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Andrew Crowder  

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  • My Favorite Options Strategies [View article]
    Oh brother.
    Oct 25, 2011. 09:44 PM | 1 Like Like |Link to Comment
  • Short-Term Reprieve Occurs - Will It Continue? [View article]
    The Theta Driver Strategy is a credit spread strategy that I have been using for well over a decade. An income-based strategy that takes advantage of short-term extremes and ranges in the market. I will post an article in the near future about the strategy. In the meantime, I hope this helps. You can always visit me over at my website. Kindest.
    Oct 25, 2011. 09:43 PM | Likes Like |Link to Comment
  • How Prudent Use Of IWM Can Make 10% Over The Next 43 Days [View article]
    There you go again. Data mining. I rarely make comments an when I do they are typically thank you salutations to the over 1000 followers I have. Just curious how many followers do you have - 0. Oh okay. I think that says it all as to which author the reader confides in on a daily basis. They know that I create absolutely no hype just realistic strategies with realistic returns with a third party auditing all of my trades. I have nothing to hide and have been attempting to eliminate the myths that are created by options newbies like yourself.

    I don't care as much about the return as I do about the lack of thought behind your max loss statements, etc. You assume that someone would take a max loss on the trade and that would never happen unless the option trader neglected to monitor his trade.

    It's like saying that over 80%-90% of all options expire worthless or so many other myth driven statements. They are blind statements that ignore the obvious common sense variables that reside in everyday options trading.

    It was not an irresponsible comment, it was an opportunity created by the author that any right-minded investor would do his/her due diligence on. This is not some a crazy strategy rather strategy that is used by 30 year floor traders that I mingle with on daily basis. It is an options 101 trade and one that is a good starting point for any newbie trader looking to begin trading credit spreads.

    You see, credit spreads allow you to define your risk which is a powerful tool in options and one that joe public is not exposed to because too many individuals are using options as gamble plays. The trade mentioned by the author allows risk to be defined and for the trader to create his/her own probability of success. It is very simple. You don't have to monitor every greek to put the trade on, If you are comfortable with less of a maintenance requirement and a lower probability trade then you have the choice. But you, as an individual have to make that decision on your own. The author gave a responsible strategy and one that is sound given his assumption.
    Sep 10, 2011. 08:36 AM | Likes Like |Link to Comment
  • How Prudent Use Of IWM Can Make 10% Over The Next 43 Days [View article]
    Enough already. You can't lose the entire amount you can only lose the $1.79. It is a credit spread. You get to keep the credit, it is yours regardless. I have a couple of wonderful books I recommend.
    Sep 9, 2011. 10:23 PM | Likes Like |Link to Comment
  • How Prudent Use Of IWM Can Make 10% Over The Next 43 Days [View article]
    All I can say is that I think you need to go back to basics and read an Options 101 text because you have no clue how to calculate a return for a credit spread. There is a maintenance requirement that is the difference between the short and long put minus the credit. In this case it was 2 minus the credit brought in.

    As for your other comments, I applaud you. However, my feelings regarding your negligence stands. You should not let your arrogance bleed into the others who are trying to learn how to responsibly trade options.
    Sep 9, 2011. 04:57 PM | Likes Like |Link to Comment
  • How Prudent Use Of IWM Can Make 10% Over The Next 43 Days [View article]
    I am not sure why I responded to your message in the first place.

    But I guess I am dumbfounded by your lack of knowledge after 10 years trading options and the arrogance in which you respond. Your answers sound reasonable, but they are incomplete and unfortunately misleading to neophytes in the options world.

    It seems as though you did not bother to read my response at all. I covered most, if not all, of what you mentioned.

    I too, have been trading options from over ten years but professionally, with floor trading veterans that have moved to screen-based trading due to the fallout on the floor.

    However, I keep a track record. A track record that can be verified. I don't gloat about so-called special algorithms. I keep it simple. Because professionals know that it is not

    While, I agree with some of what you state, I still don't think you grasp how options are used and more importantly, how to effectively make money using options over the long-term.

    Basic math - I think you should sit down and do the calculations yourself.

    I am not here to create tension. Everyone has their own view. However, your obvious arrogance is detrimental to those that are trying to learn responsible options strategies. You might not agree with the strategy and that is perfectly fine. You can use your so-called special algorithms to beat the market, but professional traders, especially options traders keep it simple, very simple.

    Good luck in your trading endeavors.
    Sep 9, 2011. 02:55 PM | Likes Like |Link to Comment
  • How Prudent Use Of IWM Can Make 10% Over The Next 43 Days [View article]
    I think your response is short-sighted for several reasons.

    You seem to ignore sound risk-management principles through the use of position-sizing, etc. Every professional options trader (and more and more retail options traders) are learning how to effectively use position-sizing to keep their risk-defined. A max loss would be highly unlikely given the large cushion provided by the spread.

    This is a high-probability of success trade (over 90%) and yes you can lose a lot (not the $10,000 you quoted, but only $8,950 because you brought in $1,050 as a credit). But, what sound trader would allow themselves to take a full loss on the trade? Knowing the probability of the trade and the potential risk you can easily define your stop-loss on each and every credit spread trade, thereby not taking a max loss. Risk can be defined in various ways.

    Options premiums are not set by "experts" they are based on implied volatility, among other factors, that the market creates, not some individual "options expert" that you mention. As IV rises, premium rise, this is not something decided upon by an "options expert" as you state.

    Obviously, your knowledge of options is limited and that is okay. The options market is new to most people and often difficult to comprehend. Most base their strong opinions on truly limited knowledge, which only does a disservice to the options industry and those of us trying to bring the value of options to the forefront.

    There are so many negative stereotypes attached to options and I understand why. The hype around outstanding gains and ridiculous claims exist everywhere. But, it is your job to try and learn how to effectively use options in a responsible and effective way. Do the math, learn about the statistical advantages of each and every trade, know how to use position-sizing to define risk, and the list goes on and on. I can promise if you do take the time to learn about options and how to use them responsibly you will be able to bring in income for a long period.

    Unlike most options traders who look at the risk/reward of a trade and no other factors. It is this simplistic approach that again does a disservice to the the options industry and to investors in general. They read your fodder and take it as coming from a knowledgeable source. And that is extremely unfortunate, because options when used responsibly through sound strategies and risk-management are some of the most powerful investment tool that we have.
    Sep 9, 2011. 12:34 PM | 2 Likes Like |Link to Comment
  • The Options Strategy That Outperforms [View article]
    The links are working for me.
    Jul 22, 2011. 01:56 PM | Likes Like |Link to Comment
  • The Options Strategy That Outperforms [View article]
    It is a credit spread, as stated above. I don't think I stated anything different. Sorry if there was any confusion. Here is the link to the trade:www.crowderoptions.com...
    Jul 21, 2011. 09:40 PM | Likes Like |Link to Comment
  • Small Caps Hit Short-Term Overbought Extreme - Potential Trade Ahead [View article]
    TZA is a bearish fund. It is the inverse of IWM.
    Jul 2, 2011. 12:42 PM | Likes Like |Link to Comment
  • Potential Options Trade - Short-Term Extreme [View article]
    Dirty H,

    I agree with you wholeheartedly when it comes to the performance on UNG. However, I would have to respectfully disagree with your overbought/oversold comment. In my opinion, as long as the options of an ETF are liquid (tight bid/ask spread) I will trade it. I trade probability of a trade once it hits a short-term extreme I could truly care less about the underlying. I hope this helps. Thanks again for your comment.
    Jun 23, 2011. 08:15 PM | Likes Like |Link to Comment
  • Key ETF Review: Range-Bound Trading Persists [View article]
    Unfortunately, Paypal is the only choice at the moment. I hope this isn't a deterrent.

    I use a variety of proprietary indicators plus the RSI to make my decisions.

    I wait for an extreme to hit so the risk/reward scenario increases dramatically. Moreover, I use a stop-loss, position-sizing and other risk management techniques to keep losses within reason.
    Jun 18, 2011. 08:12 PM | Likes Like |Link to Comment
  • Key ETF Review: Range-Bound Trading Persists [View article]
    I agree Cormack. Selling a few credit spreads would be nice here. I am looking at a few of the main ETF proxies and should have a trade published in the upcoming Weekly Options Report. However, as for my HPMR strategy, I continue to wait for my indicators to confirm. Still patiently waiting for a high-probability set-up.

    visitor.r20.constantco...
    Jun 18, 2011. 01:30 AM | Likes Like |Link to Comment
  • Key ETF Review: Range-Bound Trading Persists [View article]
    Here is the link to subscribe -

    www.crowderoptions.com.../

    I trade in ETFs and options using ETFs as my underlying.

    Do not hesitate to email me with any questions that you might have.
    Jun 18, 2011. 01:24 AM | Likes Like |Link to Comment
  • Options Trade Imminent [View article]
    All should be long. And one was. I placed a trade in QQQ this morning and was able to get out this afternoon for a short-term play. You can see the results on my third-party monitoring site here.

    high-probability-etf.c...
    May 25, 2011. 04:21 PM | Likes Like |Link to Comment
COMMENTS STATS
100 Comments
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