Stock Market Options Trading

Great discussion with another SPX options trader where we discuss his approach to trading put options like a stock market insurance company. Want to discuss this episode with us? Come join us at https://www.stockmarketoptionstrading.net/ where you ask questions and comment about this episode or anything else related to stocks and options. Want to trade with me or get advanced training? Come join me over on https://www.patreon.com/VerticalSpreadOptionsTrading for intermediate and advanced options strategies.Be sure to Follow the podcast on your favorite podcast player and leave a review to help the show spread the word about trading stocks and options.

In this episode, I'm sharing my exact SPX 0DTE Put Credit Spread strategy for Mondays. SPX 0DTE is the act of trading options the day they expire. Typically, to take advantage of selling premium on the last of expiration. The goal of this episode is to give you a full strategy to walk away with but also an invite to join us for more options trading research. The SPX 0DTE strategy in this episode is from a module out of the SPX 0DTE Masterclass and Community hosted on the website at https://www.stockmarketoptionstrading.net/all-courses .Its combination of a complete course and live chat room for students to share trades each week. The course is complete with videos, spreadsheets with dozens of variations, and includes lifetime access and updates. There is a one time cost for the course and chat room. There is no subscription. If you are interested in probabilities, expectancy, and statistics, consider joining us as we crunch all the numbers for you. Thanks for listening.

In this episode we'll backtest an SPY call option buying strategy during market pullbacks like we're in the middle of here in October 2021. We'll look at a 5 year study and talk through exactly the market condition, the buy signal, which call options and expiration, and exit strategy. This is for informational purposes and should not be considered financial advice. Join our trading community over at https://www.stockmarketoptionstrading.net to improve your stock and options trading skills. Check out the SMOT YouTube channel for quantitative options strategies and education here: https://www.youtube.com/stockmarketoptionstradingFor premium trading services and daily market updates, head over to Patreon here: https://www.patreon.com/VerticalSpreadOptionsTrading

In September of 2021, the country of El Salvador made Bitcoin legal tender. Shortly after, the price of Bitcoin dropped about 20%. In this episode, I talk to a trading buddy who lives in El Salvador to discuss what it looks like to have Bitcoin as legal tender as well as his perception of it all. After listening, head over to the website at https://www.stockmarketoptionstrading.net/ and join the discussion around stocks, options, and crypto in a positive constructive environment with absolutely no spam or trolls. Thank you.

In this episode, I'm sharing a casual conversation with one of my Patreon members around trading for income and hedging with options.It was a great conversation and I regret having to cut it so short. Head over to https://www.patreon.com/VerticalSpreadOptionsTrading for more details around some of the strategies we were discussing in this episode. Thanks for listening.

In this episode, I'm sharing a casual conversation with one of my Patreon members around various subjects including autotrading services, the risk reward of credit spreads, hedging, and retirement. It was a great conversation and I regret having to cut it so short. Head over to https://www.patreon.com/VerticalSpreadOptionsTrading for more details around some of the strategies we were discussing in this episode. Thanks for listening.

Learning a new trading strategy can be fun and exciting but I often see traders struggle with new strategies because of conflicting ideas from previous things they've learned. Therefore I put together some tips and tricks on learning new strategies and really what it takes to find an edge and make money trading stocks and options. The tips and tricks in this episode were from a live zoom workshop I hosted for trading SPX put credit spreads with 7 days to expiration. For the full video training, check out the video over on YouTube:https://youtu.be/pmKPR_YiiQQThere's even a way to download the presentation for you take take with you. Want to join the next live monthly Zoom with us?Go here: https://www.stockmarketoptionstrading.net/Interested in the SPX 0DTE Course and Community?Go here: https://www.stockmarketoptionstrading.net/all-coursesThanks for listening.

Today's episode is the audio version of a conservative monthly options trading strategy recently posted at https://www.patreon.com/VerticalSpreadOptionsTrading for supporters of the podcast and YouTube channel. Along with the consistent income strategy, there is a companion hedging strategy that was discussed in Episode 25. Together, these strategies averaged a 40%+ return during the 5 year lookback period. Consider become a patron over on Patreon to get access to the details of this strategy as well as several other mechanical and systematic income strategies at https://www.patreon.com/VerticalSpreadOptionsTradingThere's even an option to join the Trade Alerts tier where we put our top strategies to work each and every week.

One of the attractions of trading options is the idea that you can create trades with varying degrees of probabilities of profit. In this episode, I put the option probabilities that the trading platforms give us to the test by doing a 10year backtest. The focus is on comparing both the call and put side to see if over a long term period of time, if the probabilities play out as expected. As a bonus, listeners can view the studies discussed in this episode over on the community website in the Podcast section. Here's the direct link:https://www.stockmarketoptionstrading.net/topics/4369023Also, for those interested in generating income up to 3 times per week trading SPX 0DTE spreads, check out the SPX Masterclass and Community. Now with a live chat feed to see what trades members are taking in real time. Here's the link to the Course:https://www.stockmarketoptionstrading.net/all-coursesThanks for listening and supporting independent research on this show.

Want to discuss this episode with us?Come join us over on the podcast trading community at https://www.stockmarketoptionstrading.net where you can ask questions and discuss this with other traders.In this week's episode, I got to speak with Jack Rosenthal on teen investing. Jack started investing at a very young age and started a Teen Investing club over at http://younginvestorsclub.org/He's written a couple books on Teen Investing and Entrepreneurship that are available on Amazon. Here's a link to learn more about his books on Amazon. https://bit.ly/JackRosenthal1Thanks for listening. J. Eric O'Rourke 

Want to discuss this episode with us?Come join us over on the podcast trading community at https://www.stockmarketoptionstrading.net where you can ask questions and discuss this with other traders. In this week's episode, I spoke with Sam Silverman from https://relocatepuertorico.com/ where he explained the tax incentives for living in Puerto Rico for both business owners and investors and traders like. As a trader or investor, paying 0% on capital gains can be a game changer as we know but and also work for anyone who works remotely who is running their own online business. Hope it helps. J. Eric O'Rourkehttps://www.stockmarketoptionstrading.net/

Want to discuss this episode with us?Come join us over on the podcast trading community at https://www.stockmarketoptionstrading.net where you can ask questions and discuss this with other traders. In this week's podcast, I talk about how to hedge your stock or option portfolio with unit put options. Also known as units or unit puts. Unit put options are options that have very little value as the options market is unable to price them properly which allows them to explode in value during a market correction. I'll share how i am implementing this hedging strategy in my portfolio using SPX put debit spreads and will share how these performed during the COVID stock market crash of 2020. Thanks for listening and looking forward to seeing you at https://www.stockmarketoptionstrading.netJ. Eric O'Rourke PS: Check out the YouTube channel too for more trading resources. https://optionsincome.club/YouTube

Want to discuss this episode with us? Come join us over on the podcast trading community at https://www.stockmarketoptionstrading.net where you can continue this conversation with Lee and myself about this episode and any other trading topics. In this week's podcast, I expand some options trading research I've been posting on the YouTube channel around selling naked puts on IWM and SPY ETFs. We're going to focus on IWM for this episode but encourage you to check the different variations of this strategy on YouTube.Here are the links to the YouTube videos:Selling Puts on IWM: https://youtu.be/Zk2VKmseGaUSelling Puts on SPY: https://youtu.be/5y-ItZACZcoFor the visual aids for this episode's research study, head over to https://www.stockmarketoptionstrading.net and look for Episode 24 in the podcast section where you'll see the results and be able to ask questions and give feedback related to this and future research studies. Thanks for listening and looking forward to seeing you at https://www.stockmarketoptionstrading.netJ. Eric O'Rourke PS: Check out the YouTube channel too for more trading resources. https://optionsincome.club/YouTube

Want to discuss this episode with us?Come join us over on the podcast trading community at https://www.stockmarketoptionstrading.net where you can continue this conversation with Lee and myself about this episode and any other trading topics. Lee Spaziano is a data scientist and long time options trader and in this episode we discuss how we are working together to combine these two fields to take advantage of SPX's multiple expirations per week to increase our frequency of high probability trades. We discuss how we acquired tons of SPX intra-day options pricing and Lee discusses how he was able to organize this data so that we can run queries and backtests on by opening and closing short terms trades throughout the day. Thanks for listening and looking forward to seeing you at https://www.stockmarketoptionstrading.netJ. Eric O'Rourke PS: Check out the YouTube channel too for more trading resources. https://optionsincome.club/YouTube

Come join us at www.StockMarketOptionsTrading.netThis new free community was built for podcast listeners to connect with myself and guests on the show. It operates like a Facebook group but without the distraction, spam, and negativity that comes along with Facebook. More importantly is the common purpose which is as follows:We bring together stock and options traders to create consistent profits in the stock market so that we can achieve financial freedom and create life long income.If this common purpose resonates with you and you want to connect with myself and other real traders, come join us at www.StockMarketOptionsTrading.net tonight. There's even a free app for easy access to a growing community of independent traders who want to focus on finding strategies that work for them to create financial freedom and life long income through trading stocks and options. I am personally hanging out over there pretty much everyday and look forward to meeting you. Talk to you soon. J. Eric O'Rourkewww.StockMarketOptionsTrading.net

We're back with the rest of my discussion with David Sun. So much great options trading insight with our discussions. Be sure to check out the previous episode if you haven't done so already. In this episode we get into how selling out of the money puts isn't necessarily a bullish strategy, managing risk of trading SPX and SPY high probability options strategies, using stop loss orders with options trading, and where on the options chain we like to sell. If you found this episode helpful in anyway, could you let me know by leaving a review on Apple Podcasts? Or whichever podcast player platform you use?Thank you for your support and thanks for listening. J. Eric O'Rourkewww.OptionsTrading.Help/Services

David Sun has a great understanding of options and was featured on TastyTrade's Rising Star series about his approach to options trading. We had a great in depth discussion and I decided to break it into two segments with this episode being the first. In this episode, he's going to talk us through the base concepts of the TastyTrade style of options trading which leads us into a discussion around being delta neutral and what that means for your portfolio. You won't want to miss the next episode  where we dive into specific strategies David trades with SPY put selling as well as where we hang out on the options chain.Here's a link to David's TastyTrade Rising Star segment:https://youtu.be/EG3kKNZxkBQYou can also connect with him at TheTradeBusters.com where he's posted some written essays around options trading as well as some strategies and backtests. Thanks for listening. J. Eric O'Rourke

We all know that tracking your trades is important but it's often a tedious task, especially when it comes to options trading. My guest today though has helped this important area of trading by creating a piece of software that organizes and analyzes your trades automatically. His name is Ben Latz from WingmanTracker.com.Twitter: @benlatz - https://twitter.com/benlatzEmail: [email protected]: https://wingmantracker.com and https://benlatz.comCode Use code "eric" on sign up to get $50 off!Thank for listening. J. Eric O'Rourkewww.OptionsTrading.Help/Services

In this episode, we're going to go over my Core Portfolio for trading Stocks, Bonds, Gold, Volatility, Bitcoin, and Cash. By trading a small handful of strategies across the major asset classes, we're able to make consistent gains year over year.Head over to https://optionstrading.help/core for an overview of the Core Portfolio. While you're there, you can learn how to get trade alert notifications for the Core Portfolio to trade with me and a couple hundred other retail traders. Thanks for listening. J. Eric O'Rourkehttps://optionstrading.help/services

Retail traders get their edge through modern trading technology and today's guest are looking to help. Rance Mascheck and Chris Mercer from MarketGear.com discuss the evolution of trading technologies and how their software can improve your trading results. There are so many nuggets in this episode and I'm sure you're going to enjoy this one as much as I did. Be sure to check out www.MarketGear.com/Eric for details after listening. Thank you. J. Eric O'Rourkewww.OptionsTrading.Help/Services

TastyTrade Rising Star Fauzia Timberlake is on the show this week explaining how she using the TastyTrade principles in her options trading. She currently does one on one coaching helping traders navigate the markets. Here are some links to learn more about Fauzia and how you can connect with her online:Listen to her interview with Vonetta LoganWatch her Rising Star interviewLike her on FacebookJoin her Facebook groupSee her trades from the Follow tab.Follow her on Twitter @traderfauziaThanks for listening.J. Eric O'Rourkewww.OptionsTrading.Help/Services

Have a small trading account but thinking about trading options? You're in luck as this episode shows how trading TLT bull call spreads the past 5 years made over 600% and is perfect for small trading accounts. The bull call spread strategy discussed here is also known as an in out debit spread. An in out debit spread is a vertical spread where the option you buy is in the money and the option you sell is out of the money. In out debit spreads are great for beginners with small trading accounts who want to get directional but not have to pay as much to get in a trade.This episode includes a 5 year backtest of TLT buying in out debit spreads with about 30 days to expiration only if the 21 day exponential moving average is above the 50 day simple moving average. The exit parameters have a target of a 25% gain or a time stop loss of closing the trade about 3 weeks later, whichever comes first.The backtest software shown in this video for in out debit spreads is CML Trade Machine Pro.Here's the link:www.OptionsTrading.Help/CMLThanks for listening.J. Eric O'Rourkewww.OptionsTrading.Help/Services

I learned a lot from this great discussion with Brian Terry CFP. Brian shared his conservative covered call strategy where he is selling in the money calls on stocks using weekly options with the intent of getting called away every week. I've known Brian for a couple years now and I know he leans on the conservative side of trading and he thinks this strategy is great for conservative traders in retirement. It's an interesting twist on strategy used to create additional income. Brian runs a Facebook group dedicated to this strategy.Here's the link: https://www.facebook.com/groups/742852742909259You can also find him on Meetup.com where he runs a monthly Zoom meeting where he and others share various options strategies that are working. Here's the link: https://www.meetup.com/Centra-Florida-Options-Group/Thanks for listening.J. Eric O'RourkeOptionsTrading.help/Services

Index Options ExplainedTo receive the free Index Options Mini Course, go to https://OptionsTrading.help/IndexOptions and I'll send you the 7 part video series to get your trading profitably on your own in as little as 1 week. The 7 part video series includes a weekly options strategy for SPX showing you exactly how to put this trade on every week. It also includes a 5 year performance look back so that you fully understand what to expect when trading this profitable strategy. As mentioned in this episode, the 3 main reasons to consider trading index options over stocks or ETF options are because they are cash settled, there is no assignment risk and therefore no early assignment risk, and preferential tax treatment so that you can keep more of your profits when the tax man comes. Thanks for listening and I'll talk to you soon. J. Eric O'Rourkehttps://OptionsTrading.Help/Services

Which option should I buy?Thanks for listenting to this week's Stock Market Otpions Trading podcast comparing the results of buying different Delta call options on AAPL the past 5 years.To recap the optons trading strategy that was used, we backtested buying a call option with about 30 days to expiration when AAPL crossed back above its 21ema and closed the trade afetr 14 calendar days.By taking the same trade entry and trade exit, it allowed us to compare the results of choosing different strike call options from deep in the money, at the money, and out of the money.Here's the link to my Patreon article for podcast supporters to see snd compare the results including win rate, total returns, and P&L curve.https://bit.ly/3g0bpL5Becoming a Podcast Supporter is only $5 per month and gets you access to trading research with the ability to discuss trading one on one with myself or in the comments with hundreds of other traders. There are also options for trade alerts if you are interested.Thanks for listenting and I'll talk to you soon. J. Eric O'Rourkehttps://www.patreon.com/VerticalSpreadOptionsTrading

Thanks for listening to this week's Stock Market Options Trading podcast about using Bollinger Bands as an entry signal when the RUT crosses above the upper band. Here's the link the Patreon article for podcast supporters to see more details around the 4 different credit spreads discussed in the episode. (You may need to copy then paste into your browser) https://bit.ly/2WX6W5s Becoming a Podcast Supporter is only $5 per month and gets you access to trading research with the ability to discuss trading one on one with myself or in the comments with hundreds of other traders. There are also options for trade alerts if you are interested. Thanks for listening and I'll talk to you soon. J. Eric O'Rourke https://www.patreon.com/VerticalSpreadOptionsTrading

Thanks for listening to this week's episode of investing in work from home stocks. The COVID-19 pandemic is accelerating the remote work theme as more and more people are choosing to stay home if they can. As we discussed, working from home also gives benfit to the company in the form of less overhead costs such as rent and increased talent pool for finding better workers who may not live in the same geographical area as the office. Here's the link to the Direxion website for more information regarding the WFH ETF which holds 40 stocks in 4 sectors: https://www.direxion.com/product/direxion-work-from-home-etfIf you're interested in supporting the Podcast or YouTube channel, please visit:https://www.patreon.com/VerticalSpreadOptionsTrading for trading education and services. Thank you. J. Eric O'Rourke https://www.patreon.com/VerticalSpreadOptionsTrading

http://robintrack.net pulls price and popularity numbers for stocks from Robinhood's API and displays it in a sentiment style graph for free. This free website is a great idea in terms of data sharing but definitely has some drawbacks that I discuss in this episode.Thanks for listening.J. Eric O'Rourkehttps://www.patreon.com/VerticalSpreadOptionsTrading#robinhood 

We're expanding last week's weekly options study by adding a moving average filter to our trades. The goal here is to determine if adding a would be bullish filter will improve the results of this already profitable strategy of trading bull put spreads with 7 days to expiration on SPY and SPX. This episode is an expansion of Episode 7 so here's the link if you'd like to go back and listen to that episode.https://www.stockmarketoptionstrading.com/episode/episode-7Here's are the links to the performance results of both studies over on my Patreon website which is available to Podcast supporters. Weekly Options Research Results Part 1:https://bit.ly/2ZJWcJGWeekly Options Research Results Part 2:https://bit.ly/2Ye7GmiThanks for listening.J. Eric O'Rourkehttps://www.patreon.com/VerticalSpreadOptionsTrading

I'm sharing a 3 year study in this episode around trading weekly options on SPY and SPX. There are 3 expirations per week. Monday, Wednesday, and Friday and I wanted to see if there was a difference in performance if you were to sell put credit spreads with 7 days to expiration on each of those days? So I backtested selling 7DTE spreads on each of those days going back 3 years from late May 2020 to find out. You may be surprised which day of the week outperformed the other two. I used eDeltaPro to do the backtesting. Here's the link for those who are interested in backtesting on their own: http://bit.ly/2QmEHKI Consider becoming a $5 Podcast Supporter to view the performance results of the study discussed in this podcast. Sometimes it's easier to understand if you can see the results so I'm providing these resources to supporters of the show. Here's the link: https://bit.ly/2ZJWcJG Podcast supporters enjoy access to other studies, research, and training videos over on Patreon.Thanks for listening. J. Eric O'Rourke https://www.patreon.com/VerticalSpreadOptionsTrading

Al Losada is the founder of Simple Option Strategies. Here are a few ways to find more about him online.Website: https://www.simpleoptionstrategies.com/Facebook Group: https://www.facebook.com/groups/simpleoptionstrategiesYouTube Channel: https://www.youtube.com/channel/UCZVqsvTI4oZcXLjt_0JQ5FgThanks for listening and stayed tuned for Part 2 of trading SPX options with Al Losada.J. Eric O'Rourkehttps://www.patreon.com/VerticalSpreadOptionsTrading

Special guest Al Losada is on the show today talking SPX options trading. The episode went over an hour so I decided to split into two separate episodes. In this first episode, Al and I discuss how we both ended up trading SPX options. One commonality we shared was a book we both read that helped get us into SPX credit spreads called Profiting with Iron Condor Options by Michael Hanania Benklifa.This book had a big influence on our trading and its a great read for those interested in trading index option spreads. Al Losada is the founder of Simple Option Strategies. Here are a few ways to find more about him online.Website: https://www.simpleoptionstrategies.com/Facebook Group: https://www.facebook.com/groups/simpleoptionstrategiesYouTube Channel: https://www.youtube.com/channel/UCZVqsvTI4oZcXLjt_0JQ5FgIn the coming Part 2 episode, we'll be discussing an SPX credit spread strategy with weekly options that expire the same day. This is referred to as Zero DTE spreads. Thanks for listening and stayed tuned for Part 2 of trading SPX options with Al Losada.J. Eric O'Rourkehttps://www.patreon.com/VerticalSpreadOptionsTrading

There are different ways to get long and different ways to trade with leverage.   In this episode, we're going to look at both by comparing two leveraged ways of getting long the S&P500. We're going to use the buy and sell signals of the Pure Alpha Strategy as applied to the SPY.  We'll discuss the results of trading shares of SSO based on the buy and sell signals of the strategy. SSO is 2X Bull ETF of the S&P500. We'll then discuss the results using the same buy and sell signals of SPY but then buy an "at the money" call debit spread, also known as a bull call spread.   As mentioned in the podcast, see the links below to get the video training of the Pure Alpha Strategy.  Pure Alpha Strategy (Part 1): bit.ly/2Jjzu1G  Pure Alpha Strategy (Part 2): bit.ly/33Z2ANq  Pure Alpha Strategy (Part 3): Crisis Alpha study on UVXY bit.ly/2UZjXJX  Thanks for listening and supporting independent stock market research.   J. Eric O'Rourke https://www.patreon.com/VerticalSpreadOptionsTrading

A Crisis Alpha Strategy is meant to generate profits during market corrections, pullbacks, or even black swan type events and can be traded as a stand alone strategy.In this episode, we'll discuss a quantitative trend following strategy called the Pure Alpha Strategy applied to UVXY which is a leveraged volatility product. Check out this article for more information on UVXY.https://sixfigureinvesting.com/2015/03/how-does-uvxy-work/The 5 year performance of getting long volatility using the Pure Alpha Strategy on UVXY inherently gets you protection before any major market corrections. Consider becoming a $5 Podcast Supporter over on our website if you're interested in the video training for the Pure Alpha Strategy discussed in this episode. The video training is in Parts 1 and 2 below. Part 3 shows the performance for UVXY discussed in this video and there's more to come as we look to apply the Pure Alpha Strategy to various asset classes.To become a Podcast Supporter and get access to the video training, simply click one of the links below to get started.Pure Alpha Strategy (Part 1):bit.ly/2Jjzu1GPure Alpha Strategy (Part 2):bit.ly/33Z2ANqPure Alpha Strategy (Part 3): Crisis Alpha study on UVXYbit.ly/2UZjXJXThanks for listening and supporting independent stock market research. J. Eric O'Rourkehttps://www.patreon.com/VerticalSpreadOptionsTrading

Check out the SPX Income Masterclass:https://www.stockmarketoptionstrading.net/spaces/4688450If you're new options trading, I think you're really going enjoy this episode on what I think is the best options strategy for beginning options traders.It's one thing to understand the mechanics of options, but in this episode we're going to look at trading this strategy as running an insurance company so you know exactly how to think about this trade.Thanks in advance for subscribing and sharing this podcast. Also, Alpha Traders Club is where I host my SPX Live Chat each day for trading SPX weekly options. We focus on the premarket data and levels, technical analysis, and options flow for trading high probability trades for weekly income. Alpha Traders Club also posts Conservative Covered Call trades each week for generating weekly and monthly income trading options on high quality stocks and ETFs. Here's the link: https://www.stockmarketoptionstrading.net/spaces/12282222Disclaimer: This podcast is for informational and educational purposes only and should not be considered financial advice. Eric O'Rourke  

When the stock market pulls back, volatility rises. Once the pull back is over, getting long the stock market at this time can be very profitable.In this episode, we'll discuss a research study of buying SPY call options after a volatility spike. We'll be using VXX as a volatility measure and exactly what we're looking for in VXX to get long. Thanks for listening, subscribing, and sharing.For more trading research and services, please visit the website at https://www.patreon.com/VerticalSpreadOptionsTrading