How WallStreetBets (sometimes) Makes a LOT of Money

💎beta.optionspr...
Outro Song: • Urban Lullaby - Jimmy ...
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[@InTheMoneyAdam]

💎beta.optionsprofitcalculator.com/ 1 like= one fixed collar

[@aleksanderstisen6924]

what broker do you use for options?

[@depreciatingasset]

The thing we're seeing nowadays is huge spreads instead of increased extrinsic value. Spreads have to be factored in extrinsic value imho

[@northsidedork_3043]

Hey brother, we love you and want you to take care of yourself. If making videos are negatively affecting you then please slow down. You don't have to stop but please don't push yourself, find that balance. We all will be here, no one is going anywhere.

[@LashawnG]

unless we die

[@InTheMoneyAdam]

Appreciate that.

[@damroyalty]

@@InTheMoneyAdam all love brodie

[@Lil610]

@@InTheMoneyAdam ❤

[@chuckiekoertge1987]

@@LashawnG then we go to heaven and live for eternity brother! ❤️🙏🏼

[@FlexingJoe]

“Which is my entire audience…. Again I’m sorry.” 😂😂😂😂

[@rcurtis6175]

ITM options vs OTM options are playing a different game. ITM options are banking on an increase in delta at some point, pumping up the already huge intrinsic value. Its a great play and works like a stock replacement. Super far OTM options are not making a play to be ITM by expiration, they are instead banking on a massive increase in IV sometime before expiration that will super pump the value of these ultra low delta options. Just take a look at any of the meme stock call options when they are pumping. CVNA top-of-chain calls aren't going to go ITM, but they will increase by a factor of 10x, 30x, whatever. I sell calls all the time and will regularly see calls that are 100%, 200%, 300% OTM increase by 20x when the stock moves up by 10%.

[@yusuf4433]

this guy gets it!

[@Nofacenocase1619]

Golden. Are you on twitter?

[@dannyj45h33]

"The next move is get a job." Adam you are awesome!

[@ThomasSorensen1]

I do really like your outro music, and it's really cool to see you putting out more videos again these days. Hope you're feeling a little better

[@bennygbutter46]

I like it too.

[@TheEireknight]

One thing people need to be aware of when trading very OTM options is that sometimes liquidity is terrible, so even if you intend to sell with time on the option to capture extrinsic value, you may not be able to sell to close the position and you're stuck riding it down... or sometimes the bid/ask spread is wide, so you see a large amount on the option in your interface but it will only sell for a much smaller number. Sorry if this was covered already, but it's something people should definitely be aware of, particularly when trading stocks which already have questionable liquidity and wide bid/ask spreads. It took me a long time to sort this stuff out when I started trading. LOL

[@o.c.1084]

well said…been there, done that 😅 not fun

[@YourUncle8501]

This is super important. Only do it on a super liquid underlying. Maybe SPY. Low bid ask spreads

[@carsonhunt4642]

Yep and it’s worse obv on leaps. Hate seeing them lose 1k in value trying to get a close. And the damn algos keep changing the prices every time you try to close a lower price. Personally for me I always enter a low ask to get an instant fill, because I lose way more value trying to get filled and not getting filled and then value drops. Ofc depends on your time frame tho.

[@drifter231]

I thought you were genuinely apologizing for your comment and then you immediately roast your entire audience and I lost it 🤣

[@reds0l0cup50]

10:18 - 10:30 was comedy gold, and no offense taken my brother. Get well soon!!!

[@MertUluc]

I love the squiggly lines and the options talk. This is such a happy throwback. I don't think there's an options video of yours I haven't rewatched a few times. Thanks for all you do.

[@boris5926]

Watched many videos on option trading, this one is the first time I understood the concept. its basically high stake gambling over time trying to predict a stock price

[@JohnDoe-eu7cf]

Not exactly I can buy otm money options without ever expecting the price to go up there and selling it before the contract expires

[@nicholasvanbergen8560]

Hey. I’m a fan of your content and also agree that self care is prime objective. I’m jumping in on Patreon but with no expectations of future stuff. I benefited from old videos over the years and want to just thank you for the work your still doing. Take care

[@lastsplash6]

Not only has your advice made me money, it's saved me from losing money. Thanks, man.

[@jasondillon2567]

10:27 Thanks for the free diagnosis, I wasn't even aware! 😂

[@jt-oz]

Excellent explanation. Would love you see you cover risk management.

[@auntypc4791]

Yes, please do, @InTheMoney!

[@jshlds46]

Agreed! @InTheMoney please do!

[@joshmellon390]

Just sent you a shit ton of people from reddit lol. I posted a pic of my $400 - $7700 in 3 month pic and everybody asked me to help them. "Best I can do is send ya to youtube" lol. I got lucky, but you did pass on some good info, so I kept the energy going. Have a good one man!

[@InTheMoneyAdam]

Thanks, bro! And congrats on the gains

[@Grizzy952]

OTM options is gambling. If you’re someone who thinks that’s a legit strategy, you probably don’t care about IV, premium, the Greeks, none of it. It’s all about the “yeah, but it COULD make me $$$$”. All it is is a gambling mentality. The probability of hitting on one of those absurd OTM options is practically 0. Nothing logical about it

[@fredmeyer369]

Basically 100% luck

[@Md-ht3cg]

In the stupid reddit sense that Adam is talking about yes definitely gambling. But OTM options can be a valid strategy - selling a credit spread OTM for premium decay is a strategy I've used successfully. And buying an OTM debit spread can have uses during volatile times IF you've done the right analysis beforehand. Typically sell to close before expiration when it moves in your favor. Hell, I've even used buying OTM calls successfully with that same strategy - selling to close at a higher price before expiration makes the call worthless. But again...gotta have a good analysis.

[@zvxcvxcz]

Unless you're using them to hedge. I.e. you're not really looking to make money with them and ideally your main stock goes up and you're nowhere near being able to exercise them.

[@ryugurena3327]

Have fun being poor

[@samuelfox8126]

Since no one desires to exercise options they're all gambling on a sock price increase. OTM is just more leveraged than ITM are.

[@tonycrouse6544]

Far OM options are like putting a match to your hard-earned money. It all goes up in smoke.

[@markusmcgee]

Was literarily trying to wrap my brain around this since last week with the start of that Tesla run.

[@TanyaChantale]

Your humor is much appreciated. Go Brutha! 🤣 Great content.

[@daviddgreat25]

Thought U were going to say they use A.I. A few times bought a few $.01 OTM Calls went up & when tried to close it didn't fill so that means no buyer, correct?

[@dougb8207]

Another very helpful video. Thank you ITM.

[@TheDogggrecords]

"...whic is my entire audience. Again I'm sorry." 🤣🤣🤣

[@scurvofpcp]

I save the out of the money stuff for meme-lord level drama. Like with netflix and cuties, or Musk and his trolling between tesla,space x and twitter, not to mention Meta trying to verse itself. That is the level of meme lord needed for me to even consider out of the money plays.

[@hansbez186]

Great vid.! Easy to follow and repetitive, great stuff! Made me laugh a couple times! Can’t wait for the next one, I have learned a lot from you, thank you.

[@humanonfire1341]

So many videos! Good to see you are back for good

[@yearight5050]

Thanks for the content. Glad to see you found your glasses and I cracked up at the *which is my entire audience*. So, are we talking about really far OTM? I am looking at a call option for 2/13 on qqq and the ITM option is 2.23 but the bid to ask is 2.16 to 2.30 while the OTM option right below is 1.72 with bid to ask 1.70 to 1.73. Wouldn't the better option be to go the OTM option since bid tobasknis closer together then the ITM. Sorry if it is a dumb question.

[@dsrree]

I mean there's like 10 million people there and you don't see too many repeat people who YOLO'd and won big. Of course there will always be the outliers who got lucky on their gamble and then post screenshots to WSB. I'm mainly there for the loss porn though, especially when it's something like a guy who got $200k of inheritance money and spent it all going long on a car selling company that ended up losing like 95% share value after that.

[@SaladDev]

“Why did I go square then circle am I autistic? I’m sorry.. Autistic people, I’m sorry.. Uuuhh.. which is my entire audience. Again, I’m sorry…” 😂😂

[@josephukedaddy0548]

Dude!!! You sound like your ild self. Good for you man. And... again, you are the best and thanks fro the knowledge. Go leaps

[@codymunger3522]

"Most of my audience." lmao

[@freehallas105]

10:27, I'm dying 😂

[@Metz9031]

cool stuff. ty for this valuable education. quick question: what about leaps? far otm or atm/itm??

[@AIR9]

You pay more for an ITM option, it have a higher probability of profit, so, it’s dependent on how bullish you are on the underlying. I like an OTM LEAP when there’s very little IV you’re paying for, but LEAPs are almost always overpriced

[@johngutierrez2687]

Dude! Love the pace of your creation!

[@lettermanstud]

Where do you go to track IV that you found to be the best?

[@chrislarsen9238]

👍👍 *Its been amazing watching you over the last couple of months. Started following you for investing tips and now I'm making $10k/week with the knowledge you've shared! Thank you*

[@chrislarsen9238]

@Peterson Rudolph yup, Everyone should be taking this crypto technology as serious as they should have been taking development of the internet in the early 1990's CRYPTO is the KEY!. Now is that time to kickstart into cryptocurrency investment. I just made my 7th withdrawal yesterday for 2023. I'm learning this doesn't have to be as complicated as some people make it out to be. Tanx to Laura Lynn for helpin me get into her trade signal and investing guidelines.

[@Ella-gb7fv]

@@chrislarsen9238 Amazing, isn't this coincidental to here you talk about Ex pert Mss Laura, i thought I'm the only one that knows her... When I started the crypto process with her knowledge in 2022, I never knew it could challengingly turning me to a millionaire.

[@dylan6461]

I also have a life changing story to tell about Laura Lynn, I was on zero when I entered into the system, but earning good money with her amazing trading skills 💪

[@jacksonsofia5705]

There are no doubts that crypto investment is the key to future wealth. Expert Mrs.Laura has been a blessing to me especially in this current economic downturn, I started investing into bitcoin in January 2023 wit around $3,852, a month later my 3,852 investment is already at $13,985. 🔥🔥

[@julianhazel2584]

I can attest to Laura's coaching services, my First investment with her earned me $ 21.300 and that has made me invest without the fear of losing, I got four of my friends that I referred to her and they are making profits just like me

[@johnnocanuck]

Very useful! I can be slow to get this stuff about calls even though I've been investing for a long time, but, Adam, your explanations are very clear. I'm feeling more confident now about how IV works.

[@MrCk1234567890]

How long does a stock’s IV take to go down after a big move (assuming it trades flat)? I’m looking at calls for a pharma stock that just plummeted but IV is 150%.

[@JohnDoe-eu7cf]

If u expect IV to go down and price to go up then sell puts

[@malcolmguest6287]

OMG! I loved that opening!😂

[@wangxuerui]

Good video, it's nice to see you getting better.

[@GregorVDub]

Man you are spoiling us with this daily content! Glad you're feeling well enough to do that 👍

[@832elf]

Great one has always. If you had 50 shares in a margin account and 50 shares in an RSP account, can you still sell covered calls on this company? Or does the 100 shares have to be in the same account to sell covered calls? Keep up the awesome job.

[@InTheMoneyAdam]

Same account

[@gmk22799898]

Cerebrolysin is a neuropeptide that potentially could be helpful.

[@mythoughts3796]

Bro have you checked out the carnivore diet for autoimmune issues? I have heard lots and lots of people have great results with it. Love to see you back to making content! Much Love!

[@GentleBongRips]

The father of my option trading strat.

[@djayjp]

Nope, Whole Foods Plant Based ftw.

[@thegreatpiginthesky3904]

@@djayjp ew

[@djayjp]

@@thegreatpiginthesky3904 Yeah rotting carcass tissue with bodily secretions, veins, cholesterol, pus, and fecal bacteria sounds so much more appetizing than eating plants....

[@pushdembricks]

I think plant based is the way to go but try different diets and see what works best

[@jasonfields9217]

Good to see you up making videos

[@jmitterii2]

Love the out-tro music.

[@RJTradess]

You chose quite a tame and rare chart for the thumbnail of a WSB user

[@vedicapproach8105]

Bro, you have to get off the benzos now. It will never get easier and those things will ruin your fucking life.

[@10secondsrule]

It literally means black magic to me. All I can see is loads of money quick with very little investment costs = danger, stay away. But you got me curious about it. I know you’ve made a video about this and I’ll check it out if it is something my pea brain can understand. Appreciate your content❤

[@exildur]

Hope you're feeling better Adam. Great content as always

[@Dafnessific]

The WSB v Reddit lawsuit will be interesting.

[@truckdrivinmilanr]

Don’t you risk being assigned with ITM options close to the strike price?

[@funtechu]

Yes

[@extremeheat7947]

That's only if you're writing (selling) options and the buyer decides to exercise it early, or the option expires ITM and it's automatically exercised by market makers. It doesn't matter if you sell ITM or OTM, there is always the risk that it will be exercised at any time, and if it gets ITM close to expiry, it will be exercised one way or the other. You're only screwed if you're selling the option short (without the underlying shares or another option leg on hand) ; as then you actually have to buy stock at the current price and deliver it to the buyer.

[@flechette3782]

Yes, but if you like the underlying stock (Rule #1 for selling puts) then assignment is a good thing for you. You get to keep the extrinsic value the buyer (who ordered the assignment) gave up.

[@Md-ht3cg]

If you own the stock you're selling puts for yes. If you're selling naked you do have to worry about early assignment

[@thomasd5488]

@@Md-ht3cg If you own the stock, then selling puts gets you MORE shares of the stock, when the put is assigned. If you own the stock, and you BUY puts, you can "put" your shares onto the seller of the put.

[@ragingpapist103]

Look, I dont get any of this stuff. Could I pay you to do this for me? LIke you keep a third of the profits or something?

[@carlosjohn4575]

Wishing you the best!

[@iannelsonlb]

Another great video, thank again!

[@rbarsuex]

Thanks!

[@InTheMoneyAdam]

Thank you!

[@readjonomy]

Great video again, cheers!

[@77kthomas]

It seems as if the market makers do whatever they can to burn options how do you combat that, go wheel?

[@jayls5]

If market makers are burning options, then join them. Sell contracts.

[@77kthomas]

@@jayls5 Not if it’s what they do

[@jayls5]

@@77kthomas Market makers do all sorts of things. Selling contracts would just be something that nets you income in the event prices stay stagnant, especially while degenerate gamblers think it will move. Prices aren't always supposed to swing wildly, and you can profit off of the speculation of other people if you simply want to own a stock.

[@77kthomas]

@@jayls5 I’m that degenerate all

[@dennisdeltoro5800]

Low Delta OTM Options = Lotto Ticket

[@phizzhead53]

There called F****** delight for a reason

[@fishing334]

Love your videos, hope to get good at options one day.

[@BIGDADDYF50]

The next move is dumpster diving in a back of a Wendy's to feed your family Options should be a very small portion of your gamble money. If you make 50k a year at your job, you should only be gambling 3 to 7k a year maximum on options, and the rest should go towards safe investments

[@maximo6037]

The rest??!?! Is that for people that make 50K that live with their parents? Making 50k i don't think you can afford to gamble even 3-7 K

[@TryABaconSlice]

If you make 50k a year, 10k will go to taxes, 10k will go on food, 10k will go on accommodation, 10k on assorted necessities (gas, phone bill, etc) and if you manage to save any of the remaining 10 and not spend it on a trip, a car, a laptop or some other one off purchase, none of it should go to options

[@zvxcvxcz]

Options shouldn't really be for gambling at all. They're really meant to be used as a sort of insurance policy. Suppose you own 100k shares of stock A and there is upcoming scheduled release of data that might have very bad news for stock A. Rather than just taking the risk of your assets going down, you could buy put options. The goal isn't to make money on them, if they go to zero you're still fine. The point is so that if your stock tanks, you can recoup the loss and maybe even then some. That is, the idea is to hedge in order to reduce your risk, but of course people jumped on them instantly as a way to gamble with high risk ...

[@maximo6037]

@@zvxcvxcz they use it as a way to increase their leverage

[@_gatsby]

we had a little InTheMoney Adam chat today in a discord.. how are you 100% loved? we are ALL rooting for yoU!!!

[@zs2977]

Those lyft puts which were like 30% otm went from 1 cent to 10's of dollars amazing

[@auntypc4791]

lol, you are so badazz, Adam.

[@sef2273]

What’s your play next week my brother from another mother ?

[@christopherclaure6689]

you got a robot in here spamming

[@mrupholsteryman]

Next step...get a job. I'm there! I must be ahead of the game. Haha!

[@yourkeylady]

LOL I'm going to get that handle OutOfMoney

[@polok890]

Option price chart lies, especially with options near expiration

[@InTheMoneyAdam]

?

[@carlosliranzo4706]

Great video

[@StonagePwnage]

Great video, OTM! lolz

[@Rich_In_RealEstate]

OPC upgrade!

[@manuvns]

This is gambling

[@yeahyeah9193]

Still don’t get it. Ima stick to same day expiration options. Drops 5% I’m out. I make some then good for me

[@cs50403]

How can one be sure that the order to sell will be filled so far out of the money? I'm fairly new to options. Thanks.

[@InTheMoneyAdam]

Weekly options are highly liquid and a seller will gladly sell you an option that is likely to expire worthless. More realistically, look at the bid-ask. Are there bidders and askers "sellers"? You can get a fill. Look at volume and you can really see how liquid they are.

[@jayls5]

The quantity of bids and asks bouncing around give a pretty clear understanding that the market is still liquid. People don't play in dead stocks because they can't reliably dump OTM contracts with no intrinsic value. If there are a ton of huge price swings in a stock with lots of volume, it naturally draws the speculators to play in those options. It's kind of a feedback loop. I've seen options markets dry up on flavor-of-the-week meme stocks, and gamblers who buy OTM worthless garbage calls end up losing everything. The long term winners usually buy far out ITM puts after a parabolic run and let the stock die a natural death. Nobody has patience in these markets...

[@ssdskully]

Hi I'm a seller of options, I'll definitely take your premium on the resistance no problem and if you exercise it I'm cool with that because I'll sell a put on the support anyways.

[@jayls5]

@@ssdskully Yeah, there's a lot of ways to juggle it. The less risky people will sell OTM puts and ITM calls and just roll them until their shares are free or they get assigned with profit leftover. People want that get-rich-quick stuff though.

[@cs50403]

Thanks to everyone for the answers.

[@Kenneth_James]

I'm too slow to understand this.

[@krellin]

i guarantee you, someone looks at this and thinks 1$ its really cheap :D

[@micahwatson9017]

“The next move dude is get a job!” 🤣

[@danfinch6526]

we are not artistic! xD

[@archetype1987]

Love this content.

[@ThePetersieklik]

You look so old broken tired are you ok?

[@InTheMoneyAdam]

Encephalitis :c

[@vernongomes]

You should call your second channel OutOfTheMoney though.

[@blunderafterblunder7231]

Thanks great vid man

[@tragicworms3418]

Let's gooo

[@Weaselbeak75]

InTheMoney- My auto correct constantly changes the word "Tender" to "Tendies", what can I do?-"Get a Job, and God help you." :)

[@Thezedword12]

Wow

[@djayjp]

Number one reason for losing money on long calls: don't know when to sell. As opposed to being a call writer where that's trivial ;)

[@Md-ht3cg]

To be fair, it's pretty trivial to figure out when to sell a long call...unless you're a WallStreetBets yolo person. Although I still prefer selling premium lol.

[@djayjp]

@@Md-ht3cg Well it's easy in theory but in practice and looking at the possibility of extreme returns, I bet greed gets the better of one most of the time and then one loses the chance. Unless one does it in a truly systematic, mechanical way (even then it's just a guess that it'll pan out at all). Consider as well: what is an appropriate return to take a profit? With long calls this is not really defined whereas with short calls it is clearly defined.

[@iamcarlosamaya]

“How’s ITM doing?” Well, he’s Out of The Money now 😢

[@sumthang678]

Luck. It’s that simple.

[@xxmeanyheadxx]

hey i havent watched you in a while but you look considerably stressed compared to back in 2020 you might wanna take some me time off youtube no offense i like you man look out for numero uno

[@InTheMoneyAdam]

Yeah, I got encephalitis which is kinda wrecking me

[@xxmeanyheadxx]

@@InTheMoneyAdam shit sorry to hear that! i've heard if you can find "fun guy" they can help with that

[@MannyCovington]

By a lot of guessing😂

[@thegaminghole1358]

pretty much

[@x2dab184]

I lost 24K on a YOLO Tesla Puts play. Took my last $300. Turned that into $4K building up for another YOLO play

[@DREROCK1111]

More vids!!!

[@alejandroyepes1520]

How come you always talk about buying options? OTM can be profitable when selling. Don’t you like selling?

[@InTheMoneyAdam]

Have I not beat The Wheel to death? I have like 5 videos on the subject

[@InTheMoneyAdam]

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[@alejandroyepes1520]

@@InTheMoneyAdam I am talking about selling iron condors, strangles etc

[@reakwon693]

Guess I’m the first here

[@joseaguirre3327]

Hey @inthemoney can you make a video about trading futures pros/cons should newbies trade futures?

[@PerfectPrinceX1]

bro thesee dudes buy just $10k worth of a wayyyy OTM 0-day call and pray

[@SankyG]

Take care. 🙏🤍