The Market Guys Blog » The Options Oracle Trade Alert has been delivered

TMG Webinar

How to Generate Income from Your Stocks

June 4, 2010 // 52 minutes

The Market Guys will show you how you may be able to create income from your stocks with options.

Next event...

Investing Education Day

July 29, 2010 // Chicago, IL

Market Shots

PIN PRESSURE INDICATOR™

Using Pin Pressure as a leading indicator for setting price targets

AJ Monte, Chief Market Strategist for the Market Guys, has written a paper for the Market Technicians Association on the Topic of Pin Pressure.

This document was grounded in research conducted by the University of Illinois showing how Option Trading Volume affected the price of the underlying stock in which the option contracts where traded.

From this paper, AJ has developed the Pin Pressure Indicator™ which is a calculation that computes the combined open interest traded at various strike prices and uses this data to determine price targets for individual stocks as we approach options expiration Friday.

4 The Options Oracle Trade Alert has been delivered

Posted on August 20, 2008 by AJ Monte

Be advised that the Options Oracle trade alert has been delivered to those subscribed to our advisory service. Please be sure to review the risk management notes at the bottom of page two before you place the trade.

This entry was posted on Wednesday, August 20th, 2008 at 2:00 am. It is filed under Uncategorized and has been tagged under . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a comment or trackback from your own site.

4 Responses to “The Options Oracle Trade Alert has been delivered”

From: andrew fairhurst August 20th, 2008 at 5:20 am
Hi AJ

You say that you haven’t gone for the LEAP option because of lack of liquidity and the poor bid/ask spread. Do you look for a certain number of traded contracts or a percentage below which the bid/ask spread has to be, before you will trade a particular option?

Thanks

Andrew
From: AJ Monte August 20th, 2008 at 10:35 am
Hello Andrew,

Generally I look for a bid/ask spread that is no greater than 40 cents. The number of traded contracts doesn’t matter to me but the open interest of the options at that particular strike price means more. Before taking the new position I will often try to split the bid/ask spread to see if anyone will trade in the middle. Many times I will get the execution.

AJ
From: Borut B. August 20th, 2008 at 11:47 am
Hello AJ,

you wrote in todays Oracle that the stock price is $2.95 (green text), but the real stock price is around $67. Error?

Borut
From: AJ Monte August 24th, 2008 at 4:17 pm
Yes the stock price was a typo. It sould have read $67.62

Thanks,

AJ