Options Trading – The Hidden Reality : [PDF Download]

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“Dissection is used to help generate decisions that can be acted upon. In order for a trader to make informed decisions he need to learn as much as possible about his position. He can do this by dissecting it. He can isolate the subsets of his raw position an differentiate between them.

Sometimes a trader does not gain any useful ideas from dissection. There are three possible reasons for this. The first is that the dissection c The second reason is that he may has confirmed what he already knows. not have tried enough possibilities and there may be another way to dissect the position that will generate ideas.

The third reason is that for that particular position it may be a waste of time and not worth the trouble. Traders should continually ‘rotate the chess board’, or turn their positions around so that new perspectives are gained. Dissection is clearly invaluable to traders who need ideas on how to better proceed in the market. Many would feel helpless without it.”

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