Options Trading: Understanding Option Prices
trade stocks August 19th. 2020, 9:53amGET 3 FREE OPTIONS TRADING LESSONS | https://bit.ly/2UnVy1g
Options are priced based on three elements of the underlying stock.
1. Time
2. Price
3. Volatility
Watch this video to fully understand each of these three elements that make up option prices.
Adam Thomas
www.skyviewtrading.com
what are options
option pricing
how to trade options
option trading basics
options explanation
stock options
Sky View Trading https://skyviewtrading.com/
Sky View Trading https://skyviewtrading.com/
Sky View Trading https://skyviewtrading.com/
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Learning the basics of options trading can be very confusing at first, especially as a beginner.
The video starts by discussing the benefit of trading options, which is the ability to leverage returns and potentially have lower loss potential compared to simply trading stocks.
Then, we’ll explain basic options trading concepts by walking through each concept and explaining them intuitively.
We’ll start by discussing the two options types:
1) Call Options
2) Put Options
With each option type, we’ll go through some hypothetical trade examples so you can understand scenarios when buying and selling calls and puts can be profitable, and when the trades will lose money.
More specifically, why the option prices make complete sense based on where the stock price is relative to the option’s strike price at expiration.
If you’d like specific guides on each of the options strategies discussed in this video, check out the videos below:
Long Call Strategy: https://youtu.be/vvAND3hDRwc
Short Call Strategy: https://youtu.be/InMZhTY5n2s
Long Put Strategy: https://youtu.be/k9uiYBQJfOs
Short Put Strategy: https://youtu.be/RO0ezQEWXdM
Options Trading for Beginners [PLAYLIST]: https://bit.ly/2qZ3mXs
My NEW Options for Beginners ULTIMATE Guide: https://youtu.be/7PM4rNDr4oI
==== RESOURCES ====
My Finance/Investing YouTube Channel: https://www.youtube.com/channel/UCQIPHXnm7ODW0HAdfCr1yDw?sub_confirmation=1
Our Options Trading Courses:
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August 19th, 2020 at 10:10 am
Go trade with @cloneking on telegram for your dumps,Cc,Bank drops,clone cards,I can say he is the best vendor out there and you can thank me later
August 19th, 2020 at 10:45 am
Great video..really love the insurance analogy it’s imo the best example to describe options. The book written by Sheldon Natenberg “Option Volatility and Pricing Strategies” is also a great resource describing all option traders need to know!
August 19th, 2020 at 11:40 am
I have been trading with Mr Thomas for a long time now. good results Contact Him on Email Address thomaskostas34 @ gmail. com or on WhatsApp +1 409 209 3824 For investment purpose.
August 19th, 2020 at 12:04 pm
The video doesn’t match the commentary. For those that are visual learners this would be quite confusing to understand. You might want to take this video down and get it redone. Why would someone find value in your training when your content isn’t being produced correctly.
August 19th, 2020 at 12:53 pm
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August 19th, 2020 at 1:49 pm
I am from India … Thank you for clear understand,, seeing more your videos.. please do professional traders vs investmentors videos…. Seperately… Please do for us ….
August 19th, 2020 at 1:51 pm
Nice Video! Excuse me for the intrusion, I would love your opinion. Have you tried – Panuhammad Foremost Principality (erm, check it on google should be there)? It is an awesome exclusive product for dominating options trading minus the hard work. Ive heard some great things about it and my close friend Aubrey after many years got cool results with it.
August 19th, 2020 at 2:05 pm
Excellent Video clip! Excuse me for the intrusion, I am interested in your thoughts. Have you tried – Panuhammad Foremost Principality (probably on Google)? It is an awesome one off guide for dominating options trading minus the headache. Ive heard some super things about it and my mate after many years got great results with it.
August 19th, 2020 at 2:31 pm
most experienced traders like myself would rather learn proper skills to analyze price charts in making our own trading decisions, but many traders out there especially amateur traders still wonder if they can really fast-track their Binary Options success using Binary Option Signal Services, now don't get me wrong signals are great, especially if you find the right one, but it is also smart if traders could be able to positively and accurately analyze price charts and make good trade results. if we closely have a look at some of the main reasons why people fail to make money from investing online. whether it is stock trading, binary options, forex or cryptocurrencies, you will find out that the problem lies on traders being lazy and depending too much on signal services and also lack understanding of trading before going into it. so to be on the safe side it is best that traders, especially those still learning and practicing how to trade should know these tips first before entering into any online investment scheme: 1. Use a signalling service. 2. Learn to use technical indicators. 3. Trade stocks before trading binary options. 4. Track your performance in each binary option security. 5. Buy the right option length for your trading style. for more tips and trading strategies that can get you $10k-$20k per month kindly get in touch with me by mail (joephethan135@gmail.com) as i am ready to show interested traders, both newbies, pros and amateurs how to trade confidently and make good profits using strategies that fetches $10-$20k per month.
August 19th, 2020 at 2:54 pm
Earn X3 of my monthly salary from Bitcoin trading just within one week is overwhelming as a single mother..
August 19th, 2020 at 3:52 pm
thank you sir,
August 19th, 2020 at 3:56 pm
trading is accessible, exciting, educative will get to offer you lots of opportunities if you go into it through an expert.
August 19th, 2020 at 3:59 pm
Worst video on options I've seen.
August 19th, 2020 at 4:23 pm
Super ! Nice thank you brother.one year I am struggling to understand .today you explain in beautiful way
August 19th, 2020 at 4:49 pm
Can you plz let me know how and when to sell call
August 19th, 2020 at 5:48 pm
important thing about trading is making profit, whether you traded by yourself or you used a manager, the ends justifies it. I make use of a professional, Mr Benson Phillip ,he has been very great, always making good profit for me weekly. His method is legit unlike the numerous scammers out there claiming to be professionals contact DM him for more information or Whats-app: +1 4 0 9 2 4 2 2 3 5 0
August 19th, 2020 at 6:41 pm
How many times we can tread in one in option
August 19th, 2020 at 7:03 pm
good one man thanks well explained
August 19th, 2020 at 7:52 pm
Waste of time! Please fix this video. It doesn't make any sense to what you said. for CALLS, you want the stock price to GO UP & for PUTS you said you want the stock price to GO DOWN. Then at 4.17 onwards, the pictures are saying the exact opposite of what you said as stated above.
August 19th, 2020 at 8:49 pm
So in a call option you want the price to drop?
August 19th, 2020 at 9:17 pm
IMPORTANT: For an in-depth overview of how options trading really works, please watch my NEW beginner's video. Options Trading for Beginners (The ULTIMATE In-Depth Guide): https://youtu.be/7PM4rNDr4oI
This video you're watching now is only 20 minutes. It's impossible to really get a grip on options trading in just 20 minutes because there's a lot to understand. In the new video, I give plenty of real-world examples and clear explanations to bring you from a nobody to understanding options trading at a beginner level. If you felt confused by this video, please give the below video a try with just 20 minutes of your time. Based on the comments from other viewers, it will likely be worth your time. Options Trading for Beginners (The ULTIMATE In-Depth Guide): https://youtu.be/7PM4rNDr4oI
August 19th, 2020 at 10:04 pm
FINALLY!!! A video that puts the options trading in laymen's terms for the beginner. Thank you!
August 19th, 2020 at 10:45 pm
Awesome video thanks. ….. so, its better to stay away from selling options? Or at least looks riskier…….: let me ask you, have you heard of CMEs new product on EMINI MICRO OPTIONS? ……: any thoughts please ……. and, could one trade the same way as stock options? Thanks again
August 19th, 2020 at 11:40 pm
The video is 20 minutes long, he lost me at the 3 minutes mark. 😂😅
August 19th, 2020 at 11:44 pm
Do I have to sell or 'cash in' on my options? Do I have to sell only on the expiration date? Or ANY time before the expiration date? What happens if my contract expires but I was at a profit but didnt sell? WOuld it just vanish? These questions are never answered on these vids. You need to talk to us as if we were children. You cant assume to leave small details out because we SHOULD know them. That why we are here, we dont know shit.
August 19th, 2020 at 11:52 pm
Great Video! Looked at a few different videos to understand Options – puts and calls (this video was the simplest one where I gained a good basic understanding). The examples were awesome and solidified it. Thank you!
August 20th, 2020 at 12:38 am
a year ago i attended a seminar and met this expert trader mr russel who was featured on CNN's quest means business and he agreed to trade for me initially about 50k, which earned me about a mil in 18 months's
August 20th, 2020 at 12:44 am
Correct me if I'm wrong but the way I understood it is options is almost the same as trading stocks just with x100 leverage.
Expiration Date: Time limit until when you can trade a certain option(stock trading doesn't have this). You will gain/lose depending on the value at this certain date.
Exit Note: I did not understand the video well but I think you can get out of a trade anytime you want similar to stocks as long as it's before the expiration date.
Strike Price: Basically your Take Profit level or the first price where you could make a profit but you could extend your trade way past this level
Option Price: Your trading fee valued depending on your set strike price in relation to the current stock price
Call & Put: CALL is a LONG trade, PUT is a SHORT trade
Example:
– Call at $10 stock price with 60 day expiration for $2 option price
– Strike price at $15 dollar
– Stock price then moves to $17 within the 60 days
Result:
– $17 – $10 = $7
– $7 x 100 (leverage) = $700
– $2 x 100 = $200 (this is your option price "commission")
– $700 – $200 = $500 (Profit)
P.S: I don't trade options and have no idea if the values are believable. Just trying to confirm if the way I understood it is correct. I only trade stocks and futures.
August 20th, 2020 at 1:00 am
Nice Video! Sorry for the intrusion, I am interested in your opinion. Have you heard the talk about – Panuhammad Foremost Principality (should be on google have a look)? It is a good exclusive product for dominating options trading minus the headache. Ive heard some unbelievable things about it and my buddy after many years got amazing results with it.
August 20th, 2020 at 1:26 am
What is the differently between selling a call option and buying a put option?
August 20th, 2020 at 1:39 am
You suck as a teacher!
August 20th, 2020 at 2:08 am
Well done.
Who do you recommend to buy Call Options on Gold?
August 20th, 2020 at 3:07 am
how did you get a profit of $500 3:10 when you sell 150 options, with $5 profit on each option wouldnt that equate to 150×5= $750 profit?
August 20th, 2020 at 3:28 am
Am a doctor in Spain
Stock investment have always been my best investment during this pandemic
August 20th, 2020 at 4:14 am
Off to tendie land with all my autists
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August 20th, 2020 at 4:28 am
Many thanks, been searching for "option trade" for a while now, and I think this has helped. You ever tried – Winoorfa Option Olegroson – (just google it ) ? Ive heard some unbelievable things about it and my co-worker got amazing success with it.
August 20th, 2020 at 4:58 am
Sooo to summarize: Wall Street is a CASINO FOR GAMBLERS
August 20th, 2020 at 5:47 am
Thank you!!! very helpful!!!
August 20th, 2020 at 5:50 am
Lost me at 4.55 minutes into the video…..it would help if it didnt sound like your just reading from a textbook. Like take a second to actually explain the point in layman terms and give a relatable example before moving on.