OAP 168: The 27 Biggest Options Trading Fears

Did you know that fear has nothing to do with logical or cognitive reasoning? It’s actually a completely physical response that originates in our body. We fear to be wrong because that might mean we will be alone and people will leave us, which means that we won’t be part of a tribe or community,…

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OAP 167: Options Trading Profit Targets – When Should You Break The Rules?

Oh, profit targets. The double edge sword of confusion for many traders. Take profits too early and you feel like you left money on the table. Too late and you kick yourself because the trade could have moved against you. And because we’ve been getting so many questions on when and why we’ve let positions…

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OAP 166: Understanding The Put Call Ratio The Right Way

When it comes to market signals and timing indicators, the Put Call Ratio is one that naturally jumps to the top of many lists. Because the indicator looks at volume in both put and call options, the logical conclusion is that we can interpret the ratio to signal us from an impending top or possible…

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OAP 165: Trading Options? Here Are The 11 “Golden Rules” To Follow

Personally, I don’t like rules. Mostly because I value freedom and flexibility so when someone says that I have to follow the rules I naturally push back. Things that confine me or tell me what to do don’t fly well with me. But that only applies to things outside of trading and investing. In the…

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TD Ameritrade Announces The End of Trading Commissions

Today October 1st, TD Ameritrade, makers of the thinkorswim platform, announced the end of trading commissions as we’ve always known them. Get ready to enter a new era of retail trading! As the preferred brokerage of Option Alpha, we wanted to give you a rundown of these changes, and give you some insight on what…

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OAP 164: The 2 Major Problems With Buying Options During Low IV Markets

Since we are option sellers and our edge comes from selling overpriced options out into maturity it’s natural to assume that if we want to sell options when IV is high that buying options during low IV markets is a way to make money in the other direction. We get it and understand the rationale…

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OAP 163: The 5 Month “Grind” Following XLE Short Put Option Assignment

This was a long trade. Maybe not the longest trade we’ve been involved in, but certainly one of the top ones as this short put option assignment lasted over 5 months. For most options traders looking to make a quick buck, this trade stretches their patience and conviction far beyond a reasonable level. Still, I…

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OAP 162: The Top 8 Investor Biases That Cloud Our Judgement When Trading

It might seem that the markets are a game of price, and while that might be mostly true, what they are is really a game of emotions. With enough self-awareness the “average” investor can do incredibly well. Better than many sophisticated investors. There’s so much to be said about controlling your emotions and recognizing biases…

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OAP 161: Interview w/ Kevin Smith & Tavi Costa of Crescat Capital

As many of our long-time listeners know, over the years I’ve become increasingly protective and selective with the guests that I invite to come on the show. Truth be told, we get pitched weekly for people looking to expand their reach. Somethings it’s just so off the wall and disconnected to trading that I have…

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OAP 159: How To Build An Options Portfolio With Just $3,000

This podcast is a long-time coming but one that needed to be done because we get a lot of questions from newbie traders about how to build an options portfolio with a small amount of starting capital. And while we openly suggest that you really start trading with at least $5,000 or more, as you’ll…

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