💰 Selling Put Options 2.0: Advanced Income Strategy for Maximized Returns

[@RickOrford]

🔥 Join me on Discord: rickorford.com/discord

[@stephenbauer754]

Wow! You go so slow and enunciate every word in a way I can understand and comprehend with example of formulas. Thanks, you do a great job!

[@RickOrford]

Glad it was helpful!

[@wilsonsamuel2469]

One of the best explanations for Selling PUT Options.

[@RickOrford]

Thank you! Very, very kind :)

[@khanhle9623]

I can't thank you enough you break everything super nice. I have have paid other youtuber lots of money and they can even come close to you and you doing it for free.

[@heidily1444]

This is the best video educated selling put option!!

[@RickOrford]

Thanks for the kind words!

[@bmurphy847]

Rick, Your training videos are great. Very well presented and easy to follow. I would say that your Options Trading videos are the best on KZbin. Thank you. I noticed that you asked another commenter about their favorite part of the video. for all of your videos: I believe that the fact that you cover the how to sell the option, how to select the ticker and the timing, and very importantly, how to adjust your position or close the trade to minimize the loss if the trade goes bad. Too many other videos gloss over the "how to save the trade" part. I think they skip this part as they are trying to sell the viewer on their training program.

[@RickOrford]

Thanks for the kind words. It’s interesting that as you say, many focus on “saving the trade”- If you sell the right options at the onset, saving the trade becomes far less of a thing. If there’s any topics you’d like me to cover, don’t hesitate to let me know!

[@bmurphy847]

@@RickOrford I would like to see a video on how to use and understand the Options Samurai. I am giving it a try, but there are terms and heading I don't understand. Thank you.

[@RickOrford]

Sorry- I just saw this comment now. Stay tuned for later this month- I’ll do an intro to Options Samurai!

[@terifong9816]

Thank you again Rick, I can watch the same video over and over so I can fully understand .

[@RickOrford]

You’re very welcome! Maybe consider joining my community on discord??

[@OneKeyRep]

finally a full and comprehensive video explaining selling put options❤

[@RickOrford]

Very kind! Check this one out next: 🔥 The Risks of Selling Put Options: Is It Safe & When Should You Do It? kzbin.info/www/bejne/rHfJYoeva955nqc

[@OneKeyRep]

@RickOrford well I watched it too late and now tesla has gone up 6% so I need to move fast 🏃‍♀️ the only question I have is if I sell a leap put out 12mnths then how do i find out what the cost will be to buy it back later on 🤔 also if I do take profits early, say in July then I just buy to close out and accept whatever the price is then??

[@OneKeyRep]

@RickOrford I'm now watching your call options one to see which I should trade for tesla 😉 puts or calls or can I do both and test to see which gives more gain at the end? or can I see all this data before I try them both??

[@RickOrford]

@OneKeyRep there’s tons of opportunities outside Tesla. Have you looked at rickorford.com/samurai ?? You can find tons of opportunities for income there.

[@OneKeyRep]

@RickOrford as a newbie to options trading which platform would you say is easier to understand and place orders and close them since I'm from the 🇬🇧 UK? webull is commission free but there are a few others that u need to pay I think like tastyworks thinkorswim interactive brokers, pity we have robinhood but no options trading available yet 🫤 I guess the question is which platform allows a trader to automate when they want to exit a trade on % profit taking ie. if I enter a trade and once it reaches 50-60% profits then then it exits my trade for me.

[@ngodinhdien]

Thank you for doing the video. It provides me with the basic knowledge that i need

[@franco2k8]

Hey Rick that was a Great Presentation about Put selling , The only thing I would like to add is that one can do a Bull Put spread to reduce the Margin obligation, and with that you would have to sacrifice some of the Premium collected.

[@RickOrford]

Yep, absolutely great point- and it’s one I’ve covered before! That said, I probably should have included it in this video. Noted for the next time!!

[@joannapatterson4625]

Great video. Thank you!

[@amstaylorph]

Love the clarity you provide.

[@RickOrford]

Thanks!!!

[@amstaylorph]

@@RickOrford You're welcome. I'll be passing your channel along to a couple of my friends. Looking forward to your next video.

[@RickOrford]

@amstaylorph Watch out for it tomorrow or Friday- it’ll be a follow up to the advanced put options video, specifically covering risk.

[@amstaylorph]

@@RickOrford Thank you Rick.

[@RickOrford]

And here it is! 🔥 The Risks of Selling Put Options: Is It Safe & When Should You Do It? kzbin.info/www/bejne/rHfJYoeva955nqc

[@worldchanges10]

Like your slow and clear options explanation, comparing to a few that’s more into unrelated to the title with more of a personal profit and educational rambling, plus more of a speedy Gonzales method that beginner like myself cannot grasp 😂

[@RickOrford]

Thanks! I really do appreciate the kind words :)

[@SatyaSanathani]

That was a great video. Thanks for sharing the information.

[@RickOrford]

Thanks for the kind words!

[@Shaka4U]

You are a great instructive I actually understood all the things you said with great examples. Thanks have been watching a lot of thing on option but not one as good as you sir!

[@RickOrford]

Wow, thank you!

[@SummitMan165]

Good episode !

[@RickOrford]

Thanks!

[@eg32164]

Great explanation of this options trading method. Very clear and concise. I started selling put options about 2 months ago and have been pleased with my results. After viewing your video, I gained a much better understanding of the process and reinforces and advances my success in continuing to incorporate options trading into my investment activities.

[@RickOrford]

Thanks for the kind words! Keep up the good work!

[@LeeMaggie-v1k]

Thanks Rick .. so easy to understand

[@RickOrford]

Great to hear!

[@magicsmoke0]

Buying a longer dated contract isn’t less risk, it’s actually more since there’s more time for a stock move (in the wrong direction) and you’re getting more raw return but less APY. The real secret sauce is using theta decay to get the extrinsic value and buying back just before expiration. With this, weekly options ATM work well.

[@Xplosivedog1]

Good and easy to understand information.

[@RickOrford]

Thank you for that! Here’s a follow up video I think you’ll like: 💥 Exit Strategies In Options Trading | Secure Your Profits & Limit Losses kzbin.info/www/bejne/mXXXZn98jc-kbrM

[@eamonhannon1103]

Love it ! Very well presented !

[@RickOrford]

Thank you!!

[@lizlemon9632]

Excellent presentation. Thx.

[@RickOrford]

Thank you! Here’s a follow up video I think would be useful: 💥 Exit Strategies In Options Trading | Secure Your Profits & Limit Losses kzbin.info/www/bejne/mXXXZn98jc-kbrM

[@allensalamat6402]

Thank you for the info

[@RickOrford]

Thanks for watching!

[@RickOrford]

Any time!

[@allensalamat6402]

Hi Rick. Can I reach you out via your email address if I have any questions? Thank you

[@RickOrford]

@allensalamat6402 specific questions should be made here, so that everyone learns. However, if you’re looking for some one on one training, we can certainly discuss it!

[@terifong9816]

The best professor❤

[@RickOrford]

Too kind :)

[@alittlewalkinthewoods]

Hi Rick, are there any brokerages that pay interest on cash collateral being held when one sells a put (especially for contracts that don't expire for a long time)?

[@RickOrford]

IB most likely!

[@Goldbird679]

Learned a lot. Time to go sell a PUT.

[@RickOrford]

How’d it work out?

[@dannytetreault]

7:16 the delta for puts are ALWAYS negative…why?

[@mistermusic4574]

Super cool lesson. Very useful for a noob like me. Excellent, thanks a lot

[@RickOrford]

You’re very welcome! Was was the biggest takeaway for you?

[@mistermusic4574]

the risk of selling puts is lower than that of buying options​@@RickOrford

[@JeffHansen57]

All of the examples are with expensive stocks which have a higher premium which sounds great. But you would need to have 20,000-30,000 in capital set aside which not every beginner will have. And of course part of the risk is what you could have done with that idle 20k. All that said it was a very informative video. Would have been nice to see more examples with other expiration dates to see how the premium changes.

[@RickOrford]

Right- so quality stocks are often >$100, so you’ll need at least that * 100 of margin available to sell the option. In terms of how premiums change with expiration dates, look at an option chain for any expiry on any stock. Pick a strike price. Then change the expiry date. You’ll now be able to see the premium change for the same strike. Hope that helps! For more- feel free to join my community on discord!

[@jimbala2996]

Good explanation

[@RickOrford]

Thanks for liking!

[@terifong9816]

Rick, when selling put the underline security is about to get assigned, do I have to call the broker to get assigned or it’s automatically processed ?

[@RickOrford]

Assignment on short options is an automatic process. You’ll likely be notified should that happen.

[@terifong9816]

Appreciate so much!

[@walterhu3833]

a nice option course! by the way which is better; to let an option expires or buy to close?

[@RickOrford]

Thanks for the kind words. Option that’s expires worthless means you keep all the premium. If you “buy to close”, you’ll give up a little profit, but you’ll crystallize the gain.

[@walterhu3833]

@@RickOrford Thanks for the tip, Rick. It is very educational to watch your videos. Keep it up 👍

[@jonschlottig9584]

I prefer a lower premiums on a 1-2 week timeframe - less risk, more flexibility. Also, making 1% in a week is better than 4% in a month when you factor in the compounding.

[@RickOrford]

Absolutely correct. Greed eventually leads to losses in options trading.

[@dannytetreault]

11:54 is that a LEAPs?

[@Ivabiggun2]

I am curious what is recommended for Put Option sales when you know the stock is going to sink like a rock?

[@RickOrford]

If you don’t have an open position, Don’t sell it in the first place. If the position is already open and the stock is falling, you can close it out, or roll down- or if there’s still lots of time, wait it out… sometimes these things happen. That’s why it’s a best practice to only sell puts on stocks you’d like to own.

[@Ivabiggun2]

@@RickOrford - Get it now. Just confused initially. Thanks for taking the time to explain in-depth.

[@RickOrford]

Of course! And don’t hesitate to join the group on discord- lots of q&a’s there!

[@rajeshmathew7924]

Hi Rick, its a very useful video!. Just a question. Do we read the delta of call options for its worthlessness the same way we do for puts? For calls its a positive value. So if the delta shows .83, does it mean 1-.83 which is 17% chance of worthlessness? Thank you!

[@RickOrford]

Thanks for the kind words and excellent question! To clarify, A -0.2 delta means there’s a ~20% chance it’ll expire in the money (and you’ll be assigned). Conversely, a -0.2 delta means there’s an 80% chance it’ll expire worthless- which is what you want. So, your -0.83 delta put means it’ll likely be assigned.

[@haroldsargent979]

thanks for your help, i got a question i have a fidelity account, selling a put what does break even mean on the trade ticket i don't understand it my sell-to-put call is below the break-even price?

[@RickOrford]

Thanks for watching! You wouldn’t set a break even price on the order. Rather, you’d pick the strike price and initiate a “sell to open” order- and select call/put, the stock, strike price, and expiration. And hope it expires worthless!

[@Yt-user65000]

The break even would be how much the underlying security would have to fall to eat up the entire premium you collected. If that happens, you not only forfeit the premium, you will also be assigned the 100 shares at the strike price for which you sold the put. Only sell puts on stocks you’re bullish on, long-term & only sell puts at strike prices you would be ok with paying for the underlying asset. On a positive note, you would be getting the 100 shares at a discount & you could then start selling covered calls and continue to generate income.

[@personalwellnessservices5663]

Thank you.

[@RickOrford]

Thanks for watching! Any particular takeaway that you liked?

[@anthonyakidi4872]

Thank you

[@RickOrford]

Thank you for watching!

[@prairiepegger]

This was helpful to a beginner. I’m now wondering if my bank trading platform has this option

[@RickOrford]

Bank trading platforms are usually very rudimentary platforms for trading options. I’d consider Interactive Brokers instead.

[@flyingtiger2212]

good vid

[@RickOrford]

Thanks! Be sure to check out my discord for more :)

[@Martin-bk3sp]

Do you have a web page?

[@RickOrford]

yep! rickorford.com

[@jmr2594]

You need more views your videos r good. How long did it take u to learn all this and where did u learn from?

[@RickOrford]

I’ve been investing/trading since ~2001ish…

[@andrewd9633]

$2290 in 34 days would be a great return. But it’s not worth the risk of being assigned $230,000 worth of Tesla stock.

[@RickOrford]

Right. That’s why we must always weigh the risks. Like, what are the chances TSLA goes to 0? Little. $10? $100? That’s the key.

[@u.w.sunitedwestand2117]

Lol right!

[@denko44]

That's why everyone weighs the risk for themselves. If it's too much pick a diff stock.

[@robotpanda77]

Not to mention you would need to have 230k in your account in cash which if you have that much you could just put it in a money market and make money without even looking at it

[@leginjones]

Math is wrong. 115000 is the right collateral you need

[@inanutshellreviews77]

Hi Rick, do you offer one on one course? I have basic knowledge of Options, tried once of live trading and loose money :).

[@RickOrford]

Yep, email me!

[@inanutshellreviews77]

did you receive it?

[@RickOrford]

@inanutshellreviews77 nope. Try [e-mail] - will respond Monday!

[@VladTN1977]

20 years trading but earning on KZbin 😂