Table of Contents Preface - Why a Contingent Method? List of Figures and Tables Chapter 1 - Chart-Based Trade Timing The Key to Profitable Trades Advantageous Price Levels Price Patterns Candlesticks (Eastern) Western Price Indicators Non-price signals Strong Fundamental Trends Chapter 2 - Proximity and Risk Proximity and Moneyness Proximity to Expiration Proximity of Price to Resistance or Support Strongest Reversal Proximity Proximity in Consolidation Trends Risks in Every Strategy Collateral Requirements Options and Market Risk Chapter 3 - Picking the Right Stock Fundamental Risk The Effect of Fundamental Trends on Options Risk Contingent Purchase and Stock Selection Contingent Sales as Risk Hedges of Stock Dividend Yield and Trends Debt to Total Capitalization Ratio and Trend P/E Annual Ranges Revenue and Earnings Trends Chapter 4 - Timing with Well-Selected Technical Signals Entry and Exit Timing Resistance and Support Bollinger Bands T-Line Gaps and Tops or Bottoms Rounded Tops or Bottoms and Island Reversals Candlestick Reversal Candlestick Continuation Volume Indicators Momentum Oscillators Moving Averages Chapter 5 - Long-Term Market Risk Elimination The Nature of Underlying Risk The Risk Hedge with Long Puts The Trade: Long-Term Long Put and Short-Term Short Positions Calculating the Point of Risk Elimination Possible Outcomes Chapter 6 - Long-Term Contingent Purchase Locking in the Future Price The Risk Hedge for Future Purchase Calculating the Point of Risk Elimination Possible Outcomes Chapter 7 - Short Options and Levels of Risk Unavoidable Risks Covered Calls for Risk Reduction Uncovered Puts for the Same Risk Profile Uncovered Calls and Varying Risk Levels Picking Calls or Puts Based on Price Proximity Exploiting Time Decay Chapter 8 - Alternative Offsets Beyond Short Calls or Short Puts Synthetic Stock Vertical and Diagonal Spreads Straddles and Strangles Iron butterfly Closing the Long-Term Option at a Profit Chapter 9 - Combining the Short Offset Alternatives Current price proximity Historical Volatility Combining the Alternatives Multiple Increments and Combinations Chapter 10 - Expanding the Strategies Rolling techniques Long Collars Long-Term Long Straddles and Strangles Short-Term Short Straddles, Strangles and Spreads Covered straddle and strangles Straps and Strips Multiple Option Contracts Chapter 11 - Managing Potential Losses Short Positions at Risk The Advantage of Time Decay Reducing Risk Exposure: Moneyness and Timing Avoiding Ex-Dividend Periods Avoiding Earnings Week Short-Term Expiration Advantages Chapter 12 - Recovery Strategies Protective and Responsive Loss Offsets Selective Rolling Closing and Taking Losses Entering New Positions with Higher Risks Expanding Exposed Spread Positions Chapter 13 - The Flexibility of Options Hedging The Hedging and Leverage Advantage Installment Variations Based on Changing Conditions Adjusting to Sudden Price Movement Reducing Risks with Long-Term Hedging Bibliography Index.