Results 1 to 4 of 4
  1. #1
    Rookie Member

    Which option strike price and expiry date to pick ? !!!

    Dear Colleuges,

    What is your opinion?

    If you have the following information:
    1- the size of the next move of the stock.
    2- the expected time.
    3- fixed amount to invest in the options of this stock.
    4- the stock options data.

    Can you calculate "how many" options will you long ?
    Which "strike price" to pick?
    Which "expiry date" to pick ? and
    How long it takes to answer the case study ?

    Thanks in advance for your advice.
    Last edited by Said Yehia; 06-16-2016 at 08:05 PM. Reason: Explain

  2. #2
    Legendry Member Michael Hodges's Avatar
    Well, the strike price really depends on what types of binary you are trading, the strength of the signal and most importantly the price of the asset at the time of the signal. With most binary there are no set strikes, so the price of the asset at the time of the signal/entry of option will be your strike. If you are trading Ladder options, or on a binary exchange like NADEX I always suggest using the AT THE MONEY strike at the time of the signal/entry for best results. If the signal is strong, or has a longer term time horizon, an out of the money strike may be appropriate and will give you a better return.

  3. #3
    Rookie Member
    Thanks for your reply.
    I need to know what is the exact strike price and the exect expiry date, and based on what ?

  4. #4
    Legendry Member Michael Hodges's Avatar
    Quote Originally Posted by Said Yehia View Post
    Thanks for your reply.
    I need to know what is the exact strike price and the exect expiry date, and based on what ?
    expiry is based on your strategy, the time frame of the chart, the strength of the signal .... the strike price is the price of the asset at the time of purchase, the time the signal is given.

    read these

    http://www.binaryoptionsthatsuck.com...ptions-expiry/

    http://www.binaryoptionsthatsuck.com...-the-pros-way/

    http://www.binaryoptionsthatsuck.com...d-what-to-use/

Tags for this Thread

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
3