Jul 29, 2016
Options 101: Our topic today was inspired by a listener
- Question from Mark Davis: Hello, I am a new listener to options
bootcamp and am currently on Ep. 4. There was a mention of using
covered calls to generate a "dividend." I am having trouble
tracking down more information on this. Being still new to all of
this I am hoping to get a clearer picture of how it works. How far
out on expiration should I look and how do I figure the strike
Mail Call: Even more listener questions and comments
- Question from Robert Kornacki: I would like to use strategy
regarding naked puts. If the naked put is far out of money what
strategy could I use to protect myself. Could I use some type of
order in case it was getting close to naked put strike price.
- Question from Dmitry Shesterin: What happens to LEAPs for
tickers that get delisted before expiration?
- Question from Fred: I read Natenberg options volatility and
pricing twice now and I have also set up paper trading accounts.
But I am stuck going forward in my options progression. I do not
want to trade using the greeks formula. But I want to spec on crude
futures intraday using options. What should I do? Should I make
more SIM trades until I figure it out? Or am I just too ignorant to
- Question from Jack Rieger: Do you have any specific strategies
near or on expiration to profit from theta decay?
- Question from Bobby: How long did it take you to become
comfortable trading credit spreads? Also what is my max loss when
trading a credit spread?
- Question from from Tor: Hello. I am (restarting) my options
trading on a shoestring; any thoughts on mini-options? Thanks.
- Question from Fred (#2): Is it my imagination or do options
traders trade more markets than futures traders do? Is that a good
practice? Is it good to look for multiple markets when trading
options? Should I expand my horizons?