How to Develop a Directional Bias Without Technical Analysis

3 years ago

In order to create an asymmetrical trade, that has small risk and relatively large potential profit, you must place a traditionally neutral options strategy out of the money (OTM). This means that your options strategy is in effect a directional strategy now. And it also means you need to have a better than 50/50 chance of picking the direction the market is going, then place your strategy in the path of the market.

Most traders will resort to Technical Analysis (TA), however it is ineffective. There are much better ways that don't resort to numerology and pseudo science. That is the purpose of this episode, to describe how we do that for 0-DTE trades.
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