WOW! The World's Best Business  The Dream Job   If you want to learn to trade options, and make money doing it, then you've come to the right place! Trading options is the most potentially profitable business that exists in the financial markets today. And unlike what you hear over and over, it's not "just for the pros."  (They weren't pros when they started.)  Making a living trading from home is the dream of just about every trader and active investor. In my book, Trading Options -- Developing A Plan,  I offer my simple trading strategies, without the complex indicators or heavy charts, that can be used by anyone anywhere to earn a living trading options. I'll also arm you with the knowledge and skills you need to unleash phenomenal trading strategies. These skills can make you a killing in trending markets, keep your losses to a minimum when trades go wrong, and set in place strategies that can consistently earn profits in all types of markets. Not many years ago it was very difficult for individuals to trade options. Now, anyone with a PC, up to the minute market news, and just a few tools can successfully trade with the best of them. But it's not enough to have the tools and the information, you also need the knowledge to utilize them.   A Simple Plan   Trading Options is not a game of chance.  It is a business, and can be a very lucrative business if you incorporate sound reasoning and proven strategies into your trading plan. Forget the elusive "secret formula" or the complex computer program that promises lavish success as a result of some mystical capability. There is no secret. Nor is there a computer program that can predict what a stock will do tomorrow. With more than 20 years trading experience, and after testing dozens of trading disciplines, I can tell you from experience that there is no 'gizmo' in existence that's going to make you a successful trader. The best approach is to use a tried-and-true, common sense approach to the market.  But where do you start? What is a trading plan? How do you 'execute' a trading plan if you've never seen one?  Well, our book is your starting point. In plain language, not jargon, I'll walk you through the steps to becoming a trader. From explaining how options work to an actual written plan, you'll have a clear and easy-to-follow guide.  A trading plan doesn't have to be made of complex mathematical formulas. Nor does it have to include expensive software or un-intelligible "signals."  In fact, I grew $70,000 to over one million dollars in just 11 months using my very simple plan that's based on pure common sense.   What do you mean common sense, you say?  Well consider this. I teach that there are several guidelines one should consider before entering a trade, but there are only 2 drop-dead, never-violate rules. They are both based on pure common sense, but most beginning traders will surely violate them and live to regret it. One of the rules simply states that you must never be in a trade without a reason. As simple as that sounds, it is vitally important.  A friend of mine came in my office a few weeks ago and told me he had just bought some options in Intuit (INTU).  He was quite excited that he was going to make some money on this trade.  I asked him what was his reason for being in the trade and he said he had just seen an analyst on TV who said it should go way up over the next year. WHAT? My body began to convulse and shake from head to toe. It's a good thing I didn't have a stick in my hand. He needed a good whack! He knows not to listen to that rubbish. If he'll wait a few minutes someone else will be on to talk about how the stock is going down the toilet. It is the responsibility of TV programs and other broadcasts to present opposing sides of the market. For every pundit who is bullish there's another who is bearish, either in the same stock or the same sector. These types of opinions should be looked upon as non-events. What is a reason?  How do you trade it?  Trading Options -- Developing A Plan reveals the answer to these questions and many more.  We'll guide you through several actual trades and clearly define what a reason is. (Did you know that it is not that unusual for an analyst to promote a stock, help drive the price up, and then sell all or part of his holdings while he's hyping the stock? It's called a "pump and dump" scheme.  The SEC watches for this kind of activity closely, but it still goes on.)    What it's Not About...   What you won't find in Trading Options -- Developing A Plan  are difficult mathematical formulas, complex technical indicators, heavy charts, or elaborate software demands. Nor is there endless pages of useless web addresses. What you will find is a simple, plain-English primer about options, and a straightforward approach to trading that can be used by virtually anyone, anywhere. Unlike most so-called experts writing today, I have actually made it as trader. I have made it as a home-based trader. I publish an options newsletter where I can 'eek out a living,' but I made my really big money trading options, and continue to do so. Most of my activities are published in my newsletter and my success is quite public. I'm not a teacher who doesn't trade. Instead, I am a trader who enjoys teaching.     BIG Money Trading Options!   Example:  Let's say ABC stock is trading at $45 per share. You believe it is going to rise to $50 per share. In a conventional stock investment, you might buy 200 shares of ABC for $9,000, expecting the stock to rise. Let's say ABC stock goes to $50 a share just as you expected, and you sell your 200 shares. You now have a grand total of $10,000 (200 shares x $50 = $10,000).  In other words, you made a $1,000 profit on your original $9,000 investment -- a modest return of about 11%.  Not bad, right? But in option trading, you could make spectacularly more money on the same percent move in the value of the stock, with a far smaller investment. Here's how: You would start by buying an ABC 45 call at 5. (All this terminology is explained in plain English in my book).  This means that you are paying $500 for a contract on ABC stock. In essence, this contract gives you the right to buy 100 shares of the stock at $45 per share.  A "call" option means you are bullish and expect the stock to go up in value. The idea is to be able to sell your contract for more than you paid for it after the stock's rise in value pushes up the value of your contract. For a mere $500 you now control 100 shares of stock! At that rate, you can afford to buy more than just one contract. Let's say you buy 4. Your total investment would be only $2,000 for 4 contracts. And with those 4 you control a whopping 400 shares of the stock. (Remember, with the conventional stock investment above, it cost you $9,000 to own 200 shares.) Now let's say that ABC stock jumps to $50 per share just as you expected. As the value of the stock goes up, so does the value of your options. You options might rise from 5 to 10 (from $500 to $1,000) per contract.  Guess what?  You just made some serious money! Since your option contracts were originally purchased when the option was at 5 points ($500) and now they're worth 10 points ($1,000) ... you just turned you initial $2,000 investment into $4,000 (4 contracts, now worth $1,000 each)! 100% Profit on Your Money!    Building A Position   In my book I'll teach you the concept of Building a Position. This is another vital part of trading that is based on sound reasoning.  The most common mistake made by option traders is not minimizing their risks. When they suffer a loss they let it escalate, or worse yet, take steps to turn it in to an even bigger loss by "averaging down." This is usually a fatal mistake. It is a faulty concept. The major premise is dead wrong!  It violates the very essence of risk management, particularly with options, and should never be done.  Most of the time it will just magnify your losses, and it puts in place a dangerous precedent for the next trade, even if you happen to get one right every now and then.  Stop Loss orders?  Get real. I hear the daily racket about how you have to set your stops tight. "Never take more than a 10% loss on a trade. Get out immediately if a trade goes against you." Who are they talking to? Surely not option traders. The bid-ask spread alone can have you down 20% the instant you open a trade.  If you try to set stops you'll constantly be stopped out with losses and never have a chance for a profit. We teach a logical plan to keep your losses at a minimum, yet allowing you the possibility of big gains.   By using this strategy, you will never be in a large position, unless it is profitable. You send out "feelers" first, and only when they become profitable do you add to the trade. This is a very important philosophy to learn and I'll walk you through actual trades that made me a pile of money.    The Bread-and-Butter Strategy of Professionals   While the big money is made buying options, the consistent money is made selling them. Professional traders earn their bread and butter by what's known as "selling premium." Everything from selling covered calls to naked strangles is spelled out in my book. These are strategies that professionals use in all kinds of markets, especially markets that are range bound, where it's difficult to make money buying calls or buying puts.  But what about the risks?  Oh my! We've all heard talking heads on TV scare the daylights our of us with this term called "unlimited risk."  "Selling options can be very dangerous" they scoff.  Academically, they are correct. But they are wrong with their inference that if you sell a "naked call" on a $50 stock, that stock can go to infinity and you could lose a zillion dollars plus your house, car and first-born child. In real life a $50 stock doesn't go up to a zillion (or some other lofty number that causes losses equal to the national debt.)   Even though they are technically right about the unlimited risk, they always fail to tell you that you can cap that risk very easily upon entering the trade. You can easily limit your risk to just a couple of points or so, even if the stock did go to a zillion. This can be done with simple option spreads, a fantastic way to trade options! Options are so flexible that even the most conservative trader could be comfortable employing some of the strategies. I manage an options account for my parents and employ a very conservative strategy for them. I sell out-of-the-money options and collect the premiums.  I go a step further and buy an insurance policy (an option still further out-of-the-money) just in case a trade goes against me. I certainly wouldn't take extreme risks with their money, but I know that options can be traded in a very conservative manner.  "The lessons about the repeated mistakes of short sellers trying to pick a top in Amazon's stock is worth the price of the book alone." Joseph P.      How to get Your Copy!   Trading Options -- Developing a Plan is available in two mediums. There is a printed version and an electronic version (eBook.)  The printed version is $39.95 plus postage. When you purchase it you will also get the ebook version absolutely free. You can download the eBook immediately and start reading it while you are waiting for the mail to deliver your printed book. If you prefer the eBook version only, you can purchase it for only $19.95 and download it immediately. (This is a non-printable eBook) As a promotion for the Stricknet Options Newsletter that I publish, for a limited time only we are offering the eBook absolutely free to anyone who signs up for our newsletter. Our newsletter subscription is only $35 per month.  (Orders taken on PayPal's Secure Server) Printed Version plus Free eBook  - - -  $39.95 + 6.00 Shipping US Residents   Printed Version plus Free eBook  - - -  $39.95 + 18.00 Shipping International Residents   eBook Only - - -  $19.95 (immediate download)    Stricknet.com Options Newsletter     * Shipped US Priority Mail (allow 3-4 days)    About Us     Fred Strickland Founder and Publisher Stricknet.com, Inc. 166 Village Drive Slidell, LA 70461 Jonathan Strickland, CEO GrayMetalBox.com 166 Village Drive Slidell, LA 70461 Option traders serving option traders!