OAP 099: Why Automated Trading Will Dominate The Investing World & What You Can Do Now To Prepare

The investing world in the next 5-10 years is going to look dramatically different. In fact, the shift to automated trading is already happening at the highest levels and with the biggest hedge funds. So, why is this happening? Why can’t we just ignore it? And what can we do now to position ourselves to…

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OAP 098: The End Of Uncertainty & How “Risk” Can Be Managed With Expectancy

The markets are evolving faster and faster as the introduction and use of computer-driven or data-driven trading systems start to hit exponential growth rates. So, the question becomes, is this the end of systematic risk and market uncertainty? To put it bluntly, no – in fact, never will we reach a point at which there…

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OAP 097: Expected vs. Actual Win Rates When Selling Options [SPY Short Strangle Backtest]

Today we’re going to use our new Trader’s Toolbox and options backtesting software to test win rates when selling options. Because the truth is many people have this huge “rub” with options trading and expected vs. actual win rates. They assume that if we place a new trade with an initial probability of success of…

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OAP 096: Does Higher Implied Volatility Generate Higher Credits? [DIA Put Credit Spread Backtest]

Today we wanted to use our new options backtesting software under our Trader’s Toolbox to run some credit spread backtests on DIA. Namely we were trying to determine if selling options during higher implied volatility markets actually generates a higher net credit for the position or not? Plus, we tweaked the allocations just a bit…

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OAP 095: Option Alpha’s NEW “Toolbox” For Backtesting Option Strategies

It’s finally here! After years of research, development, and testing the doors are open to purchasing access to our incredible new options backtesting and trade optimization software we’re calling the “Trader’s Toolbox”. Given that we’ve now got a whole suite of tools and scanners for you to use we have to consolidate it under one…

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OAP 094: Which Option Strike Price Should I Select? [AAPL Call Bull Spread Backtest]

Apple (AAPL) is by far one of the most loved and favorite stocks to trade for investors. Often times people will email me asking how they can use option buying strategies to go long AAPL stock. So, in today’s show I wanted to reveal the results from our call bull spread backtest we ran on…

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OAP 093: Options Trading Timelines & Duration [EEM Straddle Backtest]

How far out should you go when entering a new option trade? 10 day, 30 days, 60 days? Does it change based on the strategy you are using or the market situation you are in? All great questions we aim to answer and in today’s newest case study we’ll look at how options trading timelines…

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OAP 092: Position Sizing Impact On Returns [TLT Iron Condor Backtest]

I’ve said it for years, position sizing matters in a high probability system. Much more so that you would believe and today’s show is the first in a new mini-series we are doing leading up to the launch of our new backtesting software. Inside we’ll cover a case study using and iron condor backtest we…

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OAP 091: Options Backtesting, Investment Research & The Future of Option Alpha

In today’s show I wanted to take a step back and give everyone an overview of what we’ve been working on here at Option Alpha and what we have planned over the next couple months. More specifically I wanted to officially announce that our new options backtesting software will be released publicly on June 1st.…

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OAP 090: The Art & Options Strategy Behind Quick “Earnings Trades”

We’re now in the heart of earnings season for the current quarter and with hundreds of companies set to announce their performance we’re presented as options traders with tons of opportunities to profit from the volatility crush that occurs after an announcement. But these fast (and often violent) moves in the underlying stock in the…

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