Options Playbook Radio

As earnings season winds down, we are looking at strategies before, during, and after announcements. Last week, we did a skip-strike butterfly in GOOGL. Let's follow up on how that went. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of the skip-strike butterfly What has happened to GOOGL since then? BKNG (formerly Priceline) is about to announce earnings Setting up the trade Selecting strikes, expiration What is the cost? What do we want to happen? Why a butterfly versus a skip strike butterfly? And more... Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We are in the heart of earnings season, and next week a lot of the FANG stocks will announce. Two weeks ago, we did a diagonal spread in GOOGL. Let's follow up on how that went, and look at a skip-strike butterfly, as well. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: How was the diagonal spread set up? What happened to GOOGL since the paper trade was established? What are we doing now? Setting up the skip strike butterfly Selecting strikes and expiration date What is the cost? Remember implied volatilities! What happens if we are wrong? Right? And more... Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Huddle up, listeners. It's time for listener questions. If you have questions about anyoptions plays, you can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: How do you like to trade options during earnings season? Do you hold a position through an announcement? How do you determine a strategy or direction? How to select strikes and expiration? What the brokers versus the regulators have to say about defined risk trades Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We are in the heart of earnings season, and next week a lot of the FANG stocks will announce. Let's take a look at a diagonal spread in GOOGL. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Why a diagonal spread? What is a diagonal spread? Setting up a trade GOOGL announces earnigns on 7/23 Selecting the strikes and expirations What do we want to happen? What do we want to avoid? What is the risk? Reward? Remember margin! Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We are back into earnings season. Let's take a look at a skip-strike butterfly in NFLX. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of the Boeing calendar spread from last time What happened since the paper trade was put on? Looking ahead to NFLX earnings Where is NFLX now? What is the expected move? What happens if we are wrong? What is the maximum return? Reward? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Today we are bringing you the best of Options Playbook Radio. Originally posted December 28th, 2017 Mark and Brian are back to answer listener questions. In particular: Question from Taj Penaso - Hi, will there be options for bitcoin once the futures are traded?? or just the futures until there are tradeable ETFs available? Thanks. #Options #QOTW - Now it's a party! #Bitcoin futures are live on both @CMEGroup & @CBOE. But everyone's asking us the $1M question - "When will we get #Bitcoin #Options?" So we thought we'd ask you - When will we be able to trade #options on these futures? 52% - Q1 2018, 19% - Q2 2018, 14% - Q3 2018, 5% - Q4 2018 Question from L Penguin - I have a question for the option playbook. I'm a new options trader and I want to buy a LEAP call bc it looks like the stock is going to go to up in the next 12 months, but I don't want to commit yet. I also want to generate income while I hold that position. What are your thoughts on selling the call while I have the leap? Also, this stock has an attractive dividend that I'd like to capture. Is this even possible? Interested in your thoughts, thanks!...I was thinking about buying a deep in the money call for the LEAP, and then depending on where the stock is trading at the time, sell closer to the money. Question from VLL98 - What happens to my options if the company declares bankruptcy? Can I still exercise my calls and buy the stock at the strike price? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Tariff turmoil is rocking the market and is beating up some stocks, including Boeing (BA). You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Implied volatility is spiking because of talk of tariffs BA announces earnings on 7/25 Stock has fallen about 40 points over the last month Putting on a long call spread Selecting strikes and expirations What is the total cost? What do we want to happen? What is the maximum risk? Reward? Rolling and adjusting options Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

News out of Canada regarding the legalization of marijuana has impacted volatility of medical marijuana stocks. This is an interesting opportunity to get back to basics, including a covered call and a cash-secured put. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of last week How did the trade work out? Legal pot in Canada? That impacts IV for CGC What is our outlook? Setting up the trade What do we want to happen? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

This week we will look at a long butterfly with calls. You can find more on page 102 in The Options Playbook, which is always available on OptionsPlaybook.com, or on the Amazon Kindle edition. Specifically: A review from last week (diagonal spread with calls) Staying in FedEx Earnings! June 19' Setting up the trade Selecting strikes, expiration What is the maximum risk? Reward? What do we want to happen? And more... Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Huddle up, listeners. It's all listener questions today on Options Playbook Radio. Including: Is there a rule of thumb on how many strikes to skip in a skip strike butterfly? What is Brian's favorite underlying for trading options Do you trade options on stocks below $5? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We looked at doing a long call spread last week, which was net positive theta time premium. This week we will be looking at indexes. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, or on the Amazon Kindle edition. Specifically: Indexes and volatility Rolling out of SPY put flys into credit spreads Trading it directionally Setting up the trade Selecting strikes What do we want to happen? What is the max risk? Reward? To adjust or not to adjust? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We are back in the saddle discussing options strategies. With the VIX in the low- to mid-teens, that makes for an interesting time to look at volatility. We are going to look at a long call spread, possibly with a roll. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, or on the Amazon Kindle edition. Specifically: Indexes and volatility Looking to do this trade for positive theta Selecting expriations What's a time bomb butterfly? Setting up the trade Selecting strikes What do we want to happen? What is the max risk? Reward? To adjust or not to adjust? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Mark and Brian are on location at the Options Industry Conference, the annual event that brings everyone in the options industry together. They discuss: Are covered calls really the best strategy for novice options traders? Is there a good rule of thumb on when to use a ratio spread? Should trading be concentrated in the last 30 minutes of the day to take advantage of liquidity? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Mark and Brian are on location at the Options Industry Conference, the annual event that brings everyone in the options industry together. They discuss: Specifically: Launching new products to meet retail investor needs Liquidity concerns Exchanges fragmenting liquidity through extra strikes and expirations What about price improvement? Unlimited quoting What did they learn at this year's event? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We are in the tech portion of earnings season, so let's take a look at Facebook. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, or on the Amazon Kindle edition. Specifically: Where is FB trading right now? What is the situation with FB? Can we sell the put spread for enough of a credit to buy a call? Setting up the put spread Selecting strikes Looking to buy a call from the proceeds Selecting the strike What do we want to happen? What is the risk? Reward? How you can double up to catch up Some rationale on time frame Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Welcome to Options Playbook Radio On this episode we discuss: A review of our earnings trade in NFLX A complete breakdown of our new earnings skip-strike butterfly in GOOGL.

In this episode, Brian looks at a NFLX butterfly before earnings, including: Selecting strikes & expiration Watch out for skew Plan the trade, trade the plan And more...

We are back in the saddle discussing options strategies. As we are a few days away from earnings, let's look at something that is not driven by earnings. While we're waiting for volatility to slow down, let's look at a short-term butterfly in UNH. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, or on the Amazon Kindle edition. Specifically: UNH announces earnings on 4/16 Doing a very short-term butterfly to not contain earnings What are we hoping to happen? What is the implied volatility? Selecting strikes Setting up the trade What is the maximum risk? Reward? What about time decay? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

It's time to huddle up, in which Brian and Mark address listener questions and comments. In this episode: Question from Ed Bankert: Debating on using covered calls or short puts. Which is better for a less experienced options trader who wants to make money? Question from Duffy: How do you handle the fixed-time aspect of trading options? Comment from Charlie T.: Not really an options guy. I don't need the headache of yet another unknown element aka time. It's hard enough just picking my stocks, deciding price points, exit points, etc. Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

As we approach the end of earnings season, there are still a few names left to announce. Last week we talked about a FedEx butterfly. Let's revisit what has happened since. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, or on the Amazon Kindle edition. Specifically: A review of last week's FDX butterfly What has happened to FDX since the paper trade? What is happening in Nike? How about a back spread? Looking for volatility Hoping the stock will move more than the expected move Selecting expiration Selecting strikes What is the maximum gain? Loss? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Last week we talked about a Costco butterfly. Let's revisit what has happened since. You can find more on page 102 (butterfly) and page 126 (iron condor) of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of last week's comparison of the butterfly vs. iron condor in COST Breaking down the butterfly What about the iron condor? What happened after COST announced earnings? Implied volatility and time decay as factors Moving on to FedEx, which reports earnings on 3/20 How to set up a trade to contain the earnings Selecting strikes What is the cost? What is the maximum risk? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Last week we talked about a Costco butterfly. Let's revisit what has happened since. You can find more on page 102 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of last week Where is Costco trading now? Setting up the trade Why timing matters Comparing this to an iron condor Why timing matters, part two More risk, more reward? Selecting strikes What is the desired outcome Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Let's review the skip-strike butterfly in PCLN from last week. You can find more on page 108 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. The long butterfly (used on the Costco paper trade) is on page 102. Specifically: A review of last week A change of name Did you adjust? Was time on your side? Who is up next? Costco Holdings! What are we looking for? Putting on an at-the-money butterfly Selecting strikes What is the break even? Avoiding the "stupid award" Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

As we enter the end of earnings season, there are still a few big names left to report, including Priceline, PCLN. This is an interesting opportunity for a skip-strike butterfly. You can find more on page 108 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Earnings + expiration + implied volatility = interesting situation Goal: do the trade for a net credit PLCN announces earnings on 2/27 What is the expected move? What is the implied volatility? Selecting the strikes Remember commissions! What's the risk? Reward? When to get out? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

We are back to the playbook this week and taking a close look at Wynn Resorts. There is a lot of volatility in the stock these days with the CEO in the news quite a bit these days. We are looking at a very short-term butterfly. You can find more on page 104 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Why a very short-term trade? What is the desired outcome? What about the stock going ex-dividend? Setting up the trade Why use puts? Selecting strikes What is the cost? When to get out? Looking at net theta versus net delta Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

It's time to huddle up and take on listener questions in this episode of Options Playbook Radio. Question from Janice: Hi Brian! I have a question about the way you talk about the alternatives available for managing the LEAPS option put spread if the market goes down. Can you please explain? Question from Matt: What's up with the FB $5 calls? Question from Johnny Bananas: If you buy a put option and the strike price is $5 and the stock drops to $3, is it still worth money?

Continuing with the idea of FAANG stock earnings, today we're looking at an AAPL protective put. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of last week How do you protect yourself against a big move in AAPL after earnings? Where is AAPL now? What is the outlook? Selecting a strike and expiration What is the cost? Upside? Meeting the "deductible" What about a protective put spread? What is the cost? Why do it? How do weeklys impact the ability to buy insurance around earnings? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, we are looking at a calendar trade around earnings in TSLA. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Where is TSLA trading as of this recording? When are they expected to announce earnings? Where is the at-the-money straddle right now? Setting up a trade into earnings Selecting a strike The volatility caveat What is the desired outcome? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, we are looking beyond the Options Playbook and are selling a put credit spread to pay for a long call. You can find more on p. 76 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Looking at Intuitive Surgical, Inc. (ISRG), which has been on a tear lately Earnings pushed the stock even higher Expensive underlying = expensive options Taking a long view using LEAPS Selecting strikes for the put spread Buying the at-the-money call How does the trade work? What is the cost? What is the risk? How to close it out? Alternatives to the trade as described Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, we are looking beyond the Options Playbook and are using a long combination to create a synthetic stock and buy protection. You can find more on p. 76 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: A review of last week's episode What is a synthetic long stock? Where is Facebook now? How to create a synthetic long position Adding a twist...using a put spread Selecting expirations and strikes What is the cost? Risk? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Welcome to 2018! Let's jump right into strategies, specifically around earnings. In this episode, we are looking at a long calendar spread with puts in FCX. You can find more in The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Why are we picking FCX? When does FCX announce earnings? What is the implied volatility? Why are we expecting a major announcement? Why pick a calendar around earnings? Defining a calendar spread Remember, if you do this, you're long implied volatility Caveats and other considerations Setting up the trade What is the cost? Risk? What do we want to happen? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Mark and Brian are back to answer listener questions. In particular: Question from Taj Penaso - Hi, will there be options for bitcoin once the futures are traded?? or just the futures until there are tradeable ETFs available? Thanks. #Options #QOTW - Now it's a party! #Bitcoin futures are live on both @CMEGroup & @CBOE. But everyone's asking us the $1M question - "When will we get #Bitcoin #Options?" So we thought we'd ask you - When will we be able to trade #options on these futures? 52% - Q1 2018, 19% - Q2 2018, 14% - Q3 2018, 5% - Q4 2018 Question from L Penguin - I have a question for the option playbook. I'm a new options trader and I want to buy a LEAP call bc it looks like the stock is going to go to up in the next 12 months, but I don't want to commit yet. I also want to generate income while I hold that position. What are your thoughts on selling the call while I have the leap? Also, this stock has an attractive dividend that I'd like to capture. Is this even possible? Interested in your thoughts, thanks!...I was thinking about buying a deep in the money call for the LEAP, and then depending on where the stock is trading at the time, sell closer to the money. Question from VLL98 - What happens to my options if the company declares bankruptcy? Can I still exercise my calls and buy the stock at the strike price? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, we are looking at a covered call, but with a twist: a credit spread around stock you already own. You can find more on page 80 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: FedEx announced earnings on 12/20, was up 3.5% after the announcement It hit the all-time high on 12/20 What are the benefits of doing a credit spread instead of just a covered call? Setting up the trade: picking expiration (and why that date) Selecting strikes What is the approach? What is the risk? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Mark and Brian are back to answer listener questions. In particular: Question from Ariell - Why should I ever buy puts? I can use a stop order in the stock for free and then put that extra capital to work in my trading account. By my math using stops instead of puts can boost your account 5-10% per year. That's a lot of cheese. Question from The Financial Grynch - Do you REALLY reckon long options is profitable? Question from Lonesome - Could you explain Theta and how it helps/hurts options traders? Should anyone ever buy OTM options? Question from Tom Matt - What happened to minis? Are they ever coming back? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, we revisit an old favorite: the skip-strike butterfly. You can find more on page 108 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: Broadcomm announces earnings soon, and has been very volatile lately Why a skip-strike butterfly? What is the outlook? Selecting strikes What is the cost? What about the maximum gain? Loss? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, Brian explores covered calls to get out of positions before the end of the year.You can find more on page 134 of The Options Playbook, which is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Specifically: If you need to thin out your portfolio before the end of the year, consider covered calls Looking at AAPL Selecting an expiration Selecting strikes What is the cost? What do we want to happen? An alternative strategy What is the moral to the story? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

For your listening pleasure, we bring you an all-listener question episode of Options Playbook Radio.

The holiday season brings to mind covered calls. In this episode, Brian covers: Last week's trade in DIS What did we want to happen? What DID happen? Avoidint the stupid award The holidays are coming, that means shortened trading weeks It might be a good time to trade covered calls Getting "free" time decay with holidays Where is AAPL? Selecting strikes And more...

Since it is still earnings season, it makes sense to capture the movement surrounding earnings announcements. In this case, we are looking at a bullish ratio spread in DIS. In this episode: A recap of what happened with last week's FB position After AMZN, FB looked a little boring DIS reports earnings after the close on Thursday, November 9 What is the sentiment on DIS? Looking at the long straddle to figure out pricing Setting up a backspread in DIS Picking the strikes and expirations What is the downside? Upside? What do we want to happen?

Today we are going to look at a ratio spread with puts on FB. In this episode: A review of last week's skip-strike butterfly in AMZN. What was the strategy? Expectation? Where is AMZN now? What about GOOGL? How do you want the market to move when you have a butterfly position? FB earnings are coming up. Let's look at a ratio spread. What is the outlook? Setting up the trade. Selecting strikes. What is the cost? What do we want to happen? What is the cost? Remember volatility.

This is probably the biggest week of earnings reporting, when the most valuable stocks report. There are things to take into account because of earnings: Remember that implied volatilities rise around earnings Why a skip strike butterfly? Setting up the trade to pay for itself Where is AMZN trading right now? What is the long straddle aka the expected move Using the long straddle to select strikes Earnings-related risks What is the expected move? Setting up the trade What is the upside? Downside? Nuances of options pricing Remember time premium

Mark and Brian are back to answer listener questions. Question from Ejh4isu - Let's say you're short naked a bunch of puts and the trade goes against you, and you don't have the money to pony up? What can your broker do? Question from LCB - This is a challenging time to sell options due to low volatility. So does it stand that the opposite is true? Is it a good time to buy options? Particularly protective puts? Question from Andrew Lane - I tried searching for options on the major advisor news sources including Pensions & Investments and Financial Advisors magazine and came up blank. Why do these mainstream outlets ignore this space? Where should I go to learn more about options for advisors?

It's time to tackle listener questions again on Options Playbook Radio. In this episode, Mark and Brian cover: Question from Albert Deckel - First, I want to thank you for all the effort you place into the options playbook. I find your lessons absolutely clear, understandable and instructive....a rare combination!! I bought your book and find that, also, clear and concise and very informative. Two questions: While I understand how to convert a "Delta" into meaning, I really don't understand what consists of a "high" vs. "low" Gamma, Theta or Vega. For example, when is theta so high that it makes the purchase of an contract dubious, or Vega so high that it makes the purchase of an OTM contract desirable? Also, if I were to write an ITM put, what combination of Delta, Gamma, Theta or Vega am I looking for? Thanks so much!! Al Question from Tim - Why isn't it standard or maybe required to let people close out shorts for free below $.10?

We are continuing the discussion of options pricing. This week we take a deep dive into pricing of a butterfly. Specifically: Looking at a 10-day butterfly in AAPL Picking a five-point spread What strikes and expirations to choose? What will this cost? What is the maximum risk and reward? What do we want to happen? What impacts the pricing of butterflies? Managing expectations Looking at the same thing for a November 17 expiration What is the ideal scenario?

Today Brian is covering a short call spread (which is bearish) on AAPL. All of this applies on the put side, but in this episode, calls are being featured. Specifically: What dynamics do you need to think about when trading short spreads? Look at the most at-the-money straddle to get an idea about pricing Example 1: November 17 expriation; 52 days out Selecting strikes What will this cost? What is the max risk? Reward? Example 2: October 6 expiration; 10 days out Selecting strikes What will this cost? What is the max risk? Reward? Which would you choose? How to close out the trade? How to roll the trade? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, Brian explores long spreads. Specifically, long call spreads and long put spreads. These can be found on pages 60 and 62, respectively, of The Options Playbook. This is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. Details include: The dynamics of spread trading Using AAPL as an example What to consider regarding forecasting and timing The value of the spread does not provide quick rewards Selecting strikes What is the maximum risk? What is the maximum reward? Always look at how much time premium you have Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

In this episode, Brian covers: Using a pricing calculator to review different scenarios Buying an out-of-the-money option What happens to delta? Looking at probability When time is your ally When to buy an out-of-the-money option How to get low time premium Closer to expiration = higher delta What about at-the-money options? When to buy, and when not to

Last week, we started the back to the basics with the Greeks. You can find an entire chapter on Greeks in The Options Playbook. This is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. In this episode, Brian discusses: Looking at probability using a 90-day option as an example What is the probability of an $8 move in a $60 stock in 90 days? Where do you think the option will be trading at in 90 days? Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].

Now that earnings season is over it's time to get back to basics: the Greeks. You can find an entire chapter on Greeks in The Options Playbook. This is always available on OptionsPlaybook.com, in on the Amazon Kindle edition. In this episode: A review of last time Using the Greeks What does a delta do? Meet the Greeks in The Options Playbook As expiration approaches, what happens to delta? For that, you need gamma What about theta? Delta when a contract is in-, at- or out-of-the-mooney Delta moves slower than other Greeks You can't have slow time decay on a fast moving option Do you have a question that you want answered on a future episode? Send them to Brian at [email protected], or to the Options Insider at [email protected].