HOW TO TRADE A SMALL ACCOUNT

So here is the trade:

1. Entry to Open and filled: 40 FB weekly 62 calls for $.41
2. Targets: $.55 and up every $.15
a. Sold 10 FB Calls for $0.55 (40 percent return)
b. Sold 10 FB Calls for $0.70 (75 percent return)
c. Sold 10 FB Calls for $0.85 (100 percent return)
d. Sold 10 FB Calls for $1.00 (250 percent return)
The 62 calls were bought because they realistically reflected where the
market was going to move, given the ATR for Facebook and information
revealed in the Ichimoku cloud. A 64 Call is too far out of the money, and
anything less than 62 is too far in the money.
How to Select a Target on a Trade
FB Statistics for YTD on May 2, 2014
Trading Days 83
Up Days 36 43.37%
Down Days 46 55.42%

Average Range 2.20

Standard Deviation 5.17

It is very important to have the right information to make decisions at your

fingertips. If you don’t know the ATR and track record for FB over the past
year, then you are flying blind. You can manually record this information if
you follow Facebook daily, or you can subscribe to services that publish
this data.
Conclusion
Trading weekly options can add significant income. If you become familiar

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