February 2022 Monthly Options Analysis

Analysis

After an admittedly brutal January it is reassuring to see the overwhelmingly positive data from this month's analysis. February tracks the strategy as a whole with almost perfect parity. This is particularly evident in the critical risk v. reward chart below, where you will see a near overlap between February's risk/reward and the average for all months. All Key Performance Indicators are at or slightly above par and the average return is healthily above the upper end of our 50% target.

The only area of minor concern would be the successful picks table where you can see we do not currently trade anything that has a 100% winning history. Of course, this is going to become a more commonly recurring theme as we are approaching 20 years of recorded data of trade data.

As a curious aside, February would absolutely be tracking even better were it not for an abysmal 2009... food for thought.

Risk vs Reward

Successful Picks

Trade Recommendations

In keeping with last month, a diverse allocation strategy is probably the best approach. AMZN and GOOG appear to be the best choices nearly edging out the Q's. That obviously makes for a tech only allocation, but DIA has nearly a 10% lower winning history and SPY didn't even make the list.

Target Profit Recommendations

Should be able to achieve any return in our standard range based on historical performance.