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PM Philip Morris International Options Ahead of EarningsIf you haven`t bought the dip on PM: nor sold the top: Then analyzing the options chain and the chart patterns of PM Philip Morris International prior to the earnings report this week, I would consider purchasing the 92.50usd strike price Puts with an expiration date of 2025-1-17, for a premium of approximately $5.80. If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
NYSE:PMShort
by TopgOptions
Stock Market Logic Series #7Options Spreads strategy, let us talk about it. If you want to buy high-probability spreads, there are specific places where you have the advantage. And, there are other specific places where it is just pure gambling. And, we don't gamble, EVER. We take calculated risks, where the probability of success is much higher than the probability of loss. -------------------------- In spread options, what matters the most is where the price will be at the expiration date. WHY? Because your profit can only be realized near the expiration date unless the price moves dramatically into your favor and far away from the spread strikes. So, if what matters is where the price is at the expiration date, you want that in this future date, the price of the stock to be away from it, with HIGH PROBABILITY. As you can see from the drawing on the chart, the blue channel signifies the probability area of where the price should be in the future. So if in the future, you are in the probable zone, as seen in the RED spreads, at the expiration date, the price could be below or above your strikes, and thus be successful or not successful, so your odds are more 50-50. since the price can just stall there, and oscillate in this area, since it is the probable area where the price should be. But if you look carefully at historical data, you can see that in the GREEN (MONEY ZONES), the price gets immediately rejected... WITH THE HELP OF T-I-M-E And when you buy spreads, you want TIME to be on your side... So now you can easily see... how to make TIME which is a HUGE factor in spreads, on your side! The trend is your friend... IF... you let it TIME to help you... When you use options, and trading options in general you need to know which strategy fits which scenario, and where your HIGH probability trade waiting for you. Just in case you don't know what options spreads are... In simple words... You choose 2 prices of the stock (aka strikes): ------$100 ------$90 and you speculate that if the price in a month will be above $100, you profit 1 point. and if the price in a month will be below $90, you lose 1 point. So it is a 1:1 risk-to-reward strategy. So your advantage comes from knowing where are the pivot points. But not all pivot points have the same advantage... As I just showed you in this post...
NASDAQ:AAPLEducation
by ZoharCho
How to use call option buy or sell indicatorHello Traders, Exciting news! We've just released a detailed video guide on how to harness the full potential of Chobotaru Brothers Option Indicators. In this short tutorial, we cover everything you need to know to use the indicator, specifically focusing on out-of-the-money call options. Here's what you'll discover in the video: 1. Adding the Indicator to Your Chart: Learn the simple steps to seamlessly integrate Chobotaru Brothers Option Indicator into your trading view for a clear and concise analysis. 2. Finding Option Parameters: Navigate through your broker's option chain on platforms such as Interactive Brokers to locate all the essential parameters needed for effective trading decisions. 3. SEE the Lines of Profit: Gain a deep understanding of the meaning behind each line of profit displayed by the indicator, empowering you to make informed choices based on market movements. 4. Utilizing Lower Timeframes (Example of 5m and 30m): Explore the versatility of Chobotaru Brothers Option Indicator by discovering how it can be effectively applied to lower timeframes like 5 minutes and 30 minutes. 5. LIVE Example: Out-of-the-Money Call Option: Follow along with our real-time example using an out-of-the-money call option, providing practical insights into how EASY is the indicator's functionality and application in a live trading scenario. We've designed this tutorial to be beginner-friendly, ensuring that traders of all levels can seamlessly integrate Chobotaru Brothers Option Indicators into their trading arsenal. Watch the video, enhance your trading skills, and unlock the potential for greater success in the options market. If you find the video helpful, don't forget to like, follow, and share it with your fellow traders. Happy trading, and may your profits soar! Best regards, Chobotaru Brothers
NASDAQ:NVDAEducation
by ZoharCho