Summary:
The following strategies work well without having to pick the direction,
but they work best when the market moves one way or another, or at least
has a wide trading range:
 | Strategy #1..Buy A Straddle With Low Implied
Volatility |
| Strategy #12..Delta Neutral Trading |
The following strategy also makes money regardless of the direction of
the market, but it works best when the market stays within a trading
range:
| Strategy #4..Neutral Option Positions |
If you like to predict the direction of markets, the following
strategies will allow you to risk less money, and at the same time, give
you the edge:
| Strategy #2..Buy Underpriced Options |
| Strategy #6..Backspreads |
| Strategy #7..Buy In-the-Money Options |
| Strategy #8..In-the-Money Debit Spreads |
The following strategy works well when the market is going nowhere:
| Strategy #9..Calendar Spreads |
The following strategy has a very wide profit zone and a high
probability of profit. It works best after a market has had a sizable
upward move:
| Strategy #5..Call Ratio Spreads |
If you own futures, the following strategy can give you some extra
income on your trade, with no additional risk:
| Strategy #10..Covered Call Writing |
The following strategies will protect you against a major market
correction:
| Strategy #3..Buy Underpriced Options To Protect
Portfolios
|
| Strategy #11..Protect Your Trade With Free
Insurance |
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