The selling at the open this morning on both the TSX and the SPX was showing signs of panic selling. While there was a rally attempt which certainly did not last, one of the interesting events today is the selling of the Canadian Bank Stocks.
This in my opinion is a chance to watch for opportunities to roll down covered calls further while also looking for opportunities to sell some puts far out of the money and possibly into January.
Here is a strategy I have used many times when volatility rises such as it did in 2012 and 2011, let alone the bear markets of 2008 to 2009. This strategy takes advantage of high volatility to set up a trade which can be rolled month after month.
Royal Bank Stock Strategy For High Volatility Investing
This strategy is for FullyInformed Members.
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Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk. Stocks, options and investing are risky and can result in considerable losses. None of the strategies, stocks or information discussed and presented are financial or trading advice or recommendations. Everything presented and discussed are the author’s own trade ideas and opinions which the author may or may not enter into. The author assumes no liability for topics, ideas, errors, omissions, content and external links and trades done or not done. The author may or may not enter the trades mentioned. Some positions in mentioned stocks may already be held or are being adjusted.
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