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Protecting A Stock Portfolio With $VIX Options (15:06)

By Lawrence G. McMillan

This article was originally published in The Option Strategist Newsletter Volume 15, No. 6 on March 30, 2006. 

As our regular subscribers know, the CBOE recently listed cash-based options on its Volatility Index ($VIX). We have published several recent articles describing the details of these options, so we’ll review those only briefly in this article.

Weekly Stock Market Commentary 6/12/2020

By Lawrence G. McMillan

The overbought conditions intensified this past week with a couple of huge up days on June 5th and 8th, but then exploded into one of the worst down days in history on June 11th. The wild ride seems destined to continue.

Larry McMillan Stock Market Update Video 6/8/2020

By Lawrence G. McMillan

Join option strategist Larry McMillan as he discusses the current state of the stock market and what our option-oriented indicators are saying.

Some Practical Considerations for Option Traders (07:06)

By Lawrence G. McMillan

This article was originally published in The Option Strategist Newsletter Volume 7, No. 6 on March 26, 1998. 

In the course of conversations with other traders or customers, there will occasionally be subjects that come up repeatedly. In this article, we’re going to look at three of them – sort of an article of short subjects. The first is probably the most complicated, as it addresses what volatility to use when trying to project the profitability of an option position. Second, we’ll share some practical insights on trading in futures options – particularly in the New York markets. Finally, we’ve had a lot of questions about one particular usage of our oscillator, so we’ll address that topic as well.

Things Could Really Get Insanely Bullish (Preview)

By Lawrence G. McMillan

In the November 1929 - April 1930 rally, stocks rose 48% and volatility (all that we have to go on from that time period, of course, is realized/historic volatility) dropped from 112% to 8%!! Then we all know what happened after that: the wheels came off, and the market made new lows by October 1930, and the rout was on.

Larry McMillan Stock Market Update Video 6/1/2020

By Lawrence G. McMillan

Join Larry McMillan as he discusses the current state of his option-oriented stock market indicators.

Weekly Stock Market Commentary 5/29/2020

By Lawrence G. McMillan

Stocks broke upward out of the trading range this week, and have made new intraday highs for this rally each day since. Thus, the rally that began from the extreme oversold conditions on March 20th remains intact. There should be support in the 2940-2950 area, which was the top of the recent trading range. As for overhead resistance, the 200-day moving average was supposed to offer resistance, but so far it hasn't.

How Much Should You Risk? (13:13)

By Lawrence G. McMillan

This article was originally published in The Option Strategist Newsletter Volume 13, No. 13 on July 8, 2004. 

This subject of risk is one that we have addressed in the past. In this article, we’ll not only review the basics of risk management, but will also introduce a more advanced technique designed to even better assess your risk and adjust your position size accordingly.

There are two facets to trading: position selection and risk management. Many traders feel that the latter is more important than the former. In fact, some have gone so far as to say that any reasonable method of selection will work as long as one has an excellent method of risk management.

Weekly Stock Market Commentary 5/22/2020

By Lawrence G. McMillan

The action over the past few days has been just above those old relative highs at 2955, but has certainly not been a true breakout from the previous trading range. The high this week was 2980.

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