Jeff Carter (RSS)
Jeff Carter is the Senior Editor of Maximum Options. Jeff began as an investment advisor in 1986, and has edited several financial newsletters. He holds an economics degree from theUniversity ofCalifornia.Jeff has a three-pronged options trading strategy. First, he identifies stocks that are undervalued and have little downside risk. Then he uses timing indicators that tell him when the market is reawakening to the stocks, and the odds of a prolonged uptrend have increased. Next, Jeff looks for LEAP options on stocks that are undervalued. He also looks for fundamental undervaluation by comparing the LEAP's breakeven price with future price estimates for the stock. Finally, to reduce risk even more and magnify return, Jeff recommends shorter-term "covered calls" to sell against the LEAP positions. In the past, he has been able to reduce a LEAP's purchase price down to zero using this tactic, ending up with what amounted to a "free" investment.