Options Playbook Radio

Options Playbook Radio 58: Back to Butterflies

In this episode, we’re discussing skip strike, or modified/broken wing butterflies. If you’re playing the home game, you can find this information on page 108 (skip strike butterflies with calls) or page 110 (skip strike butterflies with puts). Additionally, it’s always available on OptionsPlaybook.com.

Today, Brian discusses:

  • Understanding butterflies first
  • How a skip strike butterfly is different than a regular butterfly
  • Risk trade-offs versus a standard butterfly
  • Benefit: doing it for a credit
  • Why you want to be directional in your forecast
  • And more…
Direct download: OptionsPlaybook58.mp3
Category:financial podcast -- posted at: 11:20am CDT

Options Playbook Radio 57: Trading Diagonal Call Spreads around Earnings

In this episode, Brian discusses trading around earnings, specifically using diagonal call spreads. You can find details on this at: tradeking.com/allstars

Brian discusses:

  • An example using Gilead
  • Sell a call before earnings, buy a call after earnings
  • Why is this called a diagonal?
  • What is the maximum risk?
  • Things to consider
  • And more…
Direct download: OptionsPlaybookRadio57.mp3
Category:financial podcast -- posted at: 1:23pm CDT

Options Playbook 56: Butterflies Around Earnings

It is earnings season, and Brian discusses multiple butterfly strategies you can use around this time of season.

Direct download: Options_Playbook_56_final.mp3
Category:financial podcast -- posted at: 9:35pm CDT

Options Playbook Radio 55: Huddle Up for Listener Questions.

Today, we’re covering listener questions. Brian and Mark discuss:

·         Which OTM call strike performs best when the underlying rallies?

·         This covers:

·         Timing

·         Volatility

·         Volatility skew

·         Alternatives

·         And more…



Direct download: OptionsPlaybook55.mp3
Category:financial podcast -- posted at: 12:08pm CDT

Options Playbook Radio 54: Butterfly Spreads, continued

In this episode we are continuing our coverage of butterfly spreads. For those of you with the hardcover book, you can find this information on pages 103 and 104. You can also follow along on OptionsPlaybook.com.

Today, Brian discusses:

  • Two real strategies: a butterfly around IBM earnings, and a SPX
  • Let’s look at what is happening with IBM
  • IBM going into earnings
  • Butterfly using IBM weekly options
  • Focusing on the midpoint
  • Maximum risk, maximum upside
  • Remember not to go for a home run
  • What might happen after earnings?
  • Why do you want implied volatilities to decrease?
  • Doing butterflies on indexes, using puts
  • Maximum risk, maximum upside
  • Differences between weekly options and standard options to keep in mind
  • Adjusting your legs
  • Don’t forget that index options are cash-settled, and have 60/40 tax treatment



Direct download: OptionsPlaybookRadio54.mp3
Category:financial podcast -- posted at: 3:02pm CDT