FullyInformed.com

Spy Put Options Trades For Dec 28 2012 – Volatility Boosts Profits

Dec 29, 2012 | SPY ETF Hedge Strategy (SPY)

Regular readers of my website know that the Spy Put Options are my number one choice for profiting from market direction downturns. Trading within the SPY PUT Options helps to hedge my portfolio against large losses as it builds a cash cushion that grows with each successful trade. This cushion protects my entire portfolio through every kind of stock market gyrations imaginable.

But the bigger SPY PUT profits come when market volatility shoots up such as during bear markets and panics. Friday Dec 28 was a good example as on Friday I did two trades that took advantage of the heightened volatility and brought in the largest returns for this year in my SPY PUT Option Trades.

SPY PUT Trades For Profiting From Volatility

Volatility is filled with risk but also bigger profits. The more volatile stock markets become the bigger the losses and profits which investors can expect. Many investors shrink from volatility and others simply sell out as was evident on Friday particularly during the last half hour. The VIX Index rose over 16% on Friday as it reached levels not seen since May and June of this year. This kind of investor concern is what mushrooms my SPY PUT Hedge.

Trading the SPY PUT Options against this increase in volatility requires knowledge, experience and solid strategies that can boost profits while also keeping an eye on the potential for losses.  There is only one way to gain experience and that is through trading the SPY PUT Options during heightened volatility. Even paper trading the SPY PUT Options can assist in teaching how to gain the confidence needed to earn bigger profits in times of volatility.

SPY PUT Profits From Experience

Trading within the Spy Put Options on a day like Friday is important for building experience and confidence for those periods when a true Bear is mauling the market and investors are fleeing. During the most recent Bear market of 2008 to 2009, some days can generate returns of over 200%. These are profits that are not to be missed but those days can also lead to staggering losses as well. There is great satisfaction is pocketing 200% returns in a single day, but it is also horrifying to end up losing thousands of dollars in a single day as well. Experience and knowledge are the key elements that builds confidence in trading during periods of heightened volatility. Days like Friday help toward learning how to trade in volatile markets.

The Spy Put Options Trade as regular readers know is my method of protecting my portfolio from large losses while at the same time profiting handsomely from market gyrations, corrections, bears and even panic. The greater the volatility the better the earnings.

This article looks at the method I use to boost my Spy Puts Trade when the market direction is falling and volatility is climbing. Friday was a perfect day for my Spy Puts Trades and I did two trades that earned percentage wise, more than any of the Spy Puts Trades I have done all year. These kinds of trades are common only during periods of higher volatility.

This is a FullyInformed Members article. It is 9 pages in length containing 3009 words. This Strategy Article looking at how to trade the SPY PUT Options during periods of heightened volatility can be directly accessed through this link or Members can login here. Non-members can join here.

SEARCH

Select to view all results...

Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors

Related Articles

Spy ETF Hedge Trades And Intraday Market Updates For Wed Apr 24 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Wed Apr 24 2024 following a bounce higher for a second day on Tuesday. The support and resistance levels are updated following Tuesday’s rally. I take profits as they …

Spy ETF Hedge Trades And Intraday Market Updates For Tue Apr 23 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Tue Apr 23 2024 following a bounce higher on Monday. The support and resistance levels are updated following Monday’s rally. I take profits as they appear, as markets are …

Spy ETF Hedge Trades And Intraday Market Updates For Mon Apr 22 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Mon Apr 22 2024 following another down day for equities on Friday. The support and resistance levels are updated following Friday’s sell-off. I take profits as they appear, as …

Spy ETF Hedge Trades And Intraday Market Updates For Fri Apr 19 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Fri Apr 19 2024 following another down day for equities on Thursday. The support and resistance levels are unchanged from Thursday. I take profits as they appear, as markets …

Spy ETF Hedge Trades And Intraday Market Updates For Thu Apr 18 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Thu Apr 18 2024 following another down day for equities. Wednesday was the fifth straight down day for stocks. The support and resistance levels are updated after Wednesday’s lower …

Spy ETF Hedge Trades And Intraday Market Updates For Wed Apr 17 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Wed Apr 17 2024. The support and resistance levels are unchanged following a flat close on Tuesday. I take profits as they appear, as markets are volatile and profits …

Spy ETF Hedge Trades And Intraday Market Updates For Tue Apr 16 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Tue Apr 16 2024. The support and resistance levels are updated following a fall down to 5060 on Monday. I take profits as they appear, as markets are volatile …

Spy ETF Hedge Trades And Intraday Market Updates For Mon Apr 15 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Mon Apr 15 2024. The support and resistance levels are updated following a fall to the 50 day moving average for the SPX. I take profits as they appear, …

Spy ETF Hedge Trades And Intraday Market Updates For Fri Apr 12 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Friday. The support and resistance levels are updated following a wild day on Thursday. I take profits as they appear, as markets are volatile and profits can disappear quickly …

Spy ETF Hedge Trades And Intraday Market Updates For Thu Apr 11 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Thu Apr 11 2024 following Wednesday’s sell-off. The support and resistance levels are updated following a wild day on Friday. I take profits as they appear, as markets are …

Spy ETF Hedge Trades And Intraday Market Updates For Wed Apr 10 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Wed Apr 10 2024 following Tuesday’s sell-off and recovery rally. The support and resistance levels are unchanged. I take profits as they appear, as markets are volatile and profits …

Spy ETF Hedge Trades And Intraday Market Updates For Tue Apr 9 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Tue Apr 9 2024 following Monday’s sideways action. The support and resistance levels are updated after yesterday’s close. I take profits as they appear, as markets are volatile and …

Spy ETF Hedge Trades And Intraday Market Updates For Fri Apr 5 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Fri Apr 5 2024 following Thursday’s major sell-off. The support and resistance levels are updated after yesterday’s close. I take profits as they appear, as markets are volatile and …

Spy ETF Hedge Trades And Intraday Market Updates For Thu Apr 4 2024

Here are the SPY ETF Hedge Portfolio opening trade notes for Thu Apr 4 2024 following Wednesday’s small rebound There were 6 SPY trades on Wednesday. For today I am expecting some interesting trades. The support and resistance levels are …