SMB never indicates if this class is appropriate for those with no options experience. What is the cost? Or put another way, what if any, are the prerequisites for entering this class as to options knowledge, hardware, software, etcetera.
I remember when I just got into crypto back in 2019 but later in 2020 I ended up selling it because I was dumb and I didn't understand it. I studied and learned and now I know how it works. Got back into crypto early in 2023 with 10k and I’m up with 128k in a short period of time .This comment serves as motivation for all those who have invested and continue to invest in cryptocurrencies with so many losses, do not give up, cryptocurrencies can change your life. Do your best to connect with the right people and you will surely see changes.
I'm new to cryptocurrency and don't understand how it really works. how Can someone know the right approach to investing and making good profits from cryptocurrency investments?
As a beginner investor, it’s essential for you to have a mentor to keep you accountable. Myself, I’m guided by Alex Gomez. A widely known crypto consultant
I started working with Alex Gomez back in June, and my financial goals have never been clearer. It’s like having a strategic partner for my money with a solid track record.
just sold a property in Portland and I'm thinking to put the cash in stocks, I know everyone is saying its ripe enough, but Is this a good time to buy stocks? How long until a full recovery? How are other people in the same market raking in over $200k gains with months, I'm really just confused at this point.
Very true. Despite having no prior investing knowledge, I started investing before the pandemic and pulled in a profit of approximately 950k that same year. In reality, all I was doing was getting a professional advice.
How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. who is the driving force behind your success?
Thank you for this tip. it was easy to find your coach, did my due diligence on her before emailing her. she seems proficient considering her resume... can I get a way to communicate with you as I have some questions
Here are the timestamps for the video: 0:00 - Introduction and Overview 0:06 - Course Structure and Goals 0:18 - Introduction by Mike Bella Fieri 0:24 - About the Proprietary Trading Firm 0:31 - Congratulatory Note to Viewers 0:36 - Starting the Learning Journey 0:47 - Welcome Message 0:54 - Ease of Understanding Options 1:00 - Importance of Learning Simple Concepts 1:07 - World of Options Trading 1:13 - Unique Aspects of Options Trading 1:20 - Using Options to Make Money 1:25 - Proprietary Trading Strategies 1:31 - Comprehensive Course Outline 1:36 - What Are Call Options 1:43 - Controlling Large Shares with Call Options 1:49 - Introduction to Put Options 1:55 - Importance of Options Expiry 2:01 - Betting on Entire Indexes 2:06 - Index Options Expiry 2:11 - Modern Options Market Opportunities 2:17 - Understanding Options Pricing 2:23 - Unique Pricing of Options 2:29 - Cash Needed for Options 2:34 - Secret of Selling Options 2:42 - Three Exciting Strategies: Covered Call, Credit Spread, Iron Butterfly 3:00 - Covered Call Strategy 3:11 - Introduction to Credit Spreads 3:17 - Iron Butterfly Strategy 3:23 - Profit and Income Potential of Strategies 3:31 - Step-by-Step Roadmap for Starting 3:38 - Choosing an Online Broker 3:44 - Importance of Paper Trading and Backtesting 3:51 - Required Capital for Trading Account 3:58 - Key Terms: Call Options and Put Options 4:11 - Detailed Explanation of Call Options 4:18 - Call Options as Bets on Stock Prices 4:34 - Example of Buying a Call Option 5:03 - Example Scenario: XYZ Stock 5:21 - Outcomes of Call Option Expiry 6:00 - Detailed Example Calculations 7:17 - Put Options Explained 7:23 - Put Options as Bets Against Stock Prices 8:06 - Example of Buying a Put Option 8:38 - Detailed Example Calculations 9:48 - Expiry of Stock Options 10:12 - Broker's Role in Option Expiry 10:26 - Detailed Expiry Scenarios 11:12 - Detailed Example Calculations 12:38 - American Style Options 13:22 - Options on Equity Indexes 14:05 - Examples of Index Options 15:16 - Example Scenario: Index Call Option 17:19 - Example Scenario: Index Put Option 18:30 - Expiry of Index Options 19:53 - Trading Frequency of Options 20:04 - Understanding Option Price Movement 20:11 - Factors Affecting Options Price 20:24 - Key Pricing Factors: Strike Price, Expiry, Volatility 21:01 - Pricing Table Explanation 22:15 - Similarity in Put and Call Pricing 22:57 - Table for Put Pricing 23:18 - Reasons for Buying Stock Options 24:11 - Example of Buying Stock Options 25:04 - Detailed Example Calculations 27:22 - Comparing Risks and Rewards 28:06 - Single vs. Complex Orders 29:02 - Example of Index Call Option 30:14 - Detailed Example Calculations 32:15 - Concept of Break-Even in Options 33:34 - Principle of Covering Option Premium 34:20 - Profiting from Selling Options 36:42 - Popular Strategy: Covered Call 37:04 - Example of Covered Call 38:32 - Setting Strike Price in Covered Call 39:03 - Importance of Tax Considerations 40:07 - Benefits of Covered Calls 41:18 - Exploring Credit Spreads 41:45 - Example of Index Put Credit Spread 43:12 - Example of Call Credit Spread 44:42 - Safer Trading with Credit Spreads 47:00 - Call Credit Spread Example 48:00 - Market Neutral Strategies 48:26 - Introduction to Iron Butterfly 50:03 - Example of Iron Butterfly 52:10 - Detailed Example Calculations 54:10 - Non-Directional Strategies Explained 56:00 - Range Trades 58:06 - Example of Iron Condor 59:02 - Getting Started with Options Trading 59:52 - Choosing an Online Broker 1:00:52 - Key Broker Features: Options Chains, Strategy Menus, Profit Graphs 1:02:01 - Understanding Options Greeks 1:02:45 - Comparing Broker Commissions 1:03:49 - Assessing Broker Fees and Charges 1:04:52 - Real-Time Market Data 1:05:53 - Assignment Charges and Patterns 1:06:32 - Popular Platforms: Think or Swim, Interactive Brokers, Tastyworks 1:07:18 - Comprehensive Options Trading Education 1:07:56 - Importance of Backtesting and Paper Trading 1:08:38 - Starting with Live Capital 1:09:31 - Meeting Pattern Day Trading Standards 1:10:01 - Steps to Start Trading Options 1:10:46 - Free Workshop Offer This should help in navigating the video efficiently.
It's about time someone makes since out of options, and one of the most profitable ways to trade it. You got my attention when you stated that 75% of option trade expire and lose money buying them. And the edge to making money in this game is to sell them with an emergency strategy. That was very interesting. I'm going to invest in this training and see for myself if this edge really exist. Thank you .
Such great content!! Although, I’d recommend pausing the video on each slide and taking old school notes to include timestamps SMB, you have a loyal subscriber here, this is awesome!!
If I have some call options in the money & don't have the cash on hand to purchase the total number of shares. Will my brokerage firm automatically sell them? Or am I expected to have the cash on hand to fulfill the obligation purchase prior to selling for profit
Great video Thanks for sharing! The question remains if everybody sells cause of what you explained in the video, who wants to buy options? thanks again!
I understand covered calls but that's about it with options. For some reason I just get confused with selling puts and buying puts and selling calls and buying calls and all the complicated mixture of all the possibilities.????
Im still in the beginning of this video but, one thing I had gotten confused on was the actual purchase of 100 shares of asset related to the option. Do you need to have the buying power to purchase 100 shares yourself in your account?
When the call buyer is right they allowed to buy the stock at the strike price but what if we do not want to buy shares of a stock. i am confused on that. if you could get back to me it would be greatly appreciated
Good video but not very practical without specifics…What ETFs trade in points??? I know futures do, but you’re talking about doing an iron condor with an ETF 8 weeks out😮 And only paying $100/point that it moves up or down from your strike price. What ETF is this?!? If I have an iron condor on a stock or ETF and I’m higher than the call spread or lower than the put spread I’m getting assigned and exercised. So what’s this dollar /point ETF? And what ETF stays in a range for 2 months in this market?!? More specifics would be very helpful! Thanks.
Hi @Nancymarie7733 in video we explain that index options pay off $100 per point if the option expires in the money. Index options are not an ETF, because ETFs are stocks and indexes are really a measurement of movement of a basket of stocks.
they mean the spx or ndx not the spy or qqq. spx and ndx are cash settled as they dont have underlying stock like the SPY etf or QQQ. edit: there is also the XSP but not as liquid but no (stock) assignment risk
Hi Leon, I didn't suggest that trading options is easy, but I do assert that understanding them is easy if you just take a little time with the concepts.
Huge learning curve involved. Multiple blind spots too. Best to have a mentor holding your hand through the process as a beginner, and paper trade for a while to enhance understanding and gain some practice, to avoid a quick account blow up.
@@sethfreudberg4750 Hi Seth, I love your content. I've been trading equities for over 25 years, derivitives almost 10 years. Does SMB Capital have a training "academy" I can physically attend in your NYC location?
This is an options video. Shares of stock and options are 2 different things. You need to setup a thinkorswim paper money account which is fake money trading real time.
Very disappointing. Over 10 minutes into this and I'm still getting the sales pitch. I'll give it a couple more minutes, but it's time to deliver on all the talk.
It will be grateful if SMBU can provide an educational video regarding selling IC at 0DTE on any cash settlement products without managing the trade till expiration that has a very high probability setup of success in all market volatility scenarios particularly for traders residing outside US with 12 - 13hours ahead of eastern time.
We have a number of videos on our channel about 0 DTE iron condors--it's not likely to be possible to have a long term viable strategy without adjustments though.
I'm an aspiring trader who would rather learn from other traders' experience than investing in the market myself, in anticipation of the next bull run. What are your thoughts on copy trading as well? Do individuals actually earn a living? Just trying to get some reassurance. I want to have a healthy portfolio worth at least $850,000. Reliable inputs please.
The strategies are quite rigorous for the regular. As a matter of fact, they are mostly successfully carried out by pros who have had a great deal of skillset/knowledge to pull such trades off.
The truth is that this is really not as difficult as many people presume it to be. It requires a certain level of diligence, no doubt, which is something ordinary investors lack, and so a financial advisor often comes in very handy. My friend just pulled in more than $84k last month alone from his investment with his advisor. That is how people are able to make such huge profits in the market.
I appreciate this. After curiously searching her name online and reviewing her credentials, I'm quite impressed. I've contacted her as I could use all the help I can get. A call has been scheduled.
Trading options isn't as superficial as selling shares at a given demand price. Options traders and investors are at the mercy of the bid-ask spread, and this is not good.
How do I start, who will guide me and what are the risks involved. These are the questions on the minds of a lot of people. Nice video but this questions is yet to be answered.
This is the best options intro presentation I have ever seen, and I have been at it for 13 years. Wish I had this content presented to me when I started.
May Allah bless Ronal’ for his help. I’m glad my doubts have been cleared, and i received my profit from last week’s investment. Keep up the great work
I will be forever grateful to you, you changed my whole life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Catherine Gauthier.
Wow. I'm a bit perplexed seeing her been mentioned here also Didn't know she has been good to so many people too this is wonderful, I'm in my fifth trade with her and it has been super.
She is my family's personal Broker and also a personal Broker to many families in the United states, she is a licensed broker and a FINRA AGENT in the United States.
Concluding 2023 with a 20% decline in the S&P 500, long-term investors find a promising entry into 2024. Noteworthy ETFs include: $VOO for S&P 500, $VTI for total US market, $QQQ for tech growth, and $SCHD for growth with dividends. Calculating my annual dividends, I'm thankful for $167k-attributing it to discipline and focus.
In the past month, my "unexciting" index funds provided me with over $6,000 in dividends, giving me the option to spend without selling shares. Currently, I've opted to reinvest the dividends to acquire additional index funds for future growth.
Seeking advice on dependable monthly investment options. My goal is to eventually enhance my work income with consistent monthly returns from investments, alongside my long-term investment strategy, for a supplementary monthly income.
Definitely! All of this happened in less than a year after *Camille Alicia Garcia* told me what to do. I started with less than $100,000, and now I'm about 17,000 short of having a quarter million dollars.
They say you truly understand a subject when you can break it down on a 6th grade level. Well, I was back in middle school for the past hour, and you sir, are an excellent teacher! Thank you. 😊
With world markets tumbling, inflation soaring, the Fed imposing interest-rate hikes, the treasury yields rising rapidly, markets mlarge anipulations, and ma profits from all these investing BS.ny other factors makes me wonder if people still make
From today I have made 3.301% on my trading account. I'm almost 65 Y.O. and am using this extra money to help pay for odds and ends that I want as a retiree. Anyone can do it with the correct knowledge, skills, and patience. Best of luck to you going forward.
flailing U.S. economy and elevated global tensions reduce the likelihood of prolonged inflation or higher long-term Treasury yields. All my focus right now is how to safeguard and improve my $2m portfolio from market changes based on the conflict in the middle east.
It's precisely at times like these that investors need to be on guard against the next certainty. With the Ongoing war Between Israel and Palestine, You don't have to act on every forecast, hencei will suggest you get yourself a financial-advisor that can provide you with entry and exit points on the shares/ETF you focus on.
Agreed, instead of panic or following a hearsay, I simply adopted the service of an advisor early 2020 amid covid-outbreak, and so far, I've attained my most measurable financial milestone of $650k after subsequent investments.
I just looked her up on the internet and found her webpage with her credentials. I wrote her a outlining my financial objectives and planned a call with her.
Seth is a great educator! I've been trading options for several years, but every time finding something valuable in his presentations. Helps to build "muscle memory", as he precisely allegorized it. Excellent work, thank you!!
28:51 Ok, I'm a dumb dumb, and I'm simply not grasping this... how exactly does that lose you money? Can a Good Samaritan take pity on my dumbass and simplify this further like I'm a toddler?
I laughed so hard at your comment. At 28:51, if you are talking about the “Hurdle” the cost of the option, he means that the premium “cost you pay for the option contract” works against you raising the bar for when you make money. So you don’t only have to go above the strike price, but you have to go above the strike price + the premium you paid to get to the breakeven point of the trade (in case of buying a call). Only after the break even point you start making money on the trade. Hopefully that answers your question.
Great content, as always! I have a quick question: I have a SafePal wallet with USDT, and I have the seed phrase. (air carpet target dish off jeans toilet sweet piano spoil fruit essay). How should I go about transferring them to Binance?
Trading? I have zero idea how it works. I have money stashed away but instead of lying idle, I want to put it to work to make me residual income. How are you doing it?
Well, I've gotten into a plethora of assets with $73k spread across stocks (options and futures) for short term and index funds, and ETFs, for the long term. I've been investing with help from a pro fund manager, Herman W Jonas who oversees my investments. Now I sit back and reap my dividends while I just reinvest from time to time.
@Allandexx Your assistance was helpful. I was able to have a conversation with him. What's even better is that he's certified with a registered broker. I'm getting started right away!
I'm glad to say that I'm one this who Herman has helped tremendously. I was able to recoup my losses within a short span under his tutelage. Can’t even express how grateful I am coming across him.
In your example of the Iron Butterfly that is non directional, the upside breakeven is only $1 above the original current price......so the profit range is almost all down from the original stock price of 1880. Sounds like this only works when the stock is down ( so it is a directional strategy)?
6:23 If the buyer is willing to pay the seller a premium thinking that the stock will go up beyond the strike price, why wouldn't the buyer just buy the stock today and not have to pay a premium? Ex: Today it's 1 dollar. One month later it's 3 dollars. Why pay a premium and get it for 2 dollars, if you could've gotten it for only a dollar today?
goint tru again. I praticed, but the real one is different. the cost webull gives, you have to multiply times 100. I totallymissed that. paper trade seems to be different.
18:38 There is an error here correct??? 2950-2750 = 200 NOT 20… it seems like this should be corrected as the video is made for beginners and may cause confusion.
Very good information. An impressive, comprehensive and easy to follow explanation of what option trading is and how it works. I am an old timer, retired and with time on my hands, who has been selling call options on my dividend portfolio for some time. Oh if only I had learned this information decades ago! Thank you so much, I think this may help many others out. Selling coverd calls has certainly been a boon to my retirement.
Thank you so much for this teaching. I know this is what you do for a living, but letting us in on your wisdom and freely teaching us all these concepts leveled me up in options understanding years in a short time. Well done, all who were involved in the making of this video.
Hi, SMB, first of all I want to thank you for your contents you put out every week. I am grateful I can always count on you guys to provide world class video information on trading. When I watch one of your long training videos, I always like to stop and take notes while I am watching to make sure I understand everything you are teaching. Since your videos teaches so well and clear, I rarely have questions that cant be answered just by watching a few more times. However, for the 1st time, I do have a question on one of your slides on put options. It states "If the put buyer is wrong: Call seller just pockets the premium he received for taking the bet". Does the put buyer buy from a call seller or a put seller? both?
If the put buyer is wrong (the stock price doesn't drop below the strike price), the put option expires worthless, and the put seller keeps the premium.
Thanks for the nice video. The margin aspect wasn’t covered much. Naked sell options make more money but needs more margin or for same margin amount less lots can be traded. With hedged positions more lots can be traded so can potentially match the profit of naked trades
great information thank you so much I am trying to learn more in depth and have a few questions, minute 47:50 call credit spread the contract you sell (lower strike) and the contract you buy (higher strike) what parameters do you use to pick the strike, since I check the volume on different strikes since I am afraid I wouldn't be able to sell the contract with low volume at a higher price, and what could go wrong with the iron butterfly and how could you lose money?
Sorry Question: When I place a Call and it is on money do I cover from the strike price till the market price the buyer? or I just sell my shares at the strike price then " he cash the rest from the market" ?
your shares will be sold at the strike price you sold regarldess of price, as long as its in the money. again maybe rephrasing as i didnt understand the question. so ima give an answer to a few diff things you could be asking. that being one, if you owned shares from 50 sold 100 call and price closed at 110 you keep the premium and you sell those shares for 100. (more profit) but not as much as 110 in open market. this will also happen automatically as a call seller. if you bought the call and the price is above that stike price. you get to buy 100 shares at that stike price no matter how much higher the stock price is marked in the open market. example you buy an 8$ call while the stock price is 6.50. duriing the time of owning the call the stock rallys huge on earnings or some event to say 20$ you get to buy 100 shares for 8$ aa piece OR you can just sell the option out right if you dont want to exercise. hope that helps.
@SMBCAPITAL - At 18:35, when you discuss the expiration and pay out of an in the money put option, shouldn’t the payout be $20,000 (based on the 200 point difference x $100 per point?) 🤔
57.22 There a typo in the upside breakeven bullet point? The previous slides showed that we already make money when the price reaches 1885.23 which is outside of the specified range.
There's something I don't finish to understand. In the video (and books) says that you don't make gains on a Call option unless the expiration price be higher than the strike price. But, I see people open and closing positions, trading the price of the option that makes gain even below the strike price. An explanation would be welcome, thanks.
I am trading from few years in options trying different different things didn't have any mentor build from scratch its one of the big mistake but from 7 month working on same setup everyday with good rr and 3 trades a day rule still sometimes its hard due to psychology, well for anyone reading big suggestion find setup try it with 1 lot look at the result for at least 6 month and one more only one instrument is enough don't jump everywhere you see momentum "don't be jack of all be master of one" then plan for more capital unless don't touch it its doomsday .
What? Shortly before 8:38, the guy says 'what if' someone has bought shares of a stock at $60 a share and wants to buy protection. So that owner buys protection for $50 a share. At 8:38, the guy says the owner can sell the shares for $50 a share regardless of how low the stock price goes. To me, THAT ain't protection. Why would anyone want to buy protection at the $50 level, if they bought it at $60? For a small price, whatever the cost, why not protect an investment at the $60 price. Why $50? What am I not understanding?
Good morning everyone, this lesson was inspiring for me.... but I didn't understand in the explanation of the Iron Butterfly at minute 57.03 why the downsize break even is calculated with 1800-81.15= 1718.85 instead it shouldn't be 1886.61-81.15 = 1805.46 ? Many thanks in advance. Gianluca from Milan
