Staggered Spreads
The ultimate investment strategies involve trades that have no risk but huge upside potential. This is what can be produced with candlestick analysis and option spreads. The results of candlestick signals and patterns are highly predictable. That information extrapolated into chart pattern breakouts produces an opportunity to establish an option spread position that results in a riskless transaction. The alignment of high probability factors allows an investor to control a large amount of stock without any money at risk. This is not a difficult strategy! This is merely putting the information provided by candlestick analysis into a logical series of events that makes for a riskless transaction. Option traders definitely need to learn and understand this technique. It creates the opportunity to leverage a small trading account into controlling large stock positions.