More on Vertical Spreads

Slower movement this week. MT5 balance is up to $3797, after 3 profitable trades in a row, 2 negative.  Indicators can be misleading. There is more to see in the progression of candlesticks for the H1 and H4 timeframes.  News updates on the mobile app were somewhat interesting this morning.

Vertical spreads can be confusing unless time is taken to patiently work through the numbers (later today during lunch).  The basic spreads are easy to understand as mentioned in the previous blog. The current subject is "moneyness" of the spread; when one leg is say in-the-money, and the other is at-the-money, the spread is in the money. Only by drawing this stuff out for every situation is it made clear.

Goals for the near future remain the same, with one addition:

1. Learn the 5 swing trading strategies
2. Achieve higher success rate by entering trades more wisely
3. Control position size with every trade
4. Memorize personal budget - number of items and avg. amounts

The last one has to do with preparation for next year. Currently, the budget is visited once a month, transferring bill statements to a spreadsheet, adding receipts and trashing 'em. Now, it's a priority to know inside and out, so that more can be invested on a daily basis.  Big goals require a lot of action. Memorization can eliminate potential headaches later.