If you take a subscription, you will receive an e-mail once a week, clearly stating which option position I am taking. This information is calculated by the system I developed myself. If you also want to use this information, you will need an investment account. It does not matter which bank or broker you use.
The system is based on writing 2 options on the index. In option terms: a “Short Strangle”. This creates a bandwidth within which the stock index may move. If the index does not move below or above the bandwidth set by the system within a week, then you may keep the money you received for entering into this option position, and make a profit. For this you need 3,000 euros as margin, though this amount varies by bank/broker.
Of course, you can also do this with more option positions, in which case you will need a multiple of 3,000 euros.
If the index approaches the limit calculated by the system, the option position is closed. This means that the transaction is closed at a loss. Please note: investing with options involves costs and risks that do not occur when saving. You can lose (part of) your deposit or more. The risk is greatest in the event of a gap. The options exchange is open daily until 17:30, and reopens at 09:01 on the next trading day. Outside these trading hours, events may occur that affect the stock exchange. The previous day’s closing position may therefore differ from the new opening price. If this new opening price differs so much from the previous trading day’s closing price, this may have a major impact on the new option premiums. Possible stoploss levels can be skipped, as a result of which the loss can be greater than a given stoploss level.
Risk management is therefore crucial. That is why the system is made up of risk mitigation measures. For example, the system does not take a position if large risks are expected.
The system chooses such a safe lower and upper limit that it hardly ever has to be closed at a loss. And so you earn money every week! Historically, the results have been over 20% per year and the bandwidth allows you to make money if the stock market rises, falls or stays the same.
Want to participate? Then take out one of our subscriptions.