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Swing Trader s Insight By Scott Hoffman Introduction This trading sheet is a guide to swing trading By swing trading I refer to trades that are held longer than day trades but shorter than long term trend followers In swing trading you are looking to get into a trade one day hold it overnight or a few days and get out as the momentum changes A swing trader should always be working to minimize a loss and although the profits from trading in this timeframe are generally modest hopefully the winning percentage is fairly high Swing trading has two modes The first is swing trading which has its basis in George Taylor Douglass book The Taylor Trading Technique Taylor was a floor trader at the CBOT who kept a detailed trading diary and developed a mechanical trading system from it If you really want to get to know his take on the system read the book But be warned Taylor was a dry Continue to download »
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Trend Day Finder Help Professor Seyhun studied stock market returns and risk for all months from 1926 through 1993 and for all trading days from 1963 through 1993 The index gained at an average annual rate of 11 83 for a cumulative return on 1 00 of 23 30 over 31 years If the best 90 trading days or 1 2 of the 7 802 trading days are set aside the annual return tumbles to 3 28 and the cumulative gain falls to 1 10 University of Michigan finance professor H Nejat Seyhun for Towneley Capital Management A trend day occurs when there is an expansion in the daily trading range and the open and close are near opposite extremes Linda Bradford Raschke professional trader Trend days open have little adverse movement then move strongly and close near the opposite extreme of the day s trading range They can have 3 or more times the open close point range of non trend day bars with 
Option Greeks A measure of sensitivity to changes in the price of the underlying asset A measure of delta s sensitivity to changes in the price of the stock A measure of an option s sensitivity to time decay A measure of an option s sensitivity to volatility A measure of an option s sensitivity to changes in the risk free interest rate The unknown component to the actual option price premium The calculated value according to Black Scholes Arguably the most important Greek delta can be expressed as a percentage but it is most often shown in decimal form ranging from 1 1 0 A Delta of 1 0 means that the option price will change one point for every one point move in the underlying stock A delta of 5 common in the at the money strike price means the price of the option will move a half point for every one point move in the underlying market The delta of a call is shown as a positive number whereas the delta of a put is displayed as a negative number because the put value moves in the 
Introducing option Greeks. Connecting past movement to the future. Chapter 4: Option Risks and Rewards. Understanding Your Trading Risks Trading Options For Dummies Description Thinking of trading options but not sure where to start Trading Options For Dummies starts you from the beginning with clear step by step advice on how to use top option strategies to reduce your risk while boosting your income and enlarging your retirement portfolio with index equity and ETF options This plain English guide explains the common types of options and helps you choose the right ones for your investing needs You find out how to weigh option costs and benefits combine options to reduce risk and build a strategy that allows you to gain no matter what the market may bring You ll learn the basics of market and sector analysis and what to look for when trying out a new option strategy You ll also find what you need to know about options contract specifications and mechanics Discover 
