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BEST Options Trading Strategies YOU MUST Know [2020 Beginner Guide]


The best alternative policies that every alternatives broker is well aware. My name is David Jaffee I’m the founder of I deserve around a million dollars a year by trading inventory options. I am the only legitimate stock market coach I don’t tell you how to how trade penny armories or Forex or buy out of the out of the money call options in order to try to hit home runs. All of my students make money and I’m here to help you so I’m going to try to keep things as simple as possible because the reason why you’re watching this video is you want to make money

So the alternative policies that you need in order to make money is first it is necessary to a watch index and you should keep your watch list as small as possible if you have any count that’s below 10,000 you should trade at a maximum two explanations probably simply one you should choose Facebook and then just watch it that’s it and then you get pleasant with the trading succession if you open account that’s between $ 10,000 and $50,000 you should trade particularly if you have something between a $100,000 and $300,0000 you should trade a maximum period of three defences I have a multi-million dollar account and I sell I have plights on at all times and exclusively around five excuses these are all market chieftains Facebook Amazon Boeing Lockheed Martin I more have on my watch directory Goldman Sachs PayPal you know I have like recently the gaming assets on a Tv

I like two so the first program is eliminate all distractions have a very small watchlist don’t get allured by like Nvidia or Tesla or Netflix or trading futures or penny renders those people don’t make any money they’re not productive merchants they don’t supplying them with their full selling explains they don’t provide you with screen opens inside their account there’s no statistical advantage to you ever trading and making money in futures or penny resources or Forex or filling technological analysis this is the only way that you’re going to make money alright so first things firstly have a very small watchlist the second thing the second strategy is get pleasant with the trading accumulation Facebook right now is trading 175 its doctrine compass over the past few weeks has been the high of like 180 and a low-end it’s been on 170 I will then wait for Facebook to fall to 172 and then I will sell policy options with a strike price of a hundred and fifty eight dollars that expires around six weeks in the future and I’ll collect around a dollar 20 a share or $120 per contract

That’s pretty much the programmed but being remarkably punishment is another point that you have to do now the third strategy is you only want to trade naked alternatives unless you’re going to trade a super expensive rigmarole like Amazon that’s going to reduce your buying power butt naked alternatives contrary to what a lot of people tell you are way safer than horizontal credit spreads because with a naked alternative you maximize the amount of identification and remittance that you receive it’s extremely easy to go and administer a naked berth relative to a horizontal approval spread and likewise you are inherently protected against you’re a natural hope or your natural inclination to be greedy when you transactions a horizontal identification when you transactions a naked alternative versus a vertical ascribe spread because a lot of people where they get in trouble is those sell to naked alternatives with them with a horizontal approval spread they’ll sell 20 of them and then when the option sells in that no-man’s land below the hoof that they sell and above the hoof that they bought when they sell too many contracts of vertical recognition spread they to submit to an objective losing six months or a years worth of competitors so simply sell naked options so to recap you want to keep a very small watch list again if you have an account that’s under ten thousand dollars you want to trade a maximum of two and even if you simply transactions one protection that’s good enough you are eligible to become thirty to fifty percent every single year by trading one protection then you want to get pleasant with its trading streaks its recent trading range you want to wait for it to fall in the low-spirited intent of the potpourrus you want to trade naked options

Let’s say Facebook like as an example is trading at 175 its trading compass 170 to 180 you wait for it to sell to trade down 172 then you sell a naked put option with a strike of 158 you compile a dollar 20 and share that will expire six weeks in the future that trade is productive around 95% of the time that’s pretty much it that is how you make money in the stock market you the real trick to making money in the stock market is to be punished and you don’t want to do baffled I don’t read any merchandises when a student smells me about Netflix or Tesla or and video or something like that I merely ignore it I don’t read any divisions I don’t try to compete on lore I don’t get perplexed I simply do this every single day of the week I uttered singles and I make a shitload of coin so these are the best options selling strategies you can try to keep it simple I know that you probably have other questions about oh do you look at the deltas you look at the Ivy do you look at the you know the relative IV or the show volatility and like all that so

I don’t listen I don’t I don’t look at any of that shit and the reason is that all of it is reflected in the charge that you receive when you sell alternatives so for example if there’s very high implicit volatility that instead of receiving a dollar twenty a share I’m gonna receive a dollar sixty and those statistics that you’re quoted about like you know the standard deviations and the probability of revenue they’re inherently especially mistaken one standard deviation they’ll tell you that your if you sell a put option that’s one standard deviation apart it tells you that it should expire worthless 68% of the time but the reality is it doesn’t around it expires worthless like 72 or 73 percentage so you have to make a judgment call and not depend to benchmarks and all of the information is reflected in the amount of payment that you’re going to receive so you basically accurately make a decision and say okay am I do I think it’s a good transaction for me to agree to buy Facebook at 1:58 and do I considered that me being repaid a dollar 20 a share is worth the risk that I’m taking to buy Facebook at 1:58 when it’s now trading at 172 that’s pretty much what the question that you ask yourself if the answer is no then you wait for this dollar 20 a share to increase to a dollar 40 if the answer is yes and you make a trade all right that’s how we make money the stock more this is

David Jaffee from if you have any questions let me know you can go to the website and sign up for free training you can also sign up for the best trade panics accessible all of my students are fruitful it’s only nineteen dollars for a seven date disturbance and fill like commentary share agree if you have any questions leave them in the comment section below I is submitted in response to every single comment once again this is David Jaffee and thank you for asking


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