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A crashing market is like an option trading gift from gods as what goes up in stockmarket often comes down even faster but not so fast as to miss out on making profits.
Just look at Enron for example. It was declining strongly for months before it rolled over, a simple look at it's stock chart would tell you that it was a screaming sell.
All I remember seeing on CNN was reporters saying, "Oh it's terrible, people are losing their retirement savings!" etc etc but not once did you here them say, "Wow Enron is dropping like a stone, what a great time to buy some puts!" Now that would have been some helpful news to stockholders.
So if you're a stockholder I must ask you, "Do you want to crash and burn or crash and earn when next wave of fear hits markets?" I know which side I'll be on!
BONUS TIP: If markets are sky-high and you see a picture of a big bull on cover of Fortune magazine and you're getting daily stock tips from your waiter or taxi cab driver, you'll know next crash won't be too far away!
At these times, everyone's a buyer and when there's no buyers left to bid prices higher, stocks have got nowhere to go but down.
Until then, click here to learn more about a great resource for predicting significant turning points in both overall market and individual stocks.
This unique and powerful system has an astonishing 80% success rate!
James Thomas is a successful private option trader and has created http://www.option-trading tips.com as an informative no-nonsense resource full of useful tips and information designed for option traders to improve their trading results.