Option Contract - Trading Options Video 14 part 4



Go to http://www.amazon.com/gp/product/B00JFB3V7O to learn more about Option Contract. Here's the EWJ. Not well defined. The EWZ is a little bit better defined. Here's the USO. This is the U.S. Oil Fund ETF, against the S&P 500. You can see that it's not well-defined, so I would stay away from it. All you're doing is, after you save these ratios, you're just going through these to find out who is outperforming who, in these cases. What you want to do is find a clearly defined trend. Here's a clearly defined trend for a while, here. This is the DBA - this is the Commodities ETF, Agriculture ETF. For a long time, it outperformed the S&P 500, from April 2010 to February of 2011. It's a very nice, clearly defined trend, with a good trend line. You would have been able to get out as soon as it crossed this line. For a while, for many months, it was a very nicely defined trend there. Some Australian currency, the UUP, against the ETF of the U.S. dollar ETF bullish fund. You can see that the Australian dollar - the FXA is the Australian dollar ETF. It vastly outperformed the U.S. dollar throughout this entire period, from June of 2010 all the way to this topping period here, in June of 2011. Here's the Canadian dollar ETF. It outperformed the U.S. dollar as well. Here is the French franc, definitely outperforming for the entire period, until we reach this peak. It's a very nicely, well-defined trend. That's all you're looking for. You're looking for the well-defined trends in here. Do not trade those markets that you can't see a well-defined trend. Like this one, the EWJ - it's a little bit more volatile, a little bit more up and down. I would stay away from it. That one is crazy. I would stay away from that as well. You're looking for the really well-defined trends. Here's the British pound. It's not bad. I like the French franc better. That's why I would keep a number of these different ratio charts set up inside my profit charts, to just go through those. Here's another really interesting chart. This is the U.S. Natural Gas fund, the UNG, vs. the U.S. Oil Fund, USO. For more Option Contract videos be sure to check out our channel: http://www.youtube.com/channel/UCXr2lclULvZAUS7iaKfLQlg To learn more about the Genius Trading System course go to: http://www.amazon.com/gp/product/B00JFB3V7O Additional Tags ================ vertical spreads, options greeks, what is options trading, iron condor, option volatility, option spreads, options volatility, how to trade in options, option strategies, index options, equity options, virtual trading, options spreads, virtual options trading, options trading tutorial, option trading strategy, options trading course, how to trade stock options, options trading systems, options training, learning options, learn to trade options, option trading tutorial, options trading strategy, option trading course, option trading systems, options trading basics, option trading basics, option trading system, options trading courses, options trading training, trade options, what is a stock option, options strategies

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    Duration: 6m 31s

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