Entries Tagged 'option trading' ↓

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Did you know that you can learn all about short term trading on the stock market every week day, by “looking over the shoulder” of an actual successful trader, as he goes through a watchlist of stock charts and makes his decisions?

You can even place the same trades that he does, using your own broker account, as you watch and listen to him explain his thinking, . What a perfect way to learn option trading, CFD trading or any other short term trading strategy!

And it works on ANY market – whether it’s the US, Aussie, UK or any other stock market in the world.

You can follow him “live” as it’s actually happening, or have access to a link where you can watch a recorded session afterwards. Most people still have to work a day job, or are in some other part of the world, so can’t be there in real time, but this is the next best thing.

It’s one thing to “learn the rules” from doing a course – it’s another thing altogether, to watch someone who consistently makes money, actually doing it. You learn his trading psychology, you “get into his thinking” and get a feel for his discipline and capital management strategies.

John Howell

Planet Wealth has teamed up with a professional trader, John Howell, to help members of the new Live Trading Room solve the vagaries of Charting and Technical Analysis. John’s experience and talent will undoubtedly help every trader and investor – from those ‘newbies’ just starting out to experienced traders (successful or otherwise).

John Howell analyzes stock charts the way Nik Halik does.

Planet Wealth’s Stock Market Online Classes provides:

• A minimum of one hour per day of Virtual Mentoring with a professional trader, John Howell – LIVE while the market is open!
• Access to see John’s PC as he searches for potential trades. You will see his charts, watch him do his technical analysis and hear him explain everything, while being able to ask direct questions and get instant answers.
• Identification by John of potential technical buy or sell signals, live while the market is open. These will be shared and discussed with all members in the Trading Room.
• A Virtual Homestudy available online. Save literally thousands on seminars and educational products by downloading our online movies featuring John Howell, streamed direct to you whenever and wherever you are. Learn about technical analysis, charting, indicators and what a pro looks for in the share price charts. And you can refer back to them whenever you want, again and again.

All for less than US$20 per hour!

What better way to learn stock market trading than by watching and listening to someone who makes a full time living out of it, choose his trades in real time, during the last hour of the Australian stock market each day.

If you intend to use Planet Wealth’s Stock Market Online Classes to trade options, you will need at least a basic understanding of the options market, including how to place a trade with your own broker.

This learning experience is invaluable, but you can access this online mentoring program for less than $US20 per hour. There are fixed monthly, even annual, fees packages – or you can choose the option to simply pay only for the hours you use.

For more information about Planet Wealth

Stock Market Online Classes

Click Here

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There’s a new breed of wealthy individuals arising today. They’re cashed up and ready for adventure – but not just any adventure. They’re out there experiencing the kind of adventures that only certain types of people can afford. They’re calling them “Thrillionaires“.

Nik Halik is one of them. He’s a self confessed “adrenalin junkie” who takes himself on the most amazing adventures around the planet, under the planet and more recently, out in space.

Among his repertoire of accomplishments, Nik includes diving five miles into the icy waters of the North Atlantic, to land on the deck of the famed Titanic and having lunch there. Perhaps there is something symbolic in that, because this ship, made famous by the movie of the same name, was the playground of the rich and famous at the time of its demise.

From the dark depths of the ocean, Nik’s hunger for thrills have taken him to scale the mountains of Everest and beyond. He has been one of the privileged few to realize a childhood dream of becoming an astronaut and to gaze at the curvature of the earth from space. The package included a short stay on the International Space Station, the only manned outpost in orbit. He remembers the surreal experience of being able, in his own words, “to blot out the earth with his thumb”. Nik is also the first flight-qualified and certified civilian astronaut from Australia.

“I have already been to the edge of space, 20 miles (32 kilometres) from the surface of the earth,” he said. “Now we are talking about 250 miles from the earth.”

Nik’s ultimate goal is to walk on the moon.

Being able to afford such unreal adventures requires money – and lots of it. But Nik Halik was not born into a wealthy family. He is a self-made millionaire, become thrillionaire. His early years were spent as a musician in a rock band, doing gigs mainly in restaurants, pubs and the like. When the Australian fringe benefits tax laws changed in the late 80’s, dining out ceased to be a “tax deductible” expense for business and the small-time music entertainment industry suffered as patrons of eating houses diminished. Nik subsequently found himself in debt and needed to find an alternative solution to his cashflow problems.

Then he discovered option trading. He learned proven techniques that work and spent many hours backtesting years of data, to “get the feel” for stock market charting patterns that yield highly probable results. Through focus and discipline, he developed his own cashflow strategies that yielded him a very healthy return. Nik then used this new disposable income to invest in the property market, with such success that by the time he reached his late 20’s he had amassed quite a fortune.

In 2001 he founded the Financial Freedom Institute (FFI), Money Masters and also co-founded the Intelligence Group of companies and became a wealth educator, teaching his stock market and property investing techniques to thousands globally. Today, he includes best-selling author on his list of achievements.

Nik believes that anyone can do what he has done. He doesn’t regard himself as specially gifted above other human beings, but will tell you that it’s all a matter of training your mind and emotions to shift into an “abundance mentality”. Once you adjust your thinking, you can “reach for the stars”. Nik Halik has done that, literally.

One Million Thrillionaires

Nik has a dream – to start a club and mentor its members so as to create one million thrillionaires on planet earth. He wants to help other people share the wealth, excitement and enjoyment he has experienced himself. There’s a huge buzz about this right now. Interested people are invited to join the thrillionaires club.

Option debit spreads can be a very useful and in some cases, lifesaving tool when trading. The following example shows how that, even when the price of the underlying financial instrument goes against you, you can still make a nice profit on your investment. It just takes a bit longer, but it illustrates the superiority of this strategy over only ‘going long’ on call or put options.

The following example was traded on the Australian market, but the principles can apply to any market in the world.

In late August, I entered an option trade on ANZ bank. It was a ‘debit spread’ which is where you BUY a call option (in this case) at a ’strike price’ just above the current market price, but also SELL another call option at a ’strike price’ higher up. In this case, it was an $18.50 / $19.00 spread. On reflection, it was a bad time to buy, but I had it pre-set in my broker account to automatically enter at a certain price and it did so. I was away at the time and not monitoring the market and had forgotten about this. The next day, ANZ came out with some bad news and the share price dropped about $2.

Now, if I had only entered the ‘buy’ side of the contract, this would’ve been very bad news. However, with a “spread” you can do interesting things…. I thought to myself, “if the share price has dropped, that means my ‘way-out-of-the-money’ $19 “sold” call option is now going to be very cheap” – cheaper in fact, than my bought position. (the share price was now about $16). Remember, this was a SOLD position, so why not buy it back when it’s practically worthless. Well, I had to wait a few weeks for it to get to the price I was prepared to pay, but last week the US stock market took a big dive and so the Aussie market followed the next day, particularly the banks.

The whole position (spread) had originally cost me 24.5 cents. This comprised the BOUGHT option at a cost of $1.48 less the SOLD option for $1.235 = 24.5 cents. Anyway, when the ‘big dive’ took place last week, I was able to “buy-to-close” the original SOLD position for only 12cents.

I thought to myself … “my total cost is now 24.5 + 12 cents = 36.5 cents. All I need now, is for the share price to rise a little, so that the original BOUGHT option comes up to about 38cents and I can get out and break even.

I was prepared to wait a few weeks for this to happen, because I had noticed that ANZ was in a sideways channel (see chart below). Well, to cut a long story short, the ‘big dive’ on the US markets was followed by a huge rally the next day, so the Aussie market followed (wagging its tail). The ANZ shares took off, so that my original ‘bought’ $18.50 call option was now worth 65c. I sold for an overall profit of 78%!!

We all like to share our successes. This impressed me with the flexibility of ‘debit spreads’ – how you can turn a setback to your advantage.

The Stock Market is not going away. Those who know it’s secrets can expect a lifetime income. If such a prospect interests you, check out Nik Halik’s official website by clicking the image below.

Nik Halik – Super Trader