Risk Management

Learn how proper position sizing reduces risk, maximizes returns, and helps traders survive market volatility for long-term success.

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Buy Your Umbrella Before the Storm: Why Smart Traders Purchase Volatility Protection When It's Cheap

Academic research proves VIX is a superior hedge that costs 3x less when bought during calm markets. Three practical methods for systematic volatility protection with a 1-2% annual budget.

Andrew Crowder

How to Size Credit Spread Positions: Max Loss, Account Risk, and the 2% Rule

The exact 5-step formula for sizing credit spreads by max loss. Covers the 2% rule, 3-5% for experienced traders, spread width comparisons, and the 20-25% aggregate portfolio cap.

Andrew Crowder

The Emotional Cycle of an Options Trade: Fear, Greed, and Everything Between

Every options trade follows a predictable emotional arc. Learn the 6 phases, why premium sellers are especially vulnerable, the real cost of emotional decisions, and 5 circuit breakers that keep emotion out of the trade.

Andrew Crowder

The Holy Grail of Trading: Low-Risk Ideas

The real holy grail of trading isn't one perfect setup. It's a portfolio of small, defined-risk, positive-expectancy trades where no single outcome can damage your account. Here's the framework.

Law of Large Numbers in Options Trading: Your Statistical Edge

How the Law of Large Numbers powers probability-based options trading with 70-85% win rates. The math, the strategy, and a real SPY bear call spread example.

Position Sizing: Van Tharp's Golden Rule

The one variable that separates traders who survive from traders who blow up

Andrew Crowder

Expectancy: The Single Number That Predicts

Learn why win rate is a vanity metric and how to calculate expectancy, the one number that reveals whether your options trading strategy will actually make money.

R-Multiples: The Universal Language of Trading Results

Why professional traders measure performance in risk units, and how this simple shift transforms your trading psychology

The LEAPS Collar: A Smarter Way to Protect Your Position

Learn how to protect Microsoft (and other stocks/ ETFs) using LEAPS collars with $11,770 instead of $40,000. Step-by-step guide with real numbers, strike selection & management.

Three Bearish Options Hedges: Calm Tape, Cheap Fear, and a Useful Moment to Be Boring

Three bearish options strategies to hedge a long portfolio, put spreads, bear call spreads, and VIX call spreads, with realistic examples and practical management rules.

PMCC Management Rules

A practical PMCC management playbook covering LEAPS selection, short call rules, roll triggers, dividend-related assignment risk, and the sizing discipline that keeps capital efficiency from becoming concentration risk.

The Risk Thermostat

Position sizing determines whether your options strategies survive. Learn the Risk Thermostat framework that keeps your portfolio functional when markets turn.