Welcome to Option Trading Concepts Live, where hosts Nick and Mikey entertain and educate viewers about the exciting world of trading options. Join them on tastylive for a live chat session, where you can ask any questions you may have.
In this video, Nick and Mikey dive into analyzing the current market conditions, which are on an upward trajectory. They give updates on major indices, commodities, and volatility levels, keeping you in the loop about what's happening in the trading world.
Next, they introduce the concept of skew and how it affects options trading. Skew represents the perceived price risk of an underlying asset, and it's reflected in the pricing of out-of-the-money options. They use examples from well-known stocks like NVIDIA to illustrate how skew can be identified on a trading platform. They even mention the Skew Index and VVIX as handy tools for measuring skew and volatility of volatility.
As the video progresses, Nick and Mikey field questions from the YouTube chat and discuss different trade ideas. They discuss their plans to trade Tesla and Netflix, they answer viewer inquiries about specific stocks, trading strategies, IVR rates, and much more.
One interesting topic they touch upon is Apple's upcoming earnings and its monumental climb to the 3 trillion mark. They mention waiting for the earnings report before deciding on a trade, viewing it as an ideal opportunity for calendar and diagonal spreads.
In addition, they discuss AT&T as an investment, highlighting its high dividend but cautioning against its declining stock value. They point out that dividend stocks don't always guarantee short-term profit, and trading options on AT&T may not be lucrative due to low premiums.
The video wraps up with Nick and Mikey's bullish sentiments regarding upcoming earnings for Tesla and Netflix. They discuss factors that could impact Netflix's earnings, such as new subscriptions and the ratio between premium and ad tier subscribers. As for Tesla, they mention an intriguing deal the company made with GM and Ford for electric vehicle charging ports.
Lastly, they address a listener's question about when to sell a put option before earnings. They explain that even though the extrinsic value may decrease slightly as earnings approach, a short put trade can still be profitable due to Delta exposure, which is the key driver of premium changes.
So, whether you're a seasoned trader or just dipping your toes into the world of options trading, this video is sure to provide valuable insights and inspire you to explore exciting trading opportunities.
tastylive content is created, produced, and provided solely by tastylive, Inc. (“tastylive”) and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. tastylive is not in the business of transacting securities trades, nor does it direct client commodity accounts or give commodity trading advice tailored to any particular client’s situation or investment objectives. Supporting documentation for any claims (including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer. Options, futures, and futures options are not suitable for all investors. Prior to trading securities, options, futures, or futures options, please read the applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange-Traded Options Risk Disclosure found on tastytrade.com/disclosures.
tastytrade, Inc. ("tastytrade”) is a registered broker-dealer and member of FINRA, NFA, and SIPC. tastytrade was previously known as tastyworks, Inc. (“tastyworks”). tastytrade offers self-directed brokerage accounts to its customers. tastytrade does not give financial or trading advice, nor does it make investment recommendations. You alone are responsible for making your investment and trading decisions and for evaluating the merits and risks associated with the use of tastytrade’s systems, services or products. tastytrade is a wholly-owned subsidiary of tastylive, Inc.
tastytrade has entered into a Marketing Agreement with tastylive (“Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’s brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade. tastytrade and Marketing Agent are separate entities with their own products and services. tastylive is the parent company of tastytrade.
tastycrypto is provided solely by tasty Software Solutions, LLC. tasty Software Solutions, LLC is a separate but affiliate company of tastylive, Inc. Neither tastylive nor any of its affiliates are responsible for the products or services provided by tasty Software Solutions, LLC. Cryptocurrency trading is not suitable for all investors due to the number of risks involved. The value of any cryptocurrency, including digital assets pegged to fiat currency, commodities, or any other asset, may go to zero.
© copyright 2013 - 2024 tastylive, Inc. All Rights Reserved. Applicable portions of the Terms of Use on tastylive.com apply. Reproduction, adaptation, distribution, public display, exhibition for profit, or storage in any electronic storage media in whole or in part is prohibited under penalty of law, provided that you may download tastylive’s podcasts as necessary to view for personal use. tastylive was previously known as tastytrade, Inc. tastylive is a trademark/servicemark owned by tastylive, Inc.