Author Archive: Marcus Haber

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Option Greeks

March 28, 2016 | By | Reply More
Option Greeks

Option Greeks are metrics used to more precisely understand the behavior of an option’s price.  In a nutshell, they measure the sensitivity of an option’s price in relation to several different factors.  Those factors include underlying stock price, interest rate, volatility, and time decay. Traders use Option Greeks to analyze changes in the price of […]

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Stock Option Pricing

March 18, 2016 | By | Reply More
Stock Option Pricing

For most investors, understanding stock option pricing can be elusive and intimidating.  While it may seem like there are many variables that go into stock option pricing, the reality is there are two parts that make up the value.  Moreover, there are three distinct variables affecting an option’s price. Before we get too far along, […]

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Stocks Riskier Than Options Trading?

March 14, 2016 | By | Reply More
Stocks Riskier Than Options Trading?

Trading Stocks Can Be Riskier Than Trading Options There are many significant risks unique to holders and writers of options. For example, an option holder can lose their entire investment in an option if they allow it to expire worthless. The writer of naked call options risks potentially unlimited losses should the price of the […]

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Supervalu Options (SVU): Unusual Trading Activity

July 13, 2012 | By | Reply More
Supervalu Options (SVU): Unusual Trading Activity

Options on retail grocer Supervalu (SVU) are experiencing unusual activity today. Supervalu doesn’t normally trade many option contracts. With a stock price under $5 per share, it’s a name most option traders don’t pay a lot of attention to. But that could be about to change… and not in a good way!  You see, SVU […]

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Using Options To Tell The Future

December 28, 2011 | By | Reply More
Using Options To Tell The Future

Can you tell the future just by looking at options?  Unusual question, but the answer may surprise you. Option volume can be very useful in determining the direction a particular stock or ETF might move.  And it’s an indicator you should watch when analyzing your own portfolio. Let me be clear, I’m not talking about […]

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Here’s The Truth About Portfolio Hedging

December 16, 2011 | By | Reply More
Here’s The Truth About Portfolio Hedging

Confused about how to hedge your stock and ETF portfolio? If so, you’re in luck. In a moment, I’m going to show you the simplest way to hedge your stocks and stock-based ETFs. But before I say any more… I first need to expose a few dangerous hedging techniques you should ignore like the plague. […]

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Use ETFs To Make Money In This Volatile Market

December 7, 2011 | By | Reply More
Use ETFs To Make Money In This Volatile Market

Have you been investing in the stock market over the past few weeks?  If so, you’ve certainly been on a rollercoaster ride.  We’ve seen over a 1,000 point swing higher in the Dow over this period. But, don’t turn your back now, not even for a second, the ride isn’t over yet. No doubt about […]

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Continuous Covered Call Writing

November 30, 2011 | By | Reply More
Continuous Covered Call Writing

Covered call writing is one of the most popular options strategies out there.  It’s also one of the easiest for beginning investors to master given the proper guidance. As a matter of fact, when talking to my friends, I commonly hear things like, “Covered call writing is a piece of cake,” and, “I do it […]

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Using Put Options To Buy McDonald’s

November 23, 2011 | By | Reply More
Using Put Options To Buy McDonald’s

Have you ever wanted to buy a stock but thought, “Not now, the price is too high?”  I certainly have.  Sometimes waiting works out and the stock drops to a more attractive price.  But other times, the stock just keeps moving higher and I miss out on some nice profits. Wouldn’t it be great if […]

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Buying Stocks With A Twist

November 16, 2011 | By | Reply More
Buying Stocks With A Twist

The stock market is bouncing around like a Kangaroo on steroids.  Such heavy volatility can drive anyone to the brink of insanity.  You probably know exactly what I’m talking about. But what can you do about it?  A growing number of investors think the best move is to sell stocks and buy bonds.  They believe […]

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