What is it all about?

Spreadtrader.us is a rather unique advisory service that focuses primarily on options spreading techniques, strategies which quite often allow us to be right.  

From time to time, we may also trade bond futures as a way of trying to take advantage of other trading opportunities. 

Sometimes our trades, whether or not they are profitable, are adjusted.  For possible clarification on some of these, please refer to the answers to questions 48 and 49 in the FAQs section.

 

Any Returns on Trades Overall?

Our track records reflect our trading strategies.  

Because of the use of our trading strategies, experience, hard work, and by being conservative and consistent in our approach, we may earn our profits whether the market goes up, down, or moves sideways.   

Please refer to our strategies for more information.  There is always defined risk on each spread trade. 

Although we really do not follow our "competition" since competing in the market place for our hard-earned money is hard enough, we would dare to say that it certainly is based on what we have seen in the past.  

We make an effort to participate in each and every trade alert; the number of spreads we use in our service account varies per trade, and may not necesarily be the same as the ones shown on the track record.  (Sometimes we may do 5 spread/trade, sometimes 30, sometimes we may do 1, all depending on the strategy and/or market conditions.)  We also reserve the right to change the number of spreads on any given instrument on the model portfolio based on the amount of money available on the portfolio (members would know how many spreads/contracts we would be using on a possible trade at the given time given the conditions).  For instance, if we do have 10k in the model portfolio and are looking to make a bond play in the not so distant future, we may reduce the number of contracts on an instrument such as IBM to leave room for the possible bond trade. 

We make use of option spreading techniques as a way to obtain decent returns with a relatively smaller portfolio size.  

In addition to using spreading techniques, we trade bond (/ZB), S&P (/ES) and Nasdaq (/NQ) futures.  Futures are NOT autotraded.  Only e-mail alerts are sent to our members who could follow and do these on their own.

 

One fee covers spreading strategies which include the following: credit, debit, and calendar spreads, iron condors, and butterflies.  We are also premium sellers, and trade bond, S&P, and Nasdaq futures from time to time. 

We make use of creative ways, within either a credit spread or an iron condor trade, in order to obtain great returns without having to wait until expiration.  Unless there is a "roll-over" of the long leg inside of a spread, we shy away from doing any "straight" puts/calls. 

Although we never initiate original straight call or put trades, we may have one after an original spread was originated.  For instance, if a four point debit spread for the DJX was generated and later we strongly feel that the market is making a fake move, we may buy back the short leg thus leaving the single put trade.  Such trades, however, are NOT the norm, and would not be long in duration.