A Daily Options Trading Strategy For High-Flying Stocks

By Kevin M.

By Kevin M. O'Brien:CF Industries Holdings (CF) is one of my favorite stocks to trade with options. It is one of the better stocks to use in my daily options trading strategy, which I wrote an article about for Seeking Alpha last year.

By Kevin M. O'Brien:One of the most important lessons I learned early in my trading career years ago was by an instructor at the Chicago Board Options Exchange (CBOE).

By Kevin M. O'Brien:There are three stocks that I consider extremely overvalued right now: LinkedIn (LNKD), Facebook (FB), and Salesforce.com (CRM).

By Kevin M. O'Brien:Facebook (FB) stock options are scheduled to open on Tuesday, May 29, 2012. In my opinion, this is going to represent a great opportunity to use stock options on a daily basis, where volatility should be robust. This is the type of stock that rolls around once every ten years, where price movement will fluctuate wildly on a daily basis, which is exactly what I look for with my daily options trading strategy.

By Kevin M. O'Brien:This is Part 5 in a series of article on my daily options trading strategy. If you have not read any of the previous four articles here on Seeking Alpha, you can click on the following links: Part 1: Part 2:

By Kevin M. O'Brien:Frequently, I am asked how I go about placing my trades so quickly, as this strategy is so depending on getting into and out of the trade as quickly as possible.

By Kevin M. O'Brien:I am often asked why certain stocks are not included in my daily options trading strategy that would seem like obvious choices.