The other option thread inspired me to get some help on a strategy i had thought of to trade options.
My hypothesis goes something like this:
My analysis tells me that GC 12-15 could be above 1100, or below 1100, but i'm almost positive that it won't be at 1100, anytime within the next 3...
My outlook to a stock option is as follows ...
expiration days pending = 30 days
(i) stock may stay flat till expiration.
(ii) very bearish on the stock
(ii) very little pull back
Could you please name which Option Strategy is suitable for such outlook ?
Any thoughts on the use of Calendar Spreads on XJO index ( Sale of Front Month & Purchase of Distant Month )
for consistent monthly income ?
And any thoughts on modifying / changing the calendar if the market moves against the calendar ?
My Market Outlook: I am short time bullish ( 7 days ) but long term bearish .
What is the right option strategy for the market outlook ?
strategy performance should not be affected by time decay.
Can you suggest a strategy to apply ?