A New Chapter: McMillan has joined INVST. Learn More →

Calendar Spreads (Dual)

Some Nuances Of Volatility Trading (17:17)

Posted on August 13, 2019 - 9:59am

By Lawrence G. McMillan

This article was originally published in The Option Strategist Newsletter Volume 17, No. 17 on September 12, 2008.

We often get questions regarding the operation of volatility trading strategies. While we endeavor to explain why we are establishing certain trades, or why we are taking follow-up action, we really haven’t put it together in a sort of “how to” article. That’s the purpose of this week’s feature.

Past performance is not necessarily indicative of future results.
Trading or investing whether on margin or otherwise carries a high level of risk, and may not be suitable for all persons. Leverage can work against you as well as for you. Before deciding to trade or invest you should carefully consider your investment objectives, level of experience, and ability to tolerate risk. The possibility exists that you could sustain a loss of some or all of your initial investment or even more than your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading and investing, and seek advice from an independent financial advisor if you have any doubts.
Visit the Disclosure & Policies page for full website disclosures.