The Option Trader's Mindset: Think Like a Winner by Wolfinger Mark D

Author:Wolfinger, Mark D [Wolfinger, Mark D]
Language: eng
Format: mobi, epub
Publisher: Options for Rookies Books
Published: 2014-01-07T00:00:00+00:00

AVOIDING TROUBLE

One way to stay out of trouble and avoid the situation described above is to cover (buy) your short options positions (spreads or single options) when the price is attractive (i.e., inexpensive). Do not hold to expiration. Do not seek the last nickel or dime from the trade. Take your gain, and get out of a potential (even if unlikely) large loss. That is the winning mindset.

Adopting that way of thinking convinced me that trading all near-term options is a risk not worth taking. A closed mind kept me out of trouble.

When we have a market bias—bullish, bearish, or neutral, we WANT to be right. The obvious reason is that we make money when the market does as we anticipate. And that’s a doubly good feeling. We not only have the profits, but we also have the ego gratification that comes with being ‘so smart.’

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.