Hari Swaminathan – Calendar Spreads

ABOUT THIS COURSE

MASTER CALENDAR SPREADS

Calendars Spreads are popular trades and come under the category of Time spreads. In a Calendar spread, we sell the front month Option series and buy the back month Option. The Calendar is generally constructed at the money, however, you can create bullish or bearish variations. It starts out as a delta neutral but can quickly move into a biased position. The Calendar is also one of the few strategies that is a Theta positive and a Vega positive trade. Because it is Vega positive, your Calendar will do better if Volatility increases after you put the trade on. The primary method of profit in Calendar Spread Strategy is to take advantage of a higher level of time decay in the front month. We put a Calendar trade on the GLD, and this quickly turns into a Double Calendar when price moves too much in one direction. In fact, this trade is an absolute roller-coaster and you will learn a very valuable lesson – Don’t give up on your losers. If you simply close your losers and move on to the next trade, you will make the same mistakes and lose again. Fight your losers and turn them back into a break-even and you would have never felt better with a trade.

What you will master

Why is the Calendar spread trade a unique trade in the Options playbook
How do we conceptualize Options from two different expiry series
What does Vega positive and Theta positive mean
What danger points should we watch for in Calendars
What are the popular adjustments for Calendars
Why can a Calendar sometimes become a directional position
Why are time spreads a little hard to adjust
What is the first and simplest adjustment to a Calendar Spread Strategy
What are the advantages of a double calendar
How should we deal with a trade in serious trouble
Why are exact profit and loss calculations difficult to calculate
Category:Business
Tags:calendarspreads timespreads horizontalspreads timedecay nondirectionalstrategies volatilitystrategies theta vega business

WHAT’S IN THE COURSE?

Over 6 lectures and 1 hour of content!
Master the art of putting on Calendar spreads
Learn why Calendar spreads are unique with its Greeks
When does the Calendar spread get into trouble
This is the toughest calendar spread trade that we put on the Gold ETF (GLD). Learn how this trade was managed
How you can turn losing trades into winners

COURSE REQUIREMENTS:

Option basics – Long and short Options
Dynamics of different expiry series
Thorough understanding of the Option Greeks

WHO SHOULD ATTEND?

This is an advanced strategy, and you must know single Options and spreads
If you want to make consistent income with Calendar spreads
Learn to adjust Calendar spreads like a professional

CURRICULUM:

Section 1 – Introduction

Lecture 1: Introduction to the Calendar Trade
06:06
Lecture 2: Discussion of the Calendar trade
06:30

Section 2 – Calendar trade setup on the Gold ETF (GLD)

Lecture 3: Trade setup on GLD
16:41

Section 3 – Calendar converted into a Double Calendar

Lecture 4: Volatility rocks the Gold ETF – Art of Adjustments -I
17:40
Lecture 5: Volatility rocks the GLD ETF – Art of Adjustments for a Calendar Part II
17:27
Lecture 6: Conclusion
05:44

Hari Swaminathan – Calendar Spreads