Option trading has two main components – puts and calls. While the call option is used for the option of buying a certain futures contract, the put option is for the option of selling them. Another terminology used in options trading is strike price. This strike price is the price at which the underlying asset is confirmed to be bought or sold when the trader exercises the option.
There are a few other noteworthy items about option trading and each one is important. Take for example the expiration date of the option and the option style, so on and so forth. Once you understand the terminology, you will be able to understand options trading clearly.
One thing to remember about options is that they are comparatively less liquid than futures contracts. For those who analyze the markets thoroughly and regularly, options trading is just a great way of controlling risks. We at Cannon Trading help you understand options trading better and also provide you good advice on options trading. This category archive talks about a number of option trading blogs and articles to give you the most recent update on options.
In this post:
1. Market Commentary
2. Support and Resistance Levels
3. Daily Mini Mini S&P 500 Futures Chart
Full day ahead with important economic numbers along with G20 meeting taking place over the weekend. Continue reading “Trading Levels & Economic Reports for 10-14-2011”
Cannon Trading / E-Futures.com
FINALLY some volatility in stock indices….
Continue reading “Futures Trading Levels and Stock Indices Volatility”
To be honest I don’t have any feel for the medium term outlook of stock indices.
I do like some of the intraday set ups we get in different markets such as Crude, Euro and the Mini SP.
We do have some reports tomorrow and it is the last trading day of the month so we should see some interesting price action.
As far as “mental tip”: keep reminding yourself that the hardest battle for a trader is waiting, patience and fighting ones own demons that normally appear when losing trades happen. Try to be among the tough ones who can control the negative emotions losing trades bring out and your trading will progress. Continue reading “Futures Trading Levels and Mental Tips for October 29th 2010”
Our Weekly Newsletter is Ready for Your Review at:
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https://www.cannontrading.com/community/newsletter/
**************************************************************** Continue reading “Futures Trading Levels and Weekly Newsletter for October 28th 2010”
| Daily Support & Résistance Levels | Mini-S&P 500 Futures Dec. 10 |
Mini-Nasdaq 100 Futures Dec. 10 |
Mini-Dow Futures Dec. 10 |
Mini Russell 2000 Futures Dec.10 |
30-year US Bond Futures Dec. 10 |
10-Year US Note Futures Dec. 10 |
|---|---|---|---|---|---|---|
| Support 3 | 1166.00 | 2071.00 | 10964 | 695.30 | 13119 | 12602 |
| Support 2 | 1172.25 | 2082.00 | 11028 | 699.90 | 13204 | 12616 |
| Support 1 | 1176.00 | 2090.00 | 11064 | 702.50 | 13213 | 12621 |
| Resistance 1 | 1182.25 | 2102.00 | 11132 | 707.30 | 13230 | 12707.5 |
| Resistance 2 | 1188.25 | 2118.00 | 11154 | 711.70 | 13303 | 12714 |
| Resistance 3 | 1196.75 | 2133.00 | 11213 | 719.70zb | 13320 | 12722 |
| Daily Support & Resistance Levels |
Gold Futures Dec.2010 |
Silver Futures Dec. 2010 |
Copper Futures Dec. 2010 |
Crude Oil Futures Nov. 2010 |
Euro Curr. Dec. 2010 |
Dollar Index Dec. 2010 |
| Support 3 | 1297.0 | 23.27 | 3.766 | 79.90 | 1.3867 | 76.33 |
| Support 2 | 1319.0 | 23.57 | 3.793 | 80.97 | 1.3909 | 76.75 |
| Support 1 | 1328.0 | 23.76 | 3.810 | 81.63 | 1.3956 | 77.21 |
| Resistance 1 | 1343.0 | 23.91 | 3.836 | 82.49 | 1.4042 | 77.65 |
| Resistance 2 | 1351.0 | 24.11 | 3.868 | 83.10 | 1.4100 | 77.84 |
| Resistance 3 | 1358.0 | 24.31 | 3.880 | 85.10 | 1.4156 | 78.02 |
Updated: 21-Oct-10 08:30 ET
Click on a “Release” for Insight
| Date | ET | Release | For | Actual | Briefing.com | Consensus | Prior | Revised From |
|---|---|---|---|---|---|---|---|---|
| Oct 21 | 08:30 | Initial Claims | 10/16 | 452K | 450K | 455K | 475K | 462K |
| Oct 21 | 08:30 | Continuing Claims | 10/09 | 94441K | 4450K | 4400K | 4450K | 4399K |
| Oct 21 | 08:30 | Leading Indicators | Sep | NA | 0.3% | 0.3% | 0.3% | |
| Oct 21 | 08:30 | Philadelphia Fed | Oct | NA | 1.5 | 1.4 | -0.7 |
Continue reading “Daily Support & Resistance and Economic Data to be Released, October 21th 2010”
Have a great weekend!! take time to clear your “trading brain” and allow it to recharge.
Screen shot from today’s session during our “live charts” service where one can see real-time trade set ups like below
(blue diamonds = possible buy, red diamonds = possible sell)
Charts included in this service are: Mini SP 500, Euro Currency and Crude oil.
For a Free Day Trading Webinar Trial Please Visit:
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https://www.cannontrading.com/tools/intraday-futures-trading-signals
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Continue reading “Free Day Trading Webinar Trial, October 18th 2010”
Not an easy market to read right now in my opinion.
It is showing signs like it would like to visit some lower levels, yet there is enough buying interest to keep it above 1127.
This Friday monthly unemployment levels will be watched closely.
If the market breaks below 1127, it has a chance of picking some more speed to the downside.
On the flip side, bulls will need to see new highs in order to get back in control of price action.
Daily chart with some price levels to watch for your review below:
Continue reading “Commodity Trading Levels for October 5th 2010”
I got two “false” sell signals before this last one….I think the fact that we went through the first FIB level gives this short swing trade higher chances of being correct with initial target of 617.10.
Since NONE of us have a crystal ball, one always has to calculate the proper stop or risk allocated for the trade and see if it makes sense based on ones account size, risk tolerance etc.
For this specific one, I would conclude that my short trade is wrong if we trade above 660.
Continue reading “617.10 is Initial Target for FIB Level for Futures Trading, September 24th 2010”
FOMC is behind us. Mixed reaction from the market and many times the real direction will show the next day, so tomorrows price action is important to watch. My indicators suggest that as long as we can hold the 1115 level, we still have a shot at more upside move. However a break below 1115 on mini SP along with continued upside in bond market may suggest temporary top. Time and price will tell.
Continue reading “Watch for Price Action the Day After FOMC, September 22nd 2010”
I wrote yesterday:
“Looks like 1122 should be a decision level based on the chart below.”
Well very similar comments today…… looks like 1122.75 should be decision level if we are to break upside, while 1105.75 to 1109.25 is the support to watch. Chart for your review below.
Continue reading “1122.75 Will be Decision Level to Break Upside, September 15th 2010”