Options Trading MYSTERY: How to Choose Your Strike Price 🔍

Struggling to pick the right strike price for your options trades? Look no further! In this video, expert trader, The Financial Minutes, reveals his secret method for choosing strike prices to maximize profits. You'll learn how to balance risk and reward, leverage delta to your advantage, and capitalize on hidden opportunities with in the money vs out of the money options.

This video is packed with actionable insights for both beginners and experienced options traders.

Want to learn more about options trading strategies? Subscribe to The Financial Minutes for daily tips and tricks to level up your trading game!

[soanmkapor]

Who else thinks trading is not as easy as it seems watching YouTube videos?😌

[SamMcKinley]

Thank You. I only clicked this video because of all that I have learned and lost. Made $30 finally on a trade. But I have trouble picking the strike and knowing when decay begins. Thank You

[stevenhoang]

I am happy I am not the only person who is confused. I watched countless videos and I know most of the terminology but there are just some holes in my knowledge that makes me worried. I want to learn how to trade options because I think it can be a great skill and a good way to generate money when doing risk management and using safe strategies. I am pretty sure if I start options right now I would have a more deeper understanding, however, I think learning as much terminology and strategies till it is common sense will give me a more better chance at making a profit.

[floridaboz]

Thanks for clearly explaining strike prices, i was a bit confused before this video

[quincybaker]

So, would I be for example, watching my charts as I would in trading stock, following market structure, price action etc and let’s say for example when I see price return to a key level that I expect to trend up from. So I’d select a strike price at I’d near the key level price anticipating an increase?

[Serjio-fiqc]

you are amazing brother thanks 🙏 for everything

[darioncox]

do you make more money when it expires in the money or out of the money? If a put expires out of the money how will you make money with the stock price going up instead of down how you wanted, you would be selling it for a cheaper price losing money, right?

[spydamark]

I know i suggested this before but we need that in depth video of the call credit spread vs the put debit spread comparison pro cons when to use all that good stuff which is better. Just did a trade that was very profitable using them together combined looking at you BBBY 🤑. Keep up the good work.

[UtahTech-ptbo]

Intrinsic value = stock price - strike price.

Provided the contract is In-the-money.

[zshn]

Woooah Woah Woah. That 'stache is ITM for sure.👍

[HybridHero]

I’m confused on one thing. Let’s say there’s a stock for $20 and magically next week it rose to $50. And I had 2 calls set in place. One for $30 and another one for let’s say $45, which call is making me more money? The $30 one right? If that’s the case wouldn’t it always be smarter to hold a smaller call and try to time it so that the price flies?

[thebigg]

Sorry so if lets say my call option were out of the money meaning my strike price is lets say $30 and the stock price is $25, and I'm close to my expiration, I don't need to exercise my rights to buy the $30 dollar contract and I should just let it expire? I lose whatever I use to buy that option nothing more right? Compared to exercising that option to buy the $30 dollar price, which will make me lose less?

[biagomes]

Coud you do a video with a example, like using paper and pen. I am visual and since i dont know any of this, would be easier to understand terms and how to do. Thank you

[Theextremepessimist]

Once I fully understand this, I’m going to use the day replay simulator to do live examples for people. The hard part about all of this is it’s hard to know without real world live examples.

[Chris-wknu]

Just gotta be BALLS DEEP in every trade you make. BALLS. DEEP

[pooter]

If my options are losing money and I don’t wanna lose all my money I should sell before it expires?

[Wherescam]

So when you sell a put you have to wait until expiration? Theres not getting rid of it early like buying calls/puts?

[heelwalmartassociate]

I have a question and really need help. Im trading $TSLA and did a 3 option spread for $45 and was up $330 at one point and couldn’t close. Bid is $0.00. Any other way to close or will i end up owing hundreds of thousands of dollars? Also, im using a cash account not a margin account.

[Metodo]

Ok Greg this might be a stupid question for you but I'm still in the learning process i need a little help here: If you BUY a call or a put for example 1.25 ($125dlls) and the price goes against you and you let the contract expire, what's the worst scenario?

***You only loose what you pay for the premium? in this case the $125? or
***You need to buy the shares as well?

this gets me a little confused, what i know is to get out of the contract before expiration date but i just want to know what will be the worse scenario that could happen? I'm not in to selling yet because i perfectly understand the risks on "the Wheel" and i don't have the money to buy or sell 100 shares, that's why I'm more into buying calls and puts because i suppose you only loose what you pay for the premium and that's it.

Thankyou for your help i really love your channel.

[Trinisoc]

Which app or site did you use in the video?