New Trade!

New Trade! Hello Smart Option Sellers! As previously mentioned, when the stock market goes up in a straight line as it's done for what seems to be forever, it gets a tad harder to find those juicy put-sell trades that we love so much. Part of the problem is that when the market does go up unabated, it pushes the actual volatility of those moves down (less erratic). And since volatility is one of the main determinants of an option's price, we have seen that effect firsthand in that the price of all options have been pushed lower as well. This is a frustration to long-time put-sellers, including us. What we are left with is the only choice to accept these smaller payments - for now. If you have been with me for long time, you know how I lament about this situation. But, we can only play with what the market gives us. The good thing is that volatility is measured for not only the broad market, but for individual stocks as well. Sometimes they can move completely in opposite directions from each other, which is good for us. I always write about how we need to see a good pull-back now and then, because that sends panic through the markets, which in turn heats up the volatility, which in turn pumps up the option prices. But alas, we still haven't seen a decent drop in awhile, so we continue to forge ahead trying to find quality put-sell trades. And the good news is that I have found such a play today that I really like. Five Below (FIVE) I'm a big fan of the discount retailers such as Wal-Mart (WMT) and Target (TGT). And I'm a really big fan of the super discount retailers such as Dollar Tree (DLTR) and Dollar General (DG). I believe all these brick & mortar low-priced stores play a very important role to not just mainstream shoppers, but to anyone looking to get quality goods at cheaper prices. And yes, they have been able to compete with Amazon (AMZN). One of the stores in this category is Five Below, and they have been in business sinc