Christmas Trade
Just looked at the Christmas:
- March 15 2024 DIA Strke price 361 (one strike price in the money). 1 contract $11:15. SINGLE CALL option. Nothing to do with Vertical Spreads.
Just a reminder about the Christmas trade. Since 1950 the DOW (market) has gone up 9 percent during the period Dec 1 through Jan 15th. 9% is great, but if we use an option on the DOW (DIA) we can make more money. Often 30-80 percent. 8:1 leverage.
We get the power of LEVERAGE. Options leverage. A couple of other notes:
- Create a STOP. the maximum you are prepared to lose on the trade. OR a Stop based support. 356 comes to mind as a support level.
- Stay in the trade until jan 15th. then get out on that date. or if week end day before.
- We expect the market to go up.
I added the STOP. the system says just to stay in no matter what. Up to you.
PS: Likely u can get the 360 slightly cheaper. now. but did immediately