Options Playbook Radio

Lately, we have been discussing inverse skip-strike butterflies. Today, we are discussing times when it is a good idea to use inverse skip strike butterflies.

Today, Brian discusses:

• What will the Fed do? (They kept rates steady)
• Setting up an inverse skip strike butterfly on the bearish side of the S&P 500
• What will it cost?
• What do you want to happen?
• What is the risk?
• Don’t forget about margin
• What is the best-case scenario?
• What is the maximum reward?
• And more

Today we are continuing the discussion of Inverse Skip-Strike Butterflies, which began last week. If you are following along at home with the hardcover version of the book, you can find the information you need on page 112 (calls) and page 115 (puts).

Today, Brian discusses:

• A real-world example using NFLX
• You can find the discussion on NFLX here
• Where is the 30-day IV in NFLX?
• Why is the 30-day IV where it is?
• What about the market as a whole?
• Setting up the position
• What do we need to happen in NFLX?
• What is the risk? Reward?
• Considerations and caveats
• And more

In this episode, we are discussing an inverse skip-strike butterfly, which you can find on pages 112 (calls) and 115 (puts) of The Options Playbook. You can also find all of this information on OptionsPlaybook.com.

Today Brian discusses:

• The set-up of an inverse skip-strike butterfly
• What do we want to happen?
• How much will it cost?
• What is the maximum risk?
• What is the maximum gain?
• When does this make sense?

You can review volatility on page 14 of the Options Playbook. You can also find it online at OptionsPlaybook.com in the “basics” section.

Today, Brian discusses:

• A review of looking at stocks near earnings, which creates volatility
• What happens when the entire market is volatile?
• How do you adjust your trading as a result of volatile markets?
• Buying options
• Spreading options
• Butterflies

In this episode, Brian takes on listener questions about:

• Profit and loss calculators
• Remember: slippage, commissions, and other variables
• Calendar spreads
• And more

In this episode, we are going to look at how to insure a long USO position using backspreads with puts. If you have the hardcover version of the book, you can follow along on page 87. If you want to follow along online, you can do so at OptionsPlaybook.com.

In this episode, Brian discusses:

• How the price of oil is reflected in USO
• Where are things priced now?
• How to ensure a USO stock position
• How to tie backspreads to a stock position
• This is AKA a pay-later put
• How to set it up
• What are we hoping will happen?
• Potential gains and losses
• Caveats and considerations

In this episode Brian is discussing the fig leaf strategy for the oil sector. For those of you with the hardcover version of the book, this can be found on page 56. If you are following along online, it is always at OptionsPlaybook.com.

Today Brian discusses:

• A review of the fig leaf strategy
• Setting up an USO fig leaf
• Using options to create a larger position instead of “double up to catch up”
• Constructing the fig leaf
• What will it cost?
• What is the risk?

Today, we are still discussing Christmas Tree Butterflies. For those of you with the hardcover version of the Options Playbook, you can find this on page 118. If you are following along online, it is all at OptionsPlaybook.com.

Today, Brian discusses:

• Why are we talking about Christmas Tree Butterflies around earnings?
• Using a real-world example with FB
• The normal Christmas Tree Butterfly pattern
• Customizing the Christmas Tree Butterfly to minimize risk
• Maximum risk, maximum reward
• What is the forecast on the underlying?

In this episode, we are continuing our coverage of Christmas Tree Butterflies. For those of you with the hardcover version of the book, this is on pages 118 (calls) and 120 (puts). If you are following along online, you can find everything you need on OptionsPlaybook.com.

Today Brian discusses:

• Back to earnings season equals good scenarios for butterflies
• Why?
• Creating a paper trade with Amazon, using puts
• Setting up the trade
• What strikes we are using
• What will this cost?
• Where do you want the stock to go?
• Having realistic expectations
• What is the upside?
• And more

In this episode, we are looking at the Christmas Tree Butterfly. If you are following along with the hard cover version of the book, it is on page 118 (calls) and page 120 (puts). If you are online, this information is always available on OptionsPlaybook.com.

Today Brian discusses:

• What is a Christmas Tree Butterfly?
• Setting it up
• How does a Christmas Tree Butterfly differ from a standard butterfly?
• Where is the sweet spot?
• Why do a Christmas Tree Butterfly instead of a standard butterfly?
• And more...