In Episode 7 Richard and Shane, both experienced traders with nearly 25 years of experience each, discuss the significant changes in the crypto market this year. They delve into the challenges traders face due to low volatility and erratic moves, and share their strategies and adjustments to existing trading styles. The podcast also covers how to view profitability in a changing market, whether you are just starting out with options or already have significant experience.
- Understanding the Market: The crypto market has undergone significant changes this year, with low volatility and erratic moves making it difficult for many traders. However, Richard and Shane have survived similar market conditions in their 25 years of trading experience.
- Trading Strategies: They discuss various strategies they use, including selling weekly 40 Delta calls, managing trades based on market movements, and considering volatility when buying or selling options. They also highlight the importance of staying delta neutral to prevent the delta from getting out of control.
- Adjustments to Trading Styles: In response to the changing market, they suggest adjustments to existing trading styles. These include being more cautious with hedging, moving short positions further from the money, and locking in profits on intraday moves.
- Bullish: No specific bullish sentiment was expressed in the podcast.
- Bearish: No specific bearish sentiment was expressed in the podcast.
- Neutral: The overall sentiment of the podcast is neutral. Richard and Shane acknowledge the current market challenges but emphasize the importance of adapting strategies and making adjustments based on market conditions.