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Friday, April 14, 2006

More on the LTB

How to view the entire chart:


1. Try clicking on the name of the most recent article in the column on the right. This will remove the "Archives" list.
2. Try right click on the chart itself and open it on a separate window.


I am sorry that I cannot always make the chart small enough to fit neatly on the left column. I want you to be able to see the details I want to point out.


I Hope this helps,


Juan

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I have compiled a list of stocks that are high fliers (you know the drill, if you don't check the video clips or send me an e-mail). I did this today, and divided the list in stocks with high IV (>40%) and low IV (<40%). Here is the list:

High IV:
RMBS TIE MYOG CAL NVDA WFR AKAM TRID AMR VRTX

Low IV
STX GLG LVS DRIV ATI JOYG GG NUE GRMN AEOS

I am prepared a heads up challenge with 2 portfolios starting today, and to conclude 1 month from now (near or at May expiration). This is all paper trading, I am not including any of this positions in my real accounts. For the high volatility stocks I will enter my best shot at a LTB. In the Low IV I will use the PCCRC. I will try to keep all trades below $5K, so each portfolio will be at or below $50K.

I have been experimenting some more with the LTB. I entered a backtesting trade on RMBS, and this is the result:





After Feb expiration, one could do MARCH by creating another butterfly and selling more puts:

1 comment:

Anonymous said...

Happy Easter to everybody.

EWI