FAQ
What is ODDS Precision Strike?
Why is it called ODDS Precision Strike?
How big does my account need to be?
How do I access ODDS Precision Strike?
How do I use ODDS Precision Strike to find profitable trade opportunities?
Is there an historical track record?
How many trades can I expect?
How frequently do you look for trades?
Can you describe this methodology you use to find your trades?
Q. What is ODDS Precision Strike?
A. ODDS Precision Strike is an easy to use option strategy advisory service that offers traders the
opportunity to capitalize on high probability credit spreads. What is unique about the analysis behind
each ODDS Precision Strike trade is that, not only does it take into consideration volatility
and probability, the analysis also considers the technical performance of the stock, the earnings
performance of the company, and the recent price trend of the stock relative to a specific trade
break-even point.
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Q. Why is it called ODDS Precision Strike?
A. You probably know why it’s called ODDS. But you might not know why it’s called ODDS Precision Strike.
In the realm of national defense, ODDS Precision Strike is a term that describes accuracy in locating, tracking and
successfully engaging fixed and moveable targets. Precision in detecting and analyzing winning
high-probability credit spread trade strategies. Strike when opportunity exists. The supplemental methodology for our service was developed by two rocket science
nerds (like us, they too wear the nerd name proudly) who work at the premier government technology
think-tank where our nation's most important aeronautical military secrets are developed. ODDS Precision Strike
uses proprietary intelligence to evaluate the vast array of daily trade opportunities, targeting only those whose
signals consistently point to profitable credit spreads.
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Q. How big does my account need to be?
A. ODDS Precision Strike can be used with any account that has the minimal balance that brokerages
require to trade option spreads. However, if you start with minimum amounts, you may not be able to take every recommended trade.
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Q. How do I access ODDS Precision Strike?
A. We have a secure, private web site that is updated every evening. All you need to do is visit that
website.
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Q. How do I use ODDS Precision Strike to find profitable trade opportunities?
A. The power of ODDS Precision Strike is its ease of use. Each evening, ODDS Precision Strike
examines the best bullish and bearish credit spread opportunities for the next day. Each of these positions is
evaluated through means of probability, fundamental, technical and price trend vs. breakeven analyses. The very
best of these spreads, those that yield the highest return which meet all of our evaluation criteria, are offered
as a recommendation. Each recommendation comes with clear instructions for trade execution. Since ODDS Precision Strike
does all of the work, the only thing the user needs to do is log on to our website and receive the latest
high probability credit spread trade recommendation(s).
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Q. Is there an historical track record?
A. Yes. Remember, this is a historical test based on choosing only “most favored” trades and holding them until
expiration. We used no exit rules, except to close out the trades at expiration. Because this involved a substantial
amount of testing, it is not a real-world track record. That said, the developers of ODDS Precision Strike's
analysis methodology have been using it exclusively to trade their own accounts for over a year.
CLICK HERE to view
the test track record. To see the track record that we have been keeping real-time since the research phase ended,
CLICK HERE.
(The developers have taken many, but not every trade shown.)
In the past, our track records showed repeat trades. A repeat trade is an option trade in the same stock, same expiration month. Here's how it works. Let's say that someone subscribes on January 1. On January 10, we come out with a recommendation on DELL. That customer implements the DELL trade. Then on January 12, a new customer subscribes. Meanwhile, the DELL trade that was issued has not moved much. The trade still looks good on January 12. In order to allow the person that subscribed later an opportunity to join in what still looks like a good trade, we repeat recommendations.
As you can see, it's possible that one stock could actually have several recommendations from different days. But that's not the way most people actually trade our advice. In fact, we've found that everybody that we talk to, all of them take the first recommendation that they can get into, and then ignore the repeat recommendations. Including the results of the repeat recommendations might overstate the profits that a customer could expect to earn. Because we want our track records to reflect the reality of someone utilizing the trading advice our track records show none of the results for the repeat recommendations. As of May 2006, our track records only show the results of the initial recommendation for a particular stock in any given expiration month.
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Q. How many trades can I expect?
A. Although there is a vast number of credit spread trade opportunities presented in the market each day,
only a select few meet our stringent standards. It is important to note that there are days when
market conditions don’t produce a trade opportunity that we would recommend. This is typically followed by days
when more than one “most favored” trade is identified. However, during our research and real-time phases,
ODDS Precision Strike identified an average of one (1) recommendable trade every week.
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Q. How frequently do you look for trades?
A. Although we may not have a specific trade recommendation to deliver every day due to market conditions,
we do look for one (or more) each and every evening.
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Q. Can you describe this methodology you use to find your trades?
A. Am I glad you asked!! In the spirit of providing you with MORE information than you or any subscriber
needs to actually implement the trades, here is a description of the ODDS Precision Strike
tool. It’s boring and unnecessary, unless you’re into math and geek stuff like we are. So read the following only
if you want to.
Description of the model:
In recent years, the Black-Scholes option pricing model, which utilizes volatility, current asset price and time to expiration, has provided option traders with a proven, predictive method for determining the likelihood of winning for a given trade. With this model as a foundation, an enhancement has been devised to offer option traders an “added assurance” that a given trade will have a favorable outcome. This enhancement was developed by two of Don's ODDS students who, on a daily basis, apply rigorous scientific methods to the economic analysis of advanced top-secret technology for the aerospace and defense industries.
The enhancement consists of a proprietary methodology that considers not only historic volatility and the accompanying Black-Scholes probability forecast, but goes further to include historic company earnings growth, stock price performance and recent price trend vs. breakeven analyses. In short, this enhancement screens some of the best daily high-probability trade opportunities against these four leading indicators which signal asset price strength for bull put spreads, and asset price weakness for those of the bear call.
Back-testing of ODDS Precision Strike over the last 19 months (our research phase) has demonstrated that those trades whose four leading indicators meet our proprietary criteria realize a win and yield rate which is higher than that predicted by the Black-Scholes model (the theoretical win rate, and its accompanying yield). What this suggests is that, over our research phase, the ODDS Precision Strike service would have offered users the chance to reap higher premium rewards with lower degrees of risk. To see the historical test record, CLICK HERE. To see the track record that we have been keeping real-time since the research phase ended, CLICK HERE.
ODDS Precision Strike is a term that describes accuracy in locating, tracking and successfully engaging fixed and moveable targets. Precision in detecting and analyzing winning high-probability credit spread trade strategies. Strike when opportunity exists with clear instructions for trade execution. That is the focus of this service. Users will not only enjoy ODDS Precision Strike's ease of use, they will rest assured that every ODDS Precision trade recommendation has gone through a very rigorous analytical process.
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If you would like to subscribe, or if you still have unanswered questions, call our office at 800-834-6488.
