Which Options Make You the Most Money?

[@InTheMoneyAdam]

Holy shitballs mom, some of these comments. OTM options have more leverage on a per dollar basis because their delta is a larger percentage of the value of the option. Hope that clears things up; that was what I was trying to demonstrate in the video.

[@dommafia]

@@InTheMoneyAdam love you Adam-chan ☺️

[@jayls5]

The comments are always a reflection of the IQ bell curve. Most people will get it, and other mouth breathers struggle to deal with more than one variable.

[@0DTEVIXCALLS]

All of your work is appreciated (in a unique and special way)

[@optionmonkey]

Pls refer to 4:04 lol

[@TheSideGigGuru]

Delta rules, Theta drools!

[@BradFinn]

You being back makes my world better!!!

[@kingpit7]

Spider-men pointing at eachother meme moment right here.

[@robwells230]

Wonderful to see you back online.. Sending love and best wishes from Canada

[@RoganJoeExperience]

He’s the 🐐

[@jayls5]

You're spot on about ITM leaps. I buy them during over-selling or long periods of stagnant price movement. I'll also snag ATM or slightly OTM leaps if the price is right. You basically only have to wait for one rally in the stock over a 2 year period, and you're in the green for any of them. I'm up 44% on AGNC (REIT) leaps right now because of it.

[@WordofBob]

I buy the 700+ days out of the money QQQ and SPY. Hold for a year and repeat. Leaves plenty of time for covid type events to pass. As I make more money each round I try to lower the strike to reduce risk as Adam explains. This is something that 'felt' right but happy Adam actually explained it. Thanks!

[@Patriots2004]

When you say each round, what do you mean? Do you mean that as you’re out of the money option starts to make a profit, you sell it and then buy another option that is more in the money than the one you sold?

[@WordofBob]

An example, I bought some 19dec 2025 580call on QQQ for 5.25 back just before Thanksgiving 2023, 8months ago. It is currently worth 24.33 which I will roll in November (LT capital gains tax) to dec 2026. I'll look at the 2027dec if they are out. I use qqq and spy because I don't trust a random CEO not to do or say something that will cost me money. All leaps are a risk but this style of farming has worked for me. I'm trying to lower my strikes each time to do what Adam was talking about. 3:25

[@malikalston7142]

I do a similar strategy except with the profit i buy shares. I would love to compare strategies! I can assume with your strategy every year your trying to get as deep in the money as you can with the profits?

[@malikalston7142]

@@Patriots2004 im assuming that’s what he means

[@jackfrostiez8009]

thank you for breaking down the math and comparing the leverage of both options

[@bobtheowl2]

Other factors to think about. 1) The fees and/or commissions per contract. 2) volume / open interest. These may be negligible is many cases, but before you buy 1000 contracts of something you might need to factor that in.

[@WillCouch]

Adam!! Great freaking video man. So simple yet so informative as always. Dang i'm so glad to see you back, hope you're feeling a tiny bit better everyday. So in this case if i have a few good edges for scalping and I've always just used atm's or just barely itm's but in this case.. if all my plays are 5-20 minutes usually would i maybe be better off to start trading higher lots of otms or maybe even a few less otms that are a couple more days out expiration instead to get some less on theta decay?. Since my plays are so quick i usually get the 0dte if i can.

[@christopherlittle4725]

Good to see you Adam I learned to trade options years ago with your Robinhood video. You made me who I am today. Glad you're doing better bro.

[@vincentmamotos9937]

Glad to see this channel back. 1st channel that I started learning options about

[@hamiltoes]

So glad you are feeling a little better and able to make these videos!

[@stevoz748]

man, i havnt been on your channel in a while im so happy youve recovered from your neurological condition, youre looking great and your information is still SUPERB and well taught. thanks!

[@aaron6806]

NO!!! NO I WILL NOT KEEP MY PANTS ON!

[@SkylineENTofficial]

😂😂😂

[@Kassandrasson]

😂😂😂😂😂😂😂😂😂😂

[@kevinarea]

I just noticed you are back! I haven’t had time in the last year to look at options so I have to re-educate myself except now I need to factor in capital gains.

[@wanariddick9165]

I am so glad and happy to see you up and moving ❤️🙏🏿🙏🏿🙏🏿🙏🏿🙏🏿🙏🏿🙏🏿🙏🏿❤️

[@dngrspapercut]

my algo is fucking up on me. it took 9 whole days before this popped up on my feed. leaving a comment to fix my algo. welcome back bro

[@matthewandres8669]

Hey Adam, glad you’re back! Do you have a video on how to use margin effectively while your money is invested elsewhere? Are there any rules you follow to not over leverage yourself while selling puts on margin? Thanks!!

[@platinummontu]

happy to see you back, you always do a great job of explaining how the backend factors impact changes to option values

[@Mathhead2000]

I frame this as follows: 1. Leverage is (underlying price) / (premium (per share)) * delta . This is always higher (assuming enough liquidity) for higher premiums. 2. Effective interest rate is theta (per day) / (total premium) * 365.25. This is also higher as premium goes up. Of course, these are both linear approximations and break down as you get near expiration or if the unsettling price moves substantially. For example, that AMD call might have massive leverage: ($180)/($.20)*0.02 = 18 to 1 leverage, but I'm sure they're is much higher. Probably has an effective interest rate of over 100% APY.

[@DagganSGaming]

Glad to see you're back! Caught up on your story and glad to see you recovering! Love your videos! I watched alot of your learning videos back in 2020-2021 and was able to use options to grow my savings to help with my house down payment in 2022. 🖖

[@TheSpicnspan]

Adam is the man and I’m happy to hear you are doing well my friend. Adam’s videos have been very significant to me and my financial success. I will join his Patreon.

[@LexiRedbone]

Appreciate the breakdown. What if you’re anticipating a breakout, like with SNOW? You buy OTM calls 12 months out in anticipation of a fast movement. All things being equal, I'm buying a bunch of OTM leaps with plans to sell within 2-3 months. If not, sell, and not much premium is lost… I hope this makes sense. I really appreciate any help you can provide. Glad you’re feeling better - you’ve helped up my trading game tremendously

[@lucass.3133]

You would need to caclulate if the theta decay for holding 2-3 months will beat your leverage accrued if the stock price rises enough. I believe this is why during earnings plays, options will spike exponentially after 1 day because theta can't beat the seemingly 10-20% rise in stock price in 24hrs.

[@ericjohnson829]

I guess they should recover from the AT&T data breach by then.

[@50cityguide]

I caught a vid of urs yesterday and now this.. which I have not yet watched, I wanted to answer 1st no cheat sheet.. but 1st I must say, im happy ur back n healthy and posting again. .. 1 of the first option vids I ever saw was you explaining what the terms itm/otm meant, what a strike price is😂😢 I mean the BASICS 101 shht and I loved every minute and went on to really getting into understanding options.. how/why they move, the main 6 greeks how each can effect the other blurring the rules a little when key market indicators move.. I.V. the love/passion for markets centers on these instruments.. implied vs actual volatility. ... a quick cheap answer for the vid Q would be to say it's all the same bc that's the mathematical design of an options chain.. black scholls model does...creates prices by probabilities .. it doesn't matter what strike how much time one contract is to another bc greeks adjust and move the same 1contract at 500$ or 100 at 5$ they'll earn about the same but 1 glaring problem with the 100 contracts is when closed thats going to be 100 executed trades that you'll lose 1$ per to meet the bid -ask whereas the 1contract trades only once =1$ loss.... idk that'd be my guess in most cases, I know of a couple outlier situations that might favor the 100cheaps over the 1 ..... I pull it off once in a while and it's 2hrs give or take before expiration the prem drops most all intrinsic value and if you chart correctly n find the one that's moving u can pick up 50-100 contracts for 3-5-7-1000$ and underlying moves 2-3-5-10$ putting you itm 10-20-30k/2hrs YOLO 😂sounds like a youtube scam...

[@50cityguide]

Sry about the book... to comment here after 4-5yrs and a trading journey 😂❤

[@50cityguide]

Ok. I'm lightweight disappointed in the vid but that's 👍 alright 😅.. Im still stoked I found the channel again.. theres other factors that will effect the gain of a 1$ move. ex. put/call if the 1$ move is down its likely vix will rise, Vega will tell u the gains that will occur for every o.5% or 1.0% volatility goes up.. smoked away the brains cells for remembering that one.. and there's more factors ..idk all of them.. I do kno the delta is incorrect but I'm gonna feel like an asshole😅 let u figure that one out.. good luck trading boys.. love my option bros

[@r6alex]

Welcome back!! So relieved to see you better.

[@DotVlad]

Glad your here, man! I agree with the premise, but I believe the leverage will always higher with OTM options because you should call it as an ROIC. That said, leverage == risk, so, it’s up to every trader to figure out their risk tolerance.

[@vladlenvronsky]

Bro you are literally the best Options teacher. Thank you! I started trading Options on Interactive Brokers. Not as easy looking as Robinhood, but the principles are the same. Learning the platform is my own journey. But what you explain here is GOLD! Please, keep 'em coming!

[@ablass19]

Glad you're back man! Been reading the wheel strategy since you've been gone and I have a 35% return

[@supreethutdallas8153]

Bro hope you are doing better, great to see you again

[@kellyschneider2545]

I'm glad you're doing better health wise. (please pace yourself accordingly) You've taught me a lot over the years. Thanks, Adam!

[@batrique]

Glad to see you back, greetings !

[@dlipp23]

Glad to see you back!! I hope you keep healing

[@map466]

Great to see you back Adam. Your vid on trading options is why I got interested. And they continue to be informative. You’re the best. Hang in there my friend. 😎

[@astramom2740]

Fantastic video, as usual, Adam! Options are such a boost to my main portfolio, and your videos encouraged me to take action years ago. I was wondering if you (or other watchers) use or suggest any options tools/calculators? I recently started using a basic one, and it is fun to play around with the numbers, but I'm thinking there are probably even better ones available.

[@torchy187]

Terrific video. For my portfolio, I keep 80% in cash at a 5% interest rate and the other 20% with various deep in the money calls, PMCCs, vertical put credit spreads, and iron condors.

[@NicholHermel]

Great video! I’m happy to hear that you’re feeling a bit better! I’m curious what software you’re using to write with.

[@christina6733]

Watched it and agree with you. If you are expecting a dead cat bounce or a momentum trade then a quick in and out OTM can bring you a nice $$$. Also, since you buy leaps you can hedge with PMCC's. It's good for limited $$$ but wanting to buy options and sell calls from it. I am sure you have a class about it. THank you for the video.

[@dimitrifwhouse]

Thanks 741. Glad you shared it. Important to be careful with options $GME. Biggest tip: don’t let your options expire worthless. Max pain is real. Look it up. Roll them if you can. Don’t chase. Sell when you get a reasonable profit. Don’t hate yourself for not holding longer because the one time you do you might lose it all.

[@Omega59er]

So glad you're back and feeling better Adam.

[@killerjay1740]

Appreciate the logic man!! I was just having a covo with a friend about ITM or OTM and this is so relevant! Thanks! P.S. hope your health is doing well!!

[@intelligentcomputing]

Love the new sign-off -- "peace the **** out - deuces" -- LOL!

[@spunbearing]

Glad to see you back, how is that condition you had treating you?

[@OmarJano]

Love the channel man. What delta do you go for with leaps?

[@lucass.3133]

His last video he aims for at least high 70s

[@zeal2132]

Well explained and welcome back!

[@CrackinDutches]

Glad to have you back bro

[@michelsabbagh2711]

I love your videos man welcome back glad you are feeling better

[@tomriddle5525]

The king is baaaaaaack, happy your making videos again Adam

[@GoodwillBunting]

Love the content and happy to see you doing well!! Don’t push yourself too hard!

[@coreytaylor1673]

Good seeing you back on this channel.

[@MOBMJ]

glad your back man. you look a lot better!

[@cjkohrs]

Wow. Great way to explain it!!!! I just subscribed after watching this. Love it.

[@ToffleWoW]

Awesome vid. Glad you’re back 😎

[@dommafia]

Or maximize your loses 😅(like me)

[@fenner1122]

This is the way

[@dommafia]

@@fenner1122 🫡

[@Srfs777]

@@fenner1122shut up. Reddit losers like yourselves are the reason why you’re down 114% for the month. Only here for the memes.

[@genzmoney7731]

I lost $65k options trading 💅😭

[@royalpalmz5943]

Thanks for sharing! I have always wandered the answer to this question

[@JamesBraziel]

Good to see you back my man !

[@jasondillon2567]

I have learned that OTM options are best for quick plays on IV. If you can buy while IV is low and then sell when it's high you don't even have to go ITM in order to make a profit, just have to sell to someone naive enough to think the stock is going to the moon (or going to crash, for puts).

[@jasondillon2567]

@InTheMoney-youtube01 Be waiting to get banned, you scammer. 😊

[@gregthacker-jl9iz]

Hope you are feeling better and on the mend...!!!!! Big Time --- your vids rock. So I am wanting to know if you ever sell your leaps when they move into profit? I mean if your up big...say 200% or more, why would you hang on?

[@STOCKDOGINTHEPHILIPINES]

Great having you back

[@flechette3782]

I am so glad you are back Adam!

[@jasond3169]

Just signed up for the yearly subscription Patreon . Thank you for your knowledge

[@elitecpudoc329]

once again, glad to see you back!

[@darylarmstrong2051]

Glad your back bro learn so much from you

[@exildur]

I'm so glad you're back Adam, your content is really good - keep these videos coming :)

[@johningle6363]

Great to see your back Adam thank you for all you do for us

[@bharath700i]

I always had this question. Thanks for making video on that 🎉

[@-AdamTheGreat-]

Love your content and I’m glad you’re back! TLDR - there’s no free money.

[@Mo_ahmmedAlam]

Good seeing you Adam! Great content 👏

[@coffeemilktea247]

I'm so happy that you're back!

[@HTBX-ht4nt]

Glad you’re back! Love the videos!

[@Mordewin]

It's good to see you back. You're an excellent teacher. 👌🏻

[@emceecheeks2794]

Welcome back una bola. We miss you

[@jjczarnik]

glad you're back buddy

[@danielmiller9810]

Love this! Glad you're back man.

[@rjw19]

So glad you’re back

[@sugarcomprehensive410]

Bro you still alive

[@InTheMoneyAdam]

My heart is indeed still beating

[@theneonpython]

No its his ghost

[@jc7887]

Thank you for your sharing your knowledge!

[@TheBorderHoppr]

still happy to see you back :)

[@jhovudu11]

I'm so happy you're back!

[@davechen3970]

Thanks for the lesson Adam ✌️

[@TEXAS2459]

IN THE MONEY BROS ARE BACK!!!! SO AWESOME TO SEE YOU AGAIN !! EACH TIME!! --- A loving Donut.

[@kmoliere504]

Great explanation. Thanks for this video. ❤

[@mourghanyncocorico4481]

The legend is back ! Nice video on meta 1 years ago by the way ^^

[@obieone21]

I was just thinking about this today thank you 🙏

[@Halllaand]

This time last year I considered getting into options without much knowledge and decided to have a consultation with a trade analyst, and it was incredibly insightful. One year and a couple of months in, I truly cannot stress enough how helpful experts in this field are! Keep them coming brother.

[@Pambegay]

How has your journey been and what insights did you gain?

[@Halllaand]

It's not rocket science. Jonas Herman, an expert, is the brain behind my success. I've gotten into options with $10k. With over 70k in roi, now I sit back and just reinvest at intervals while I focus on my career.

[@Halllaand]

Jonas Herman, an expert trade analyst who helps oversee my investments for the long term and has guided me to identify key market trends, pinpointed strategic entry points, and provided risk assessments, ensuring my investment decisions align with market dynamics for optimal profit.

[@Halllaand]

Jonas Herman is a certified trade analyst who helps oversee my investments for the long term and has guided me to identify key market trends, pinpointed strategic entry points, and provided risk assessments, ensuring my investment decisions align with market dynamics for optimal profit.

[@Allambeecairns]

Sounds like I need help so bad. To me, options is not worth it and I know that's the same mindset holding me back from taking a step forward in my finance. I guess I'm just scared since I'm green to it.

[@alejandrosaavedra1377]

Adam! So glad to see you doin content again, i missed you bud!!! 🎉

[@nakatanakatanakata]

So glad you’re back. Question though not sure if you can make a video about it too. How to determine When otm options become in the money, what is the best way to figure out the best way to exercise? I understand selling for profit is always key, but is there anything to look out for before profiting?

[@SphygmosProductions]

An OTM call option would become ITM if the stock price goes higher than the strike price. In the example he used the OTM option had a strike of $300 and the stock price was $181. If the stock price went from $181 to over $300, in would become ITM.

[@Zovaeee]

Everytime I watch your videos I learn something new💯

[@ljknbrw]

You buy OTM when KNOW for a fact the share price is going up. Great time to buy OTM calls on Tesla imo

[@SA-ei6pw]

Clear and to the point! Great stuff man

[@dummy4591]

Glad you're back 🎉

[@janieart]

I am glad to see you making new content my friend.

[@trev777]

that was great. So well explained. Thank you.

[@Ajay-bk4xh]

How do you decide b/w LEAPS on individual stocks vs ETFs (SPY, QQQ). The latter have lower IV, so the options prices are lower, and thus allow for higher leverage?

[@bluesmiller7081]

You can look at delta as the probability that the option will close at the strike price, so a 0.02 delta option has a 2% probability of expiration at the strike versus a 0.88 delta option having an 88% probability of expiring at the strike price, meaning the OTM option has much more risk

[@AlCiampa]

Though accepted, that’s a loosely accurate definition. What delta practically describes is the ratio of change in option value driven by the change in the underlying value. This is also deceiving because you could make money as the underlying price approaches (but never comes close to) the OTM strike price, and lose money as it moves away from (but stays ITM) the ITM strike.

[@RedManRocket]

I just started watching your videos a week ago, and binge watched your horror story of what you've been through. I'm very happy to see you're making progress in your health. And I hope you can get back to 100%. Now to my options question if I may 😁 I've been dabbling in options, and I've noticed sometimes calls will have a break even price that is lower than the share price. I've watched many of your videos and you may have answered this already. However, what is the point of these types of calls? Thanks in advance!

[@InTheMoneyAdam]

Hey thanks, man! It’s likely that the bid-ask is wide and you wouldn’t realistically get a fill where your b/e is lower than the current share price

[@RedManRocket]

@@InTheMoneyAdam Noted, I definitely won't go for those then. Just want to be deep In The Money!! Can't wait for new videos!

[@666777kenny]

The goat is back! ❤

[@shanegreen7298]

So when you are dealing with a stock that is very volatile like TSLA that tends to move up and down quickly, would you recommend otm options with a far expiration?

[@TheMongobongo]

Good to see you bro!

[@davidberrios5481]

Damn Adam be dropping free game. Thank you 🙏🏽

[@dinglebarrybonds]

Hey man I’ve watched all your vids a few years ago, glad to see you are up at at it again. Crazy stuff

[@charliet9176]

Thanks heaps for explaining this part. Finally understand it a lot more. 🤘🤘🤘🤘

[@kjmoran]

I've always wondered about this! Great explanation.