Keep a eye on Greeks only on expiry otherwise it is fine. Don't make your trade complicated. Its a great topic to make a reel but not all reels will help. 🐺
True...there is no need to check the i.v , delta and theta Values for every 5 mins or so...but if you are a option buyer, keeping an eye on Greeks especially on expiry days helps us.
@@gorthichaitanyagorthichait7601exactly. I’ve been trading options for 3 years and the theta and delta tells me everything I need to know before I decide to purchase
It’s not complicated to understand what you are buying. I’m sure you don’t have the experience that you have seen before both CALL & PUT are in red due to the IV.
@moonlighter2809 do you got discord bro? I’m switching from forex into options but I’m a complete newbie at it man, if possible would just ask for a helping hand I’d appreciate it greatly Wish you a profitable week
😂 this happens all the time. More you learn options more you get deeper in shit. Everything they teach is available for free for a reason. It’s worth shit.
@@sleepmoneyken9234you can literally learn on a demo though. Just going straight into it isn't that smart. When the army is about to go to war they don't just go into war, they do simulations. And so should you, because it's simulated for a reason. And if you're getting emotional over a trade then you're probably risking too much money in the first place. I've never felt emotional over a trade. Mainly because I simulated the scenario several times over and over again with a demo to the point where I knew how much I was going to risk (never a lot) and already knew what I was doing. I placed 3 trades this week and lost 1 for 35 dollars. I literally seen that it was going to hit my stop loss but I said who cares it's only $35. I'll literally make that back in one trade easily.
@@sleepmoneyken9234 Jesus Christ saved my life he can save yours to. No body is perfect we all have sinned fallen short of the glory of God, except Jesus Christ. So he was the perfect sacrifice for the world and he became that sacrifice. So that we can be perfect in God’s eyes all we need to do is. Repent from our sinful wicked ways and surrender our life’s to him. Jesus Christ. Repent meaning acknowledge and forsake your sins. Know you have sinned and know you are not good in God’s eyes. (Until you accept his gift of salvation. You will be seen perfect in his eyes because Jesus Christ paid the price.)Forsake meaning do not sin. (You may stumble but just rely on the Lord he’s got you in Jesus name.) We have to be clean and filled with the Holy Spirit. Jesus Christ said we must be born again of the spirit to enter The Kingdom of Heaven. (John 3:3) ! God bless you all. I love you all may you all find Jesus Christ as your Lord Savior . God bless brothas and sisters ❤❤! Thank God ❤️
@@PaulyV93I traded spx 0 dte for scalping and it is the hardest way to trade because you have to be right exactly at that moment. However I think using options for weekly or longer expiration is a great tool to make insane returns. Not so good intra day unless you wait for last hour where premiums are worthless and if there is a setup you can gain crazy returns.
I started with 12k and now currently at 40k. It a wild ride but to come on top, win more than you lose. Biggest win is 6k and largest loss is 8k. Be careful ya. Edit-I’m now down to 20k. Lost 20k of my profit
Me! Too! I made 60k with just 18k capital in my account in less than a week. Didn't know what the hell options Greeks are, only thing i knew was that people in Greece are called Greeks. 😅 Funny thing, i didnt know of these traders like umar and Oliver
it’s also worth it to mention that a lot of those people who don’t understand it WILL understand it after they do it a few times. maybe taking action and spending $20 on an option & losing their money is worth it, if they understand more next time. kind of a “learn by doing” approach
stuff he saying don’t matter unless you trading weeklies, sell a week before your expiration date and all the shit he saying is worthless. I did the $100 to $5k challenge trading various types of multi-leg options during covid and been trading ever since so trust me when I say none of what he says matters unless the stock you have options on is bouncing back and forth within a small range, which in that case you should just move on to the next trade because your capital is wasted and can be allocated to a better trade opportunity.
He’s annoying he’s the one of those geeky guys that just wants to try to make others feel less smart when what he said doesn’t matter because the goal is to sell it anyway
If you’re scalping it’s no big deal. Also stay away from 0dte. Always play like a week out and you’re fine. No need to understand how all the complicated calculations from the Greeks. Sometimes simple is better.
In general agree with his message here. Understanding the products is absolutely essential to being successful. I'm a little cautious on the way he talks about them, some of his language makes me think he's not super well versed himself but the message still stands.
Buying options is a lottery ticket. I sell options in /es so I’m trading the sp500 . I get paid every time I sell options. If you have a small account you can sell spreads so your max loss is the amount between the sold put and bought put.
Check it: it works like this- grab a pair of dice, shake them up vigorously and toss them across the table while calling out what numbers they're going to land on.
I can trade options without the IV, theta or gamma or Vega and even without delta and be fine…. Price of straddle is all I really use to make decisions
@@tvrqsebeats5693 My trading revolves around selling premium. The options Greeks come out of the options pricing. They don’t dictate the options pricing. The market (buyers and sellers) are what dictates any pricing. If we can assume pricing is efficient because of market participants. Then the seller of the option we can assume isn’t some idiot that’s going to give you a free lottery ticket without getting paid. If you’re okay with that logic, then the atm straddle will show you what a 1 standard deviation on the stock/etf/index is at that point in time. 1SD is equivalent to 16 delta… If you’re selling premium on say SPY. And you sell an iron condor for a credit outside of that move then you’ll be correct a lot. If you manage the risk (take losers) before they become full losers then you’ll have a positive EV strategy. For more info find me on LinkedIn and message me and I can do a consult and show my account and what I do.
Implied Volatility is a process of trading happening at once for that strike price. Basically in simple terms the higher the IV the faster itll become valuable, less IV means its not in demand so its slowly losing its value.
The most important thing that should be on everyone mind currently should be to invest in different sources of income that doesn't depend on the government. Especially with the current economic crisis around the word. This is still a good time to invest in various stocks, Gold, silver and digital currencies
The key to big returns is not big moving stocks. It's managing risk in relationship to reward. Having the correct size on and turning your edge as many times as necessary to reach your goal. That holds true from long term investing to day trading.
Even with the right technique and assets some investors would still make more than others, as an investor, you should’ve known that by now, nothing beats experience and that’s final, personally I had to reach out to a market analyst for guidance which is how I was able to grow my account close to a million, withdraw my profit right before the correction and now I’m buying again
Finding financial advisors like Sonya Lee Mitchell who can assist you shape your portfolio would be a very creative option. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
As long as you understand depreciation and are trading with the expiration date in mind, the Greeks aren’t super important, honestly more difficult to study and understand then I thought they were really worth considering the expiration date is basically all you need
@@elizabeths2677they don’t really matter at all if price is moving in the right direction and the expiration date is far off. It only matters when the option is close to expiring otherwise there’s no need to worry about it. You don’t need to understand it in depth to make a good trade at all
Been making money with options for awhile now it’s my ftj and I’ve never looked at the Greeks I know what they are but you can make money and not ever use them what’s this guy talking about?
There is a lot too learn but he is 100% correct. That is why you see a lot of people put a call or a put before earnings and the stock will move in the right direction but the options is flat. Why? Because volatility increased the price of options so as earning approaches vol will usually rise cause people are expecting a larger than normal... Once the earring are out and known all of the vol comes out and bingo you lose. Another thing people often do that is dangerous is selling options close to expiration. Yes, you have Theta decay on your side but have massive gamma risk... in the last week or few days leading up to expiration you are better off buying options than selling. Have you ever seen an option go from like $o5 to $20 in the last day or two, o the short side of that move. Delta is good to understand too. it is basically how much an option's price can be expected to move for every $1 change in the price of the underlyig security. so, if you have a delta of .2 you will move .$.20 for every dollar move in the stock. Anyway there is a lot to learn.
I keep it simple, I buy calls when I’m looking for a move up, puts when I’m looking for a drop. If you go with event based driven moves, be it economic news, company events, fed speak, or other events you have a better chance of the trade going in your direction. Also trade with the trend. Trading just to be trading with break both your financial and mental capital. Point being, trade with some catalyst.
Do u have a video explaining it and how to be profitable consistently? I’ve done stocks and make trades off percentages and love it I made 150% in 6 months and and older friend just showed me he makes that same percentage in a day? How do we look at it? Please respond with links or explanations no unrelated comments guys I’m serious on the subject so serious answers from people with profitable experience please 🙏🏻
Im in a option trading discord and by just taking the trades they take. I typically make $100- $300 per day, while im at my 9-5. I have no idea wtf all those numbers and charts mean, but they look cool 😎
Pretty much me in this case. I don't know what I'm looking at even after studying, it's very confusing and that plays into my gambling mindset instead of having no emotions.
Studies show buying doesn’t pay off only selling options does. I think it’s because of volatility. Up is slow but downside goes quick so opposite side of trend when get a good option pay out. Basically have to call the top or bottom or have it happen within your time frame to make money. I’ve seen mine stay flat even when market rips because too deep into theta and premium was past fulcrum point. Must exit half way to expiration. Too many things go into them and I don’t like calling tops or bottoms without seeing it print first and by then options are too expensive to pay out well. I think this is why odte is most popular now because get in and out quickly at inflection points. If get it right they pay good. Or you can just trade es or nq and scale in with small positions on micros. That’s the only way to change traders equation but it must be done within 3 trades and sized correctly for account.
@@andrewavila4433 tasty trade ran it through their team and after assessment they only made on offset options. And selling was always more profitable than buying because premium peaks when reversals happen so buying a option opposite way of market is cheap.
Not many will tell you but buying long options is best for beginners because the amount you can lose is limited to what you purchased the contract for unlike buying stocks with 10x amount capital and waking up to a 50% down profile because of poor money management as a beginner. The trick is just knowing when to buy the contracts and which contracts to buy depending on your horizon. Stay far away from weeklies and monthlies and you will do fine.
Not knowing is literally why I don't trade options or futures lol I only do spot trades, but here lately I've been thinking about options. Probably why this video popped up lol
i understand fm my frenz that they buy options simply coz they think they need lesser $ to put more shares, they dont know abt the IVs, gammas, deltas and couldnt be bothered w the expiry date
All the comments that are de-estimating the crucial of understanding the greeks before buying the contracts are not a real traders, trust me. They have never experienced to see both Calls & Puts in a bloodbath due to the IV though your stock is moving with your TA direction.
This right here! It’s crazy because from what I’ve read in the comments so far, it seems more than 90% of the commenters are saying the Greeks don’t matter. Crazy af.
I show people the right way to trade options!! Options are an amazing tool and give you so much leverage. Learn what the institutions know and you won’t be saying don’t trade options. You’ll just wish you knew what they know sooner
i learn late when i don’t have money just simple is if market open any price and goes to higher then you have to wait until price drop the same when market is open that same price buy it from low sell it from high
Excelent! You are very smart. No reason to rush in. Take your time ad learn learn learn. Prove your stratagey in a simulator and slowly transition over to risking real money. Good luck! But you won't need luck if you remain patient.
I don’t understand options and don’t care to trade it ever, I love just trading shares and selling them anytime of the day without having to stress out about decay or any of the bs that comes with options. Keep it simple and make more money bc options traders are basically the gamblers that always end up losing everything they won. They are legit gamblers
You make more money trading options than the stock itself, while using less money and you'll only lose as much as what you put in. The PDT rules don't apply to options compared to trading stocks, making it more accessible for people to build wealth and participate in the market. It's not for lazy people or gamblers thinking they're gonna make a quick buck if they don't understand options
@@CodElevatorWhat are you talking about PDT rule applies to options trading but doesn’t apply if someone has more than 25k than they can buy and sell as much options contracts as they like. If traders are starting off trading options is okay start. New traders need to look into futures trading. Trading futures is the best options for new traders!
Because options weren’t confusing enough you want to go to commodities that have different pricing based on the commodity itself…. Thank you for providing liquidity
@@heroldmutebi8200 futures has span margin which is alot more difficult to manage than vanilla options margin. Span margin can destroy your buying power on a winning position just because of volatility expansion
Tbh the only Greek you need to know for options is Theta. That will tell you how quickly the contract is decaying. But, with that being said, the only time you need to worry about theta decay is on 0 DTE’s (Day to expiration)
Also, trade ITM (in the money) or ATM (at the money) contracts. This means the contract strike price is at the underlying stock price (ATM) or passed the strike price (ITM).
I bought a nifty 20200 PE in 19600 level, 20200 value 590 but now Market trade 19300 my premium is less then the current market price what is the reason behind this scenario ( calculation 20200-19300=900 rs is the actual premium value but my holding potion value is less than the 800)?
Buy low IV, sell high IV, get near or at money strikes at least a .03 delta, get enough time/for theta based on scalp/day/or swing trading. Don’t worry about Rho that shit useless. Most important to understand theta, delta and Vega/IV, but once you trade option contracts awhile you will understand how they move based on your entry/exit targets on a chart. You can trade 0DTE on SPX for example as long as you have clean entries. And make 25%-100% easy if you are a TA god.
I understand the Greeks besides the upside of volatility, explosive movement on returns positive and negative it took me a while to care to learn and my first year +2000 percent. focus more on researching stocks and making the RIGHT decisions….Actors don’t need to be experts on cameras, singers don’t need to be experts on mics and etc. The craft is position sizing,fundamentals, and technicals, the problem is the 95% who lose long term over complicate this career.
Simple like driving a car. Most driver don't know how engine works but are good drivers. Most trades don't go much into technicals at first. But just like driving with experience they will understand how it works else they go bankrupt.
I'm pretty damn poor and recently started trading. No shot I'm getting into options until I'm consistently making profit and fully understand what I'm doing. It makes me jealous to see these people making $500k+ off Nvidia calls but I dont have the money or knowledge to do what they're doing
