Options Trading for Beginners (The ULTIMATE In-Depth Guide)
Options trading is a very difficult thing to learn as a beginner, as there are many moving parts and many concepts to learn simultaneously. In this video, my goal is to bring you from zero to hero in a few hours, even if you don't know anything about trading options.
In this video, we will advance through the following sections:
0:00 - Introduction
0:50 - Basic Option Characteristics (Expiration, Strike Price, Contract Multiplier)
3:31 - Call Option Introduction
4:47 - Basic Call Option Example (With a House)
10:13 - TSLA Call Option Example
15:43 - Do You Have to Exercise an Option to Make a Profit?
23:42 - What We've Learned About Call Options
27:19 - Losing Money Buying Calls
27:52 - ADBE Call Option Example
31:57 - Put Option Introduction
33:35 - IWM Put Option Example
40:47 - Losing Money Buying Puts
42:00 - NVDA Put Option Example
45:35 - Buying Puts vs. Shorting Stock
48:47 - Option Price Components (Intrinsic & Extrinsic Value)
53:27 - Extrinsic/Time Value Explained
58:50 - Extrinsic Value Comparison Using AAPL Options
1:05:21 - In-the-Money (ITM), Out-of-the-Money (OTM), At-the-Money (ATM)
1:07:13 - Introduction to Shorting Options
1:09:06 - IWM Short Call Option Example
1:14:00 - NFLX Short Call Example (Big Loss)
1:18:26 - Short Call Breakeven Price Explanation + Illustration
1:21:12 - Shorting Put Options Introduction
1:22:15 - ATVI Short Put Example
1:28:00 - Thoughts on Holding Short Options Through Expiration
1:30:12 - Implied Volatility Introduction
1:41:54 - Visualizing a Change in Implied Volatility
1:49:20 - More on Exercise & Assignment
1:53:04 - Expiration and Automatic Exercise/Assignment
1:54:44 - Why Options Are Rarely Exercised Before Expiration (Quick Example)
1:58:02 - Which Options to Trade? Consider Liquidity (Volume/Open Interest)
1:59:35 - Example Stocks/Products With Great Option Markets
2:01:49 - tastyworks Offer - Get a Free projectoption Course
2:02:45 - tastyworks Trading Platform Demonstration