Imagine going out to your mailbox and opening it and taking out an envelope. You eagerly rip it open and see a check for $10,000. Your heart thumps in excitement.
A dream? It could be a reality.
There are many strategies in trading that have the potential to create relatively steady income for traders. Many of them are options strategies.
Here’s one: Ratio Back Spreads.
A Ratio Back Spread is an option trade where you typically sell two out of the money options and buy one in the money option. But you have to make sure that the money you receive from the two sold short options is higher than the money you pay to buy the one option.
This trade has a very unusual distribution at expiration.
This is a picture of a ratio put back spread. Notice that you will make a small amount of money no matter what the price is above B. Then notice that you will lose a fair amount of money at A but then skyrocket to a monster profit if the price moves much lower.
So this means that you can put this trade on with a high degree of confidence that you will make money.
As you can see, a portfolio of these trades could be a great way to create a consistent income for yourself.
I’ve put together an amazing course coming up on November 3-4 called 2 Day Income and I teach the exact details of this and many other strategies to create a steady income from trading. Check it out here.
Frankly, most people should take this course because of how powerful and important the techniques are. This is not sexy. We are not trying to make a million dollars. We are trying to create a steady income from trading.
Here’s the link to learn more. By the way, we will be live streaming the course so you don’t actually have to come to our classroom to attend! Here’s the link.