Here is a quick explanation of a powerful tool options pros use regularly. Let’s take a look at how it can be extremely useful for a trader like you. It rapidly compares the relative prices and volatility expectations across expiration terms. This is key to spotting which options are legitimate bargains and which you might want to avoid.
It is sometimes referred to as simply term structure. Take a look at this video that spells it out and makes it easier to understand.
The term structure chart is a great way to identify option with the greatest profit probability. Be sure to look for great examples of how to use this powerful tool in the Trending Stock Report.
Sincerely,
Don Fishback
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