Index Credit Spread Trading

I am an active trader of option credit spreads on the SPX, NDX and RUT broad based stock indexes. I am very conservative and only enter into trades that have a very high probability of being profitable. I write OTM Bull Put Spreads first. During months when the market is moving sideways or slightly up, I add OTM Bear Call Spreads to create Iron Condors. My goal is to collect premium month to month. I want all my spread trades to expire worthless.

I like trading the Indexes because they are not subject to the same wild price swings as individual stock. It is also easier to make risk management adjustments on Index trades than say GOOG which can change in value quickly on some bad news.

An option credit spread is a limited risk option trade involving the simultaneous purchase and sale of two differing option contracts on the same Index, i.e. the SPX. This produces an immediate cash credit in your trading account. A profit is realized in a credit spread position if the index moves in the direction anticipated, remains the same and even if under appropriate circumstances the index moves adversely to your position.

Benefits of Index Credit Spread Trading

• Index credit spread trades have a 90% probability of expiring worthless when filled.

• These credit spread trades can profit in any type of market. Markets today are more likely to trend sideways, or move slightly higher or lower month to month.

• The majority of time you just make a trade, collect your credit and wait for the next month. This is not a day trading system. There is no need to monitor the market and your active trades all day long in front of the computer screen. In fact it’s really a very boring trading system.

• Paper trading is the best way to learn this option strategy. It’s all free with CBOE’s new Virtual Trading system.

• The SPX, NDX and RUT Indexes are not subject to the same wild swings as individual stocks.

• With Iron Condor trades you get double the credit but only have one margin side at risk.

• You want your credit spread trades to expire worthless but you can always buy them back for way less than you sold them for.

• Your trading capital is only used to support margin requirements. Most option brokers allow you to invest your trading capital and use it as collateral for spread trading. This way you can earn 2 returns with the same capital.

You can see my actual performance results of all trades for the last 12 months and the current YTD return which is amazing. My website is over 25 pages and full of content that covers all aspects of this trading strategy.

Index Credit Spread Trading / Brad Griffin

Brad Griffin is an Accountant and CPA and has been investing in the U.S Stock Market for 10 years and the options market for the past 5 years. I am now sharing my knowledge and success trading options at my website http://www.indexspreadoptionstrading.com.

Personal Loans: a Comprehensive Solution

Needs give rise to thoughts, which in turn, leads to solutions. Personal loans are surely among such solutions, which can take care of all your financial needs.

You may be in need of money for marriage, holidaying, debt consolidation, home improvement, car purchase, plastic surgery, etc. Whatever be the reason, personal loans can bring to you the desired results.

You can use personal loans the way you want. This is the foremost reason for the popularity of personal loans in the UK financial market.

The borrowers in UK are increasingly opting for personal loans. Besides using personal loans for customary reasons like education, holidaying, debt consolidation, car purchase, etc., many Brits are coming forward to take personal loans for weird reasons like preparing the world’s largest cake and buying a leopard.

Personal loans can be secured or unsecured. Personal loans that have been secured offer you the following benefits:

    * Flexible repayment period

    * Wide-ranging use

    * Big loan amount

    * Low rate of interest

    * Easy availability

In case of unsecured personal loans, the lender is denied of a security and, therefore, the risk that he undertakes increases substantially, forcing him to charge a higher rate of interest.

On the downside, personal loans can tempt you to go after them for reasons that are wholly extraneous to your needs. You may be allured by the easy availability and low rates that personal loans involve. So, you should take care that you borrow that much amount only that you can easily repay.

Personal Loans: a Comprehensive Solution / Jake Nathan

The author is a business writer specializing in finance and credit products and has written authoritative articles on the finance industry. He has done his masters in Business Administration and is currently assisting Loans-Bazaar as a finance specialist.

For more information please visit: http://www.loans-bazaar.co.uk

Is a Payday Loan Really a Good Deal?

All of us have had those times when could simply use another couple of hundred dollars to get us by until the next paycheck. Financial tight spots can come unexpectedly. One way that might help you to cover those sudden needs or want of extra cash is by getting a payday cash loan. These loans are real easy to get. Here is a little more information to show you what is involved.

Easy To Get

A payday loan has got to be one of the easiest loans to get. Very little is needed in order to qualify. in many cases, you simply need to prove that you are at least 18 years old, have lived in one place for the last six months have a checking account, and make more than $1,000 (some say $1,500) per month.

No Credit Check Or Collateral

These things are real quick to apply for. No one is turned down who meets the basic requirements. There is no credit check since the money is actually deposited into your checking account – and then withdrawn from it, too. When you ask for the payday loan, you give them a check made out to them for the amount of the loan, with the interest added on to it. Then, if everything is in order, you will have the money in your account within 24 hours. No one checks your credit rating, or asks for any collateral. They will, however, look to see if you have any other outstanding payday loans – which will make the current loan null and void.

High Interest

Apart from being extremely convenient – you don’t even have to fool around with a bill or a credit card, it sounds like just the thing. One problem, though, is that it may be too easy. All of us run into hard times, sometimes. For those who have a hard time controlling their finances, though, this could hurt them even more. For those who regularly run out of funds each month because they cannot control their finances quite like they should, this makes money too convenient, and the high interest on payday loans will make their money disappear even faster.

The interest on this type of loan comes to about $25 to $30 for every one hundred dollars of the loan. This interest is usually for a two-week period.

Can Be Rolled Over

After the first two weeks, the individual has the option to roll it over. This means extending it another two weeks – and another two weeks if needed. But with each two week period, the interest is again added. This means that after six weeks a $400 loan will cost $475. This is an awful high price to pay for a little convenience.

Quite possibly, a credit card may be the better deal, but you will have to decide on it for yourself. With the ads for payday loans all around us, that may be the first thing you think of when your funds fall a little short – but isn’t that what the ads are all about?

Is a Payday Loan Really a Good Deal? / Joseph Kenny

Joe Kenny writes for the UK Loans Store for the latest UK loans and offer more information on UK payday loans and other loan topics available on site.
Visit Today: http://www.ukpersonalloanstore.co.uk