Options Playbook Radio

Huddle up, traders. Today's discussion addresses listener questions. They include:

  • Nelson from NC: Exploring covered calls on dividend playing stocks.
    • Remember rho
    • You might not receive as much premium. Why?
  • Dr. Ram: How to trade multi-leg option strategies in an IRA account
    • You can't use anything that provides leverage
    • You also have to avoid unlimited risk
    • Remember that you have to be approved within the IRA account
    • Depending on many factors, you will be assigned a level of options trading
    • Brokers can decide what strategies are available to you
Direct download: OptionsPlaybookRadio84.mp3
Category:financial podcast -- posted at: 12:29pm CDT

In this episode, we are discussing skip-strike butterflies with calls that we did last earnings season. This was in episode 77. For those of you with the hardcover version of the book, please turn to page 108. If you are following along online, this is always at OptionsPlaybook.com.

Today Brian discusses:

  • Setting up a skip-strike butterfly on AMZN around earnings.
  • Where is the market right now?
  • What do we want to happen in AMZN?
  • What is the maximum reward? Risk?
  • How to use the proceeds of one leg to buy the other.
  • The good news and the bad news.
Direct download: OptionsPlaybookRadio83.mp3
Category:financial podcast -- posted at: 11:28am CDT

In this episode, we are discussing. If you have a copy of The Options Playbook, this information is available on page 68. You can always follow along online at OptionsPlaybook.com.

Today, Brian discusses:

  • The caveats of long straddles
  • Why do long straddles work in this market climate?
  • Looking at long straddles for GE, which announces earnings on Friday, October 16, before the open.
  • What is the marketplace implying GE could do AFTER earnings?
  • Setting up the trade
  • What do you want to happen?
Direct download: OptionsPlaybookRadio82.mp3
Category:financial podcast -- posted at: 7:28pm CDT

Dan Sheridan is back with Brian, and today they are discussing how to set up an iron butterfly on the RUT. You can find this on page 106 of the Options Playbook, or on OptionsPlaybook.com.

They discuss:

  • Looking at a two-week iron butterfly in RUT
  • Where has RUT been for the last six months?
  • Setting things up, and why might width be different?
  • What is the risk?
  • Why do this in a volatile market?
  • How and why is this repeatable?
  • What is the plan?
  • And more
Direct download: OptionsPlaybook81.mp3
Category:financial podcast -- posted at: 6:06pm CDT

In this episode, Brian is joined by Dan Sheridan from Sheridan Options Mentoring. They continue the discussion of Iron Butterflies, which began last week. If you have a hardcover version of the book, this is on page 106.

They discuss:

  • What is the difference between an iron condor versus an iron butterfly?
  • Why are iron butterflies popular?
  • Receiving a credit versus paying a debit.
  • What about risk?
  • Advantages of iron butterflies
  • Are iron butterflies better than other strategies?
  • What underlyings do people like to do iron butterflies on?
  • What about taxes and commissions?
Direct download: OptionsPlaybookRadio80.mp3
Category:financial podcast -- posted at: 7:05pm CDT