Learn Options Trading - With Step-by-Step Trading Plan

Explore how a call option gives the buyer the right, not the obligation, to buy an underlying asset at a strike price with a three-month expiry by paying a premium.

Explore the anatomy of an option contract by examining call and put options from buyer and seller perspectives, including premium, strike price, exercise rights, and expiry on equity options.

Explore moneyness in options, including in the money, at the money, and out of the money. See how premium blends intrinsic value and time value and how delta indicates profitability.

Explore the four option categories and strategies for bullish, bearish, and neuter markets, including customer strategies like bear trading, intermarket, and strangles, and decide buy or sell premium.

Explore basic bullish options strategies, including buying stock, buying calls, call and put vertical spreads, selling puts, and covered calls, with next session detailing pros and cons.

Explore bearish options strategies, including short selling, buying puts, and selling calls, with put and call vertical spreads and variations for a downtrend.

Explore neutral options strategies such as short strangle, short straddle, short iron condor, and short iron butterfly, including risk definitions and when to use them.

Learn how custom options strategies blend multiple positions, such as a vertical call and naked put, to express mixed stock opinions and tailor trades for neutral to bullish views.

Explore various option types and strategies to maximize profitability with minimum risk. Dive into military, policing, neutral, and Kostroma strategies to sharpen your trading approach.

Explore vertical spreads in options trading, including their types and alternate names, and learn their benefits and how debit versus credit spreads differ in risk and probability.

Learn vertical spreads, a strategy with one long and one short option in same expiry, across four types of call and put verticals, and when they are credit versus debit.

Learn how vertical spreads offer direction bias strategies with predefined risk and low buying power, comparing stock, calls, and spreads to maximize profit potential.

Compare debit spreads and credit spreads: debits require paying a premium for a directional bet, while credits offer premium, higher probability, and flexible roll adjustments.

Learn the basics of vertical spreads, including what verticals are, how they’re formed, the different types, and that spreads can be bought or sold with predefined maximum profit and loss.

Learn to choose among short vertical, local vertical, and related strategies, trade when bullish or bearish on the stock, and select strikes and expertise, with examples of each vertical.

Learn how a bear call spread works: sell a near-term call and buy a higher strike, collect premium as credit, and profit when the stock stays below a chosen price.

Calculate profit or loss on credit call spreads by selling near-the-money and buying out-of-the-money calls to collect premium, with profit limited to premium and loss to the spread minus premium.

Learn when to trade credit call spreads in mildly bearish or range-bound markets by selling a 105 call and buying a 115 call, with stock not rising above resistance.

Discover how a credit bull put spread works: sell a near-the-money put and buy a farther out-of-the-money put to collect a premium, hoping the stock stays above the short strike.

Explore calculating profit and loss on a credit put spread, selling 50 and buying 45. Max profit is the premium; max loss equals strike gap minus premium.

Learn to use credit put spreads, selling a 120 put and buying a 115 put to create a short put vertical, profiting when the stock stays above 120.

Select a stock with directional bias, high implied volatility, and liquidity using scanners, charts, and analysis methods for the step-by-step trading plan to frame a bullish or bearish trade.

Select expiry in 30–60 days, ideally around 40, and favor monthly expiries. Choose near-the-money strikes to form a call spread, calculate premium, max profit, max loss, and breakeven.

Check the premium, targeting at least 30% of the spread; size contracts by account and risk, keep max risk under 5% and buying power under 60%, then execute.

Learn how to manage a winning options trade by securing 50% profits on credit spreads, closing near expiry, and rolling position into next month when your view remains favorable.

Adjust a losing option trade by either closing the position when premium doubles, or rolling it out to extend time, reducing cost basis and preserving time to recovery.

Explore the bull call vertical spread by buying a near-to-the-money call and selling a farther-out-of-the-money call, illustrated with strike examples.

Learn how to form a debit call spread by buying a near-the-money call and selling a further out-of-the-money call, creating a ten-point vertical spread with a premium debit.

Use a bull call debit spread when bullish, buying a near-the-money call and selling a higher strike to reduce cost, cap profit, max loss equals premium, and breakeven at 83.10.

Learn debit call spreads as a low-cost, bullish stock replacement strategy. Break-even is the nearest strike plus the premium, with max profit of 6 when stock tops 120.

Learn to generate income from owned stocks by selling call options and collecting premium while awaiting price appreciation, illustrated with a real-life rental analogy.

Buy stock and sell a call against it to form a covered call, earning the premium; if the stock hits strike, you sell at strike, otherwise you keep the premium.

Explore the covered call strategy by buying stock and selling calls to generate income, using strike prices, expirations, and premiums while preserving long-term upside.

Master covered calls with a FUBO trade example: roll to boost premium, lower cost basis, and profit whether stock moves above sold call price or falls, while staying bullish.

Review the latest covered call on FUBO with 200 shares, rolling the call to May 28, as FUBO trades above the 20.50 strike and generates profit when called away.

Learn why I don't condone uncontrolled trade and how to set up a trade, then explore the six ISTEP trading plan and its guidance on selecting expertise and restrikes.

Learn why the iron condor is a market-neutral, defined-risk option strategy that benefits from time decay, requires minimal monitoring, and suits small accounts or IRA while offering predictable outcomes.

Learn the iron condor, a four-leg, market-neutral strategy using put and call spreads to profit when a stock remains in a defined range, with profits limited to the premium.

Select underlying stocks or etfs and use a liquidity-focused scanner to find iron condor ideas, then use monthly expiry within 30–60 days and delta-based strikes with premium targets.

Determine iron condor credit by ensuring at least 25% of the premium with a 10-point spread. Size by spread width and contracts, then verify expiry and existing positions before executing.

Observe real iron condor trade examples, including opening and closing prices, premiums collected, profits earned, and time held, to understand risk and reward dynamics.

Explore the most traded options strategy, learn to select a teacher using the scanner, compare strike methods, and study the six step drilling plan with real-life examples.

Apply strict risk rules and defined trades for options, track every trade in a journal, monitor positions, limit capital use to 60%, and focus on 2-3 strategies.