The Option Alpha Podcast

Choosing which ticker symbols and options strategies to use when entering new options trades can sometimes seem overwhelming. This podcast breaks down the key factors when entering new option trades and building out your portfolio.

In this podcast, I want to walk through a recent trade in which we were assigned on a short put and help you understand how being assigned options impacts your account and how you can still trade around these events using a couple key strategies.

In this podcast episode I want to slowly walk through the concept of contango and backwardation. I will offer a couple of different examples showing how it works in real life and how we might be able to use this awareness of futures pricing part of an options strategy in our portfolio.

Ever feel like some of the options trades you make blow up in your face? Here's why it happens and what you can do about it.

When it comes to options trading, there are a lot of things you can control, and a few you cannot. This episode provides tips on how to manage the risks you can control and avoid "blowing up" your trading account.

In this episode, we dive into the three main areas of the expected probability paradox to help you understand why option selling still outperforms the market, even if you can't find perfect pricing.

This podcast is a deep dive into options skew and the volatility smile for both inter-month and intra-month option contracts.

Today's podcast is essential to help you understand how to calculate break-even prices the correct way on iron condors, iron butterflies, and other risk-defined strategies.

The goal of this podcast episode is to help you completely understand how implied volatility works, why we need it, where it comes from, and how we can profit from it as option sellers.

In this podcast episode, you'll learn how to overcome the fear of being "wrong," learn from your trading mistakes, and transition into new habits.

On this episode, we use our backtesting software to analyze the results of a weekly bull call spread in DIA, the Dow Jones Industrial Average ETF, and its performance compared to a monthly bull call spread in DIA.

Some traders wrongly assume that if they can't trade unlimited risk option strategies, such as straddles and strangles, that they should just avoid trading options altogether. Here are four alternatives to convert unlimited risk option strategies into risk-defined positions.

This show focuses exclusively on rolling options forward by showing you two different case studies in TLT and IWM. Both trades took multiple months to turn a profit and multiple rolls of our contracts.

Here are 5 easy tips for smooth option order execution if you're having trouble getting trades filled in the market.

Here is a look at four situations you need to be aware of when building out your portfolio. These early warning signals of a non-diversified options portfolio can help you adapt more quickly to an ever-changing market by making smarter trades and adjustments.

This podcast offers some insight and examples of why higher trading frequency and averaging down (or up) around the market creates an environment in which market direction becomes more irrelevant the longer you trade.

When trading options, what contract month and option strike price should you buy or sell? We have the data from thousands of backtested trades to help you find the answer.

In this podcast episode, we'll break down some of the best resources and tips on managing your options portfolio with limited time.

Want to learn how to trade options the right way? Follow our 90-day framework for mastering the options market.

In this episode we explain why selling cheap options with high win rate probabilities may not be the best idea for your portfolio.

My goal with this podcast is to help you cross the proverbial "trading bridge." Learn to stop focusing on ROI and confidently analyze options strategies before putting money at risk.

These 7 things should be a priority for all options traders. Get them right and you set yourself up for success. Get it wrong and you could go down in flames.

As you start managing larger trading accounts and portfolio sizes, you'll need to make a couple small but important changes to optimize your strategy.

This podcast focuses on the reasons why I believe some traders are always more profitable than others and looks at the six key areas that differentiate successful and unsuccessful traders.

Don't use real money to practice trading options. In this show, I want to get back to basics and re-visit some important concepts or frameworks you can use when trading that will help you navigate the next move down.

In this podcast, I want to take some time to share the top-five options trading psychology lessons I've learned over the last 18 months.

This podcast dives deeper into the lead greek and covers both a basic understanding of what delta is and how it works, plus some more high level insights into how I used delta to enter a trade in XLE.

This podcast episode focuses on the advantages and disadvantages of using a short straddle or short iron butterfly, and when you should use one instead of the other.

In today's podcast, I'll walk through the different market environments and setups that might work best for debit spreads and credit spreads.

On this podcast episode I want to help you avoid five of the big mistakes you can make when executing an options order.

In this podcast I walk through the process of managing inverted option positions and help you understand what numbers to track when making adjustments.

In this podcast episode, I'll preview some of the new research we've done on long straddle option strategies during earnings.

What is a day trader? Does trading every day make you a day trader, and what are the advantages and disadvantages of trading every day? We answer these questions and more in this podcast episode.

On today's show, I'll talk through what our research shows about exiting trades early, when to leave options on to expire worthless, and how it impacts your bottom line.

In this episode I want to help you become a better options trader by not watching the market and focusing on more systematic trading setups, as well as provide the single most important case study in market prediction in the last two decades.

In this podcast I want to conceptually walk through how you can convert unlimited risk strategies into their risk-defined counterparts and limit your exposure.

If you trade options, you'll undoubtedly run into a scenario where you get challenged by a stock moving against your position. When this happens the first question many people ask is, "Do I start rolling up strike prices and adjust the position or close out the trade for a loss?"

In this episode, I interview a member of our community and dig deep into the "Wheel Selling" option strategy, which has created some in-depth forum threads.

I want to walk through our TLT iron butterfly trade in which we were assigned 200 shares of short stock just days before expiration.

Worried about another market correction or market crash? Here are some valuable tips to protect your portfolio in a down market using options.

This podcast talks about pairs trading and how you can use beta to create smoother portfolio returns.

Want to build wealth? This podcast episode will give you a general framework for picking the right options strategy based on multiple factors.

Today we'll argue, with facts and data, that if you are selling options you're probably selling them too far out-of-the-money and way too cheap.

Want to trade options full-time? Here are the 10 most popular questions that our community members asked about trading options around a busy schedule.

This podcast episode takes an in-depth look at our new game changing research report the Profit Matrix. We analyzed and compiled results from more than 21 million backtested options strategies and present the results in this episode.

There is a big wave of change that's coming our way and if you don't recognize the shift happening now you'll get washed up on the shore. Autotrading is the future and Option Alpha is here to help you make the transition.

Worried about the future of the stock market, black swan events, or high-frequency computer trading? Say goodbye to uncertainty and learn about managed expectancy models.

In this episode we're going to use our new Trader's Toolbox and options backtesting software to test win rates when selling options.

In this podcast episode we use our new options backtesting software to analyze credit spread backtests on DIA. We wanted to find out if higher implied volatility collects higher premium when selling put credit spreads.

Given that we've now got a whole suite of tools and scanners for you to use, we have to consolidate it under one roof, which is why we now have a new Toolbox for backtesting option strategies.

In this show I reveal the results from our call debit spread backtest we ran on AAPL and how changing the strike prices impacted the overall returns and drawdowns of this bullish strategy. If you've ever thought of buying options, you need to listen to this show.

Trading timelines & durations are often confusing and cumbersome for new investors. We'll look at how they affect the performance results of a straddle backtest.

In this episode we use our new backtesting software to observe the effect different position sizing has on the returns of an iron condor.

In this podcast I want to walk through my strategy for filtering and finding good stocks to trade around earnings and how to set them up, as well as my thoughts on exiting trades shortly after the market opens.

This episode takes another in-depth look at technical analysis indicators to identify which ones work best and which ones you should avoid.

The purpose of this podcast is to present both the benefits and drawbacks of a high probability investing system like the one we teach here at Option Alpha.

In this episode I’ll cover the 3 option adjustment principles you should follow if you’re considering adjusting a short premium option selling strategy.

I wanted to take a step back and give everyone an overview of what we've been working on here at Option Alpha and what we have planned over the next couple months with backtesting, research, and automation.

In this podcast I’ll cover the three different ways you should adjust your options strategy when trading inverse ETF products to take advantage of their mostly negative pricing structure and hedging potential.

In this podcast I’ll discuss my thoughts on legging into and out of spreads, plus the benefits and risks of doing it as part of your trading system.

In this episode, we’ll talk about why our extensive backtesting (and current experience) proves that when you break down your trade entry into smaller and smaller chunks, the overall performance of the trading system increases dramatically. This is why we ladder (or stack) option trades over time and price.

Learn more about a casino's edge and what important lessons you can learn from their model as an options trader.

We look at one of our recent bear call credit spread trades in which we lost money, but were able to significantly cut the loss by making simple trade adjustments.

This episode takes a look at the "Netflix Effect" and why fundamental investors should become professional options traders.

Ever wonder why an options strategy payoff diagram looks different throughout a trade? This podcast will help you understand how the Greeks can impact the payoff diagram based on time (theta), volatility (vega), and interest rates (rho).

This is your complete guide to calendar spreads. In this episode, I walk through setting up and building calendar spreads, the impact of implied volatility and time decay, how to adjust and exit, and the best market setups for these low IV option strategies.

In today's podcast, we'll give you four option strategies and techniques we use to help re-balance a portfolio. Having a delta neutral portfolio is always the goal, and our talk about maintaining balance and neutrality should help as you continue adding and adjusting your options trades.

On this podcast, I'll walk through the most recent OCC stats on options expiration including, the #1 reason why you shouldn't be afraid to hold positions that go in-the-money, even during expiration week.

It is important to set deadlines and goals for yourself. Our #1 core value here at Option Alpha is that options trading education comes first before anything else. It's why all our trading courses, guides, checklists, podcasts, webinars, etc. are completely open and free.

Use historical data to better understand inevitable portfolio drawdowns. In this show, you'll see a small glimpse of the power behind backtesting and modeling thousands of option strategies. It was by far one of the most anticipated shows for me to record and I hope you find incredible value in listening.

Most investors are trading options in small brokerage accounts. If you have limited capital in a brokerage or IRA account, but still want to trade straddles and strangles, this podcast is for you.

This podcast examines eight different short strangles across a mix of ETFs and individual stocks to determine which option trades have the best pricing on a relative basis, given that every short strangle we analyzed had the same 70% probability of success. Learn what the backtests teach us about returns and margin requirements.

Have an options trade that isn’t going your way? Here are some trade adjustment triggers to help you mechanically fix your position unemotionally.

We present a case study that proves why the two biggest misconceptions about exiting trades early are completely wrong. Not only will you see why taking profits before expiration increases your win rate, but you'll also learn how it helps reduce drawdowns and increase your average profit per trade.

Should I close or roll my options trade? In this episode, I want to help create a checklist for managing positions during options expiration week.

In this episode, I’ll walk through the 3 biggest tips I have for anyone who’s looking to grow their six-figure trading account. Make sure your options strategy is scalable.

Learn more about the VIX index and how to trade volatility with special guest Mark Sebastian, a former floor trader, hedge fund manager, and the guy behind OptionPit.com.

Still using stop-loss orders in your option trades? In this episode, you'll discover how one simple tweak generates average annual returns that are 87% higher and win rates that are 2X higher, all while making fewer trades and spending less on commission costs.

Recognize the 15 1/2 avoidable options trading mistakes you're making right now and how you can overcome them.

In this episode I'll walk you through all the major pitfalls new investors make when trying to paper trade stocks and options, and why it's important to have real money in the market.

In this podcast interview, Todd Tressidder and I dive deep into traditional equity portfolio allocations, inherent flaws with buy and hold logic, bond market bubbles, statistical and mathematical risk management systems for investing, and the importance of compound growth rates.

In this show, I’ll highlight some of the more interesting strategy-based index performance metrics I know will help you in your options trading journey.

Can you buy a stock just to receive a dividend? In this show I’ll help you understand the four most important dates you need to know when it comes to dividend investing, including a complete rundown of the fictional arbitrage opportunity that dividend investors continuously search for during the ex-dividend date.

In today’s show I’ll be interviewing Cameron Skinner, an incredible trader, real estate entrepreneur, and patriot. Learn more about his strategy that earns 22% selling options.

Warren Buffet's most profitable business is the insurance business, which operates very much like an option selling business. Learn how you can apply the same principles to your own investment portfolio.

This episode helps you understand the overall adjustment philosophy that helped cut losses and turn a losing short strangle trade around.

This episode was recorded to help you simplify the process of scanning for options trades and strategies, because I can almost guarantee that you're overthinking it.

Learn how to trade options with Option Alpha’s NEW course tracks for beginner, intermediate, and advanced traders. These tracks were designed to systematically guide you through everything you need to know to confidently trade options.

These are my Top 7 Tips for IRA traders to help leverage your IRA account to trade options. Plus, I'll present examples of how you can convert undefined strategies into their "IRA Approved" counterparts.

In this podcast episode, we'll talk about multiple portfolio scenario examples and I'll offer my advice on the best hedging strategies to re-balance your positions.

Learn how investors with larger accounts can generate higher returns using portfolio margin.

All you need is one hour per month to manage your options portfolio. The prudent and cautious use of option contracts allows traders to earn returns over and above those provided by standard market benchmarks. They can protect traders from unexpected volatility in the market while improving their access to outsized returns.

In this podcast, I'll help you understand exactly why robo advisors are not the future of investing and why you should steer clear of them. I'll even prove that some of the most popular robo advisors underperform the benchmark S&P 500 index despite what you might read on their website.

In this episode, we’ll explain why overall portfolio management is more important than single positions for options traders, and why it's critical to focus on beta-weighting your portfolio.

Is the stock market random? My goal on this show is to present what I believe to be the best research on the topic of market efficiency and predictability.

If you are looking for the ultimate strategy to profit from the next stock market crash, this podcast is for you. We went to 2007 and backtested 15 different put option buying strategies to see which combination produced the most profitable results during the last market crash.

Learn more about the different option approval levels, and how to work through them. By understanding these levels and how brokers determine where traders should be, you will become a more efficient and educated trader.

Proper risk management and position sizing are key to your long-term success trading options. In this podcast episode, I'll walk you through the math that shows you should never allocate more than 1-5% of risk per trade.

This podcast episode is part 2 of our comprehensive look at options trading taxes.

The pattern day trading rule prevents people with less than $25,000 in their investment accounts from engaging in day trading. Many misunderstand the rule, however, and it generally does not operate to the detriment of most options traders.