A Simple Spread in Crude Oil

Here is an interesting pattern in Crude Oil calendar spreads. The recent sell off in Crude was sharp and violent and suggested bear spreads (short near month, long far deferred) would benefit. Interestingly, bear spread took a long time to react, almost as if it was waiting for the market to hold lower levels before playing catch up. Firstly, check …

What is seasonal trading?

Question: What is seasonal data? Answer: The ProTrader Digest uses seasonal data in every trade selection. Seasonality refers to a pattern that depends on, or is controlled by, the time of the year. Seasonality appears in many places. For example, sales of Christmas cards logically peak before Christmas. Accounting business peaks around end of the financial year. Sales of red …

Q&A: Trading Account Size

Question: Hi Guy I have read the book Three Little Spreads Went to Market. Very informative thanks. I have been looking for an alternative to shares that doesn’t have the extreme risk of some other derivative products. Just a quick question: do you see a specific amount in an account to make this type of trade viable? Is it $5,000 …