun

Spread Trade #7 - The Collar

In volatile markets, a low-cost collar can protect a stock position

SPYNegative Net Change

David Borun

Spread trade #6 - The Strangle

Just like a Straddle, the Strangle is a bet on movement in the underlying stock and implied volatility

DISNegative Net Change

David Borun

Spread Trade #5 - The Straddle

Trading calls and puts at the same time is a bet on both actual and implied volatility

DISNegative Net Change

David Borun

Spread Trade #3 - Iron Butterflies (and #4 - Iron Condors)

We can generally recreate the butterfly and condor spreads at more favorable entry prices by making them "iron"

DISNegative Net Change

David Borun

Spread Trade #2 -The Condor

Similar to the butterfly, the condor offers a wider range of profit opportunity

DISNegative Net Change

David Borun

Spread Trade #1 - The Butterfly

Episode #1 in a series about common spreads

DISNegative Net Change

David Borun

A Call is a Put and a Put is a Call - Even in Spreads

The principles of call-put parity apply to spread trades as well as individual options

DISNegative Net Change

David Borun

Trading Options on Commodities

It's shaping up to be a wild Summer in commodities. Learn how the options markets work.

CMEPositive Net Change

David Borun

Shorting Beyond Meat? Be Careful...

Both selling the shares and buying puts mean paying hidden costs

MSFTNegative Net Change BYNDNegative Net Change

David Borun

Unusual Options Activity and Implied Volatilities

After a big trade, sometimes the best strategy is write covered calls

CBOEPositive Net Change

David Borun

Warrants are Options, Too

Understanding options can shed light on the components of corporate deals that include warrants

STZNegative Net Change CGCPositive Net Change

David Borun

When to Exercise Your Puts

Avoid leaving interest on the table by knowing when puts should be exercised rather than held.

CBOEPositive Net Change

David Borun

How Dividends Affect Early Exercise of Calls

Understanding the role of dividends will help you understand when to exercise a call early - and when a short call might be assigned.

TSLANegative Net Change

David Borun

Trading Options on Futures

Futures options are not nearly as complicated as they seem

CMEPositive Net Change

David Borun

Earnings Trades Revisited

Profits from trading short term options around events is all about hedging

LRCXNegative Net Change

David Borun

What's the "Right" Level for the VIX?

We saw a few notable spikes in the Volatility index in 2018, but now it's settling back down.

CBOEPositive Net Change

David Borun

A Strategy for a Nascent Rally and High Volatility

Here's an options-based alternative to going all-in.

AAPLNegative Net Change

David Borun

Index Options: Cash-Settled vs. Stock-Settled

With multiple choices for trading index options. Which should you choose?

SPYNegative Net Change CMEPositive Net Change CBOEPositive Net Change

David Borun

Know Your Options - Closing a Trade

David Borun goes over the best methods for closing a trade. Despite how your original thesis was correct, or incorrect.

SPYNegative Net Change CMEPositive Net Change CBOEPositive Net Change