Trading Negative Vega Option Strategies

By Johnny M Junior

While the volatility is moving downward and the market is going up, one would think that this is the right time to trade the Iron Condor. The Iron Condor benefits greatly by the volatility moving downward because the Iron Condor is a negative Vega option spread. If you are not sure what the negative Vega is, then you would really benefit by taking your time to visit www.sjoptions.com and watch their free videos on the Option Greeks.

With little effort and/or changes at all, most of us Condor traders have been making money over the last few months. With this kind of income spread, at times, it can really be great! There are those times that we have very few adjustments to make. If the underlying simply trends and stays within a tight price range, then the Condor works well and you can make money in this market almost each day.

This is one time that the stock market will give us the chance to really enjoy our option strategies. When it's not so high maintenance, it is a great way to make a living. It is a great way to be able to make money this way. It is very low stress, and at times you will have a steady income.

I like the much more conservative approach to the Iron Condor that is being taught by San Jose Options. While other courses teach an aggressive approach, you are taking on a higher risk of losing your money. You will have to do a lot more adjustments, more often, and this causes a problem in a market that is moving up and down a lot. This aggressive trading of the Condor method will only lead you to more adjustments, more stress, more headaches and loosing overall.

I have been making an easy 10% on this new way of conservative trading for the last few months, and believe me; I haven't had to make many changes at all. I can put the trade on and let the trade and my money work for me. The way I was trading this option strategy before, I was making several adjustments, but with this new trading technique, the market never hits my adjustment points, not one single time. Let me tell you, I am really enjoying trading with the stock market now.

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