I hope you find this information helpful. If you have further questions after reading this, feel free to reach out to me on Twitter @calmhedge. I do not normally respond to DM’s but you can reply to any of my tweets and start a thread.
FAQ’s
- Capital allocation is vital to your long-term success for a myriad of reasons. Do not put all your eggs in one basket or leverage your whole account on a single spread. If you feel overly stressed, emotional, angry, having trouble sleeping or anything in between, consider reducing the amount of money you are hedging on your spreads.
- Paper Trade when you are learning new spreads and strategies. After that start small when using real money.
- It is incredibly rare that we will ever speculate on market direction. The purpose of these spreads, and Calm Hedge as a whole, is risk management and proper use of capital. If you see someone using terms like “Bet” or “YOLO Bet” or something like that, then we would suggest not following this person’s lead.
- While it is far from perfect, Think or Swim is the best platform to use when trading our spreads. Especially when you are learning all of this information for the first time.
- Always be mindful of market conditions when opening a new spread.