Get Rich with Options Four Winning Strategies Straight from the Exchange Floor

by Lowell, Lee

• ISBN13: 9780470445891
• ISBN10: 0470445890
• Edition: 2nd
• Format: Hardcover
• Copyright: 2009-10-06
• Publisher: Wiley

Summary

Lowell will briefly discuss his background as a market maker and examine his successful track record. He will then offer up the basics of options, how options are priced, strike price selection and the use of Delta, stocks vs. options, and the secrets to using volatility to your advantage, The rest of the book will examine his four best option strategies. These include selling credit spreads, selling naked put options, ratio spreads and buying deep-in-the-money LEAP options in lieu of purchasing the stock. Lowell will provide real-life scenarios and trades that he has made to illustrate how each position came to be. He will also include price charts that are at the heart of his decision making process, option price chains, probability tools and volatility graphs. All of these will arm the trader with a greater sense of preparation and opportunity for a successful trade.

Author Biography

Lee Lowell is one of America's leading options professionals and is the coeditor of Mt. Vernon Research's Xcelerated Profits Report and Editor of Instant Money Trader and Triple-Zone Profit Trader. He has been an options trading professional for seventeen years and spent six years in the options trenches as a market-maker on the floor of the New York Mercantile Exchange (NYMEX). After leaving the floor in 1998, Lowell started, and currently runs, his own home-based trading business—actively trading commodity options and futures, stocks, stock options, ETFs, and e-mini futures. He's had numerous articles published in leading financial magazines, including Futures and Technical Analysis of Stocks and Commodities, as well as articles posted on options-related Web sites such as www.optioninvestor.com and www.esignal.com. Lowell is also the author of the first edition of Get Rich with Options (Wiley).

Table of Contents

Preface to the Second Edition	p. ix
Acknowledgments	p. xiii
The Option Basics	p. 1
It's All about the Calls and Puts	p. 3
How Options are Priced	p. 15
Option Volatility	p. 27
Stocks versus Options	p. 47
Option Selling Is Your Key to Success	p. 57
The Strategies	p. 69
Buy All the Stock You Want for Half the Price	p. 71
Getting Paid to Buy Your Favorite Stock	p. 93
Option Credit Spreads: The All-Star Strategy	p. 121
A Day in the Life of the Market Maker	p. 173
Put Your Stocks to Work&Sell Covered Calls	p. 185
A Bonus Strategy: Ratio Option Spreads	p. 205
Tools of the Trade	p. 229
Brokers and Commissions	p. 235
Conclusion	p. 243
Index 247
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