How To Start Options Trading (The Easy High Probability Way)

[@smbcapital]

Learn the top 3 trade setups we are using on the desk here: bit.ly/4elOyIx

[@purplebliss6875]

Great video. Good thinking helping us think about the future. Biggest lesson i've learnt in 2024 in the stock market is that nobody knows what is going to happen next, so practice some humility and follow a strategy with a long term edge.

[@Andreallln]

No doubt, getting proper financial advice is invaluable, my portfolio is well-matched for every season of the market and just yielded 120% from early last year. I and my advisor are working on a 7 figure ballpark goal, tho this could take another year.

[@rebeccaartgallary]

@@Andreallln impressive gains! how can I get your advisor please, if you dont mind me asking? I could really use a help as of now

[@Andreallln]

Sharon Crump Cline is her name. She is regarded as a genius in her area and works for Empower Financial Services. By looking her up online, you can quickly verify her level of experience. She is well knowledgeable about financial markets.

[@rebeccaartgallary]

I’ve just looked up her full name on my browser and found her webpage, very much appreciate this

[@randythayer8754]

Why do we have to show humility? It's our money, and the markets do not have their own personalities. Plus, there are NO guarantees for a long or short-term time frame.

[@AaronTilt]

Becoming a good options trader takes time and patience. When i first got into trading i was liquidated twice, and lost my entire mortgage deposit. I could have given up, but decided to learn how to trade and put it into practice. 4 years later and i am glad i made that decision.

[@chetrichards6]

For beginners, it's important to remember that predicting market reversals is challenging. It's generally advisable to trade with the trend to increase your chances of success.

[@walkjar-q7s]

I agree with you. I started out with investing on my own, following some random trends but I lost a lot of money. I was able to pull out about $200k after the 2023 crash. I invested the money using an analyst, and in seven months, I raked in almost $673,000

[@williamJohnsonq8f]

I'm intrigued by this. I've searched for financial advisors online but it's kind of hard to get in touch with one. Okay if I ask you for a recommendation?

[@walkjar-q7s]

I've shuffled through investment coaches and yes, they can be positively impactful to an individual's portfolio, but do your due diligence to find a coach with grit, one that withstood the 08' crash. For me, “Brenda Davies Clarke” turned out to be better and smarter than all the advisors I ever worked with till date, I’ve never met anyone with as much conviction.

[@williamJohnsonq8f]

Thanks for the suggestion! I really needed it. I looked her up on Google and explored her website; she has an impressive background in investments. I've sent her an email, and I hope to hear back from her soon!

[@Eqnotalent]

Iron condor or credit spreads is a high probability trade but the risk is massive. You guys need to spend more time on the video on RISK MANAGEMENT. Such as what stoploss to set or how to adjust or roll. IC or credit spread is a death trap with good risk management especially 5 delta risking $20 to make $1.

[@howardwiener2652]

Try a butterfly spread. Either direction.

[@nixodian]

They don’t talk about that, management

[@working1531]

Worst thing you can do in Iron Condor is micro manage it and set a tight stop loss, Any Iron Condor will most likely be in loss when you enter, no matter which direction market moves. Your losses are fixed and your stop loss is the maximum amount broker required to enter in the trade, You don't trade direction with Iron Condor, You trade theta decay.

[@yulaev]

​ I think the max loss on a spread is equal to the spread minus the premium received. With $5 spread between the strikes, max loss is $5. You are correct, the potential reward is $1-2 per spread, with about $3-5 is at risk per contract. Reward / risk is 1:5 but, but statistically, the probability of success is 90%. Assuming you are making $1 per contract with 95% probability and loosing $5 with 5% probability, overall reward is 1*0.95-5*0.05 =$0.7 per contract. PLMK if I am incorrect in my calculations.

[@Eqnotalent]

@@working1531 I usually do 3x since that’s the most common stoploss. U can’t not not have stops, the max loss is like 10-20x of initial premium unless your iron condor is like 1-5% of your account size.

[@julesm7951]

This was the best explanation I've seen in a while. Thank you!

[@sidra_games4551]

The problem is the 1/10 time it loses the loss will eat up all of those gains...

[@Mark-ef7pi]

Great video Many online brokerages now offer Interactive charting for complex options strategies, allowing you to visually see what different option combinations will do at varying strike prices. A picture is worth a thousand words

[@Ursulapete.r]

I Hit 12k today trading. Started last month 2024. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject. thanks to Louise O'Brien for helping me achieve this.

[@LozanoHowes]

You trade with Louise O'Brien too? Wow that woman has been a blessing to me and my family.

[@Jill.Armstrong]

That woman has changed my life for good. I attended her investment class couple of weeks last year and she’s the best when it comes for Guidance.

[@Shelby.Thompson]

I'm new at this, please how can I reach her?

[@LauniiGavin]

I'm happy to see Louise O'Brien mentioned here, my husband recommended her to me when I was in Germany during Covid, she's amazing.

[@Joey.vasquez]

I was skeptical at first till I decided to try. It's huge returns is awesome. I can't say much

[@tylertessier6116]

This channel is great! Videos and content is top notch.

[@nd-kay]

Many thanks and have a good weekend😊

[@GeorgeClifford-x4r]

I Hit 110k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started last month. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject. thanks to Natalie Brunell for helping me achieve this..

[@Beckietooley]

I'm surprised that you just mentioned and recommended Natalie Brunell, I met her at a conference in 2018 and we have been working together ever since.

[@Angejafargie]

The very first time we tried, we invested $2000 and after a week, we received $9500. That really helped us a lot to pay up our bills.

[@BarbaraLSummers]

You trade with Natalie Brunell too? Wow that woman has been a blessing to me and my family.

[@Jamiedonna-s9l]

I'm new at this, please how can I reach her?

[@Phyllislovelace]

I was skeptical at first till I decided to try. Its huge returns is awesome. I can't say much.

[@jleoarsenault6107]

Great video. What are the entry dates most times ?

[@valkhorn]

I gotta ask, there’s always a catch, so what is the catch? What about the 10 percent when it doesn’t work?

[@DanielBaumgardt]

Thank you so much, can you explain phases where we can stop the System to not loose money in the red light?

[@Lordortex]

Irresponsible not to talk about the max loss on the strategy.

[@silentexploration]

He mentions it around 7:40 in the video, just listen carefully. Also, this is not an introductory video on options, so anyone who wants to execute this trade should know the basics, so if you mention 25 point iron condor, it takes about 2 seconds to know what your max loss is.

[@Thom.stones]

Rocking those NVDA, PALANTIR, TSLA, and APPL shares! Holding onto them for the long haul sounds good, but hey, I'm all up for grabbing those short-term chances too, aiming for that sweet $400,000!

[@joshuarichards9365]

You'll be a millionaire in 2027 with tesla, AI will be fully integrated by then

[@ErereFintech]

what is the best way, in your experience, to manage those rare events when the underlying moves out of the profitable range? Is it better to do nothing or is there any advisable counter-measure you could take?

[@sergeshimanovsky1739]

Seth, would be beneficial to address the Risk Management for this strategy if you please? What would you do if on January 2024 SPX would not kiss below the strike on those 36 points?

[@rashidbendera371]

Good work 💯

[@scotthackman5518]

I would really like to see more analysis on losing trades where the market goes up or down more than the options. Am I reading this correctly that if your purchased puts or calls are in the money you're losing $25,000?

[@cajunphilippine]

Thank you that was great information. looks like it can be done with calculator, spatial intelligence and a little Macroeconomics and an informed decision. Thank you friend.🎸

[@padoshi316]

It would be good to know what to do if the market moves outside of the 5% range. Would you simply roll the calls or puts forward?

[@stans1058]

We need an example when the trade goes against you and how you close out the positions.

[@davidgiusti5501]

Are there recommendations for backtesting software?

[@CptCarbon]

Hey Seth, thanks for this video. One question, what is your opinion about same strategy but 0 DTE? I set up an Iron Condor just after market opens, 5 Delta up and down, expiry same day. Too risky or possible? Best regards

[@jonhollingback5727]

I’m starting a small account ($12,000) and I’m looking for the best strategy. Which option strategy is the most profitable (put credit spread, iron condor, iron butterfly, or synthetic covered calls)?

[@TreverKeeling]

Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject.

[@mestugk22]

So what does one do if we do not have access to these spread options on our broker account like Robinhood.

[@akshatshiva6516]

Did the broker everyone is talking about pay off?

[@khabykylian9781]

Yes it’s pretty good tbh

[@TopTerajat]

Share this broker with me pls and the account manager as well

[@akshatshiva6516]

Arnold 1899 That’s it

[@akshatshiva6516]

He can guide you through the broker

[@akshatshiva6516]

Telegrams

[@stephenzungi6140]

The delta values on my platform are not corresponding to whole numbers. Need to look into this further.

[@jimd1617]

thank you

[@Superkaimon55]

Thank you for sharing. Financial education is crucial today to show incredible resilience and discipline in the volatile market, masterfully balancing strategy and insight for success. This dedication to continuous learning is inspiring. I'm especially grateful to Linda Wilburn, whose deep expertise and traditional trading acumen have been invaluable in this challenging, ever-evolving financial landscape.

[@Superkaimon55]

She's often interacts on Telegrams, using the user-name.

[@Superkaimon55]

@Lindawilburn

[@gabhrielixx]

What I appreciate about Linda Wilburn. is her ability to tailor strategies to individual needs. She recognizes that each investor has unique goals and risk tolerances, and she adapts her advice accordingly.

[@Fdjp]

Productivity is never accidental; it is always the result of careful planning, dedication, and consistency.

[@ive6830]

Productivity is never accidental; it is always the result of careful planning, dedication, and consistency.

[@jleoarsenault6107]

I wonder how the julys one would have been when the VIX spiked to 70 Aug 5th or so

[@stephenzungi6140]

@smbcapital is there a reason why your delta values are above and below 1/-1 my understanding is that this is the upper and lower limits of Delta

[@IshmealLanderos]

Great content, as always! I need some advice: My OKX wallet holds some USDT, and I have the seed phrase. (air carpet target dish off jeans toilet sweet piano spoil fruit essay). Could you explain how to move them to Binance?

[@angelodorsett1]

Good stuff

[@phatal85]

What trading platform is being used here please? This looks so simple to navigate compared to IG and Plus 500 which I am struggling to understand.

[@choski76]

Are there stocks that are too volatile for this iron condor? Im thinking, MSTR. COULD ITS PRICE SWINGS LAND IN THE MONEY?

[@graysonchin]

What if index price close above or below the range? What is the max loss of this strategy?

[@johnsonra6285]

One question I do have, which I plan to discuss in the SMB Capital Q &A Monday meeting, is that I have been trying this strategy WEEKLY and it seems that the 90% win rate is more like 50% and that I am always adjusting on the day of expiration. Why does it seem different for Weekly vs Monthly vs 60 day expirations?

[@sergeshimanovsky1739]

@johnsonra6285, would you please post here your findings with them, please? What is an advisable "adjustment" on the day of expiration? Or before that?

[@rahularora2716]

Thats because of the gamma blast and you dont have much theta in it compared to monthly. Also it can be possible that Implied vol is shooting

[@johnsonra6285]

@@sergeshimanovsky1739 I know the adjustment is buying and selling back the affected call or put side and moving the condor back down to the 10 delta. That will recoup some of the loss. I will get back to you on the other part, but I do think it has to do with the advanced theta loss.

[@johnsonra6285]

@@sergeshimanovsky1739 The answer I received was that the same probability occurs for the weekly iron condors presented here. The key is adjusting the trade to minimize the loss. The loss for these is a lot if you don't adjust. Also, to find the correct probability, you have to try something at least 30 times. So in theory, if you do this strategy 30 times, the outcome should be close to 80% wins. But like others have mentioned, if the trade goes against you come expiration time and you don't make adjustments, you lose big. When you put the trade on, the broker platform will tell you the risk and for this trade, it is usually about 4X the reward. For example, reward $250, but risking $1000 if you lose and don't adjust.

[@Veryhangrychair]

Yeah, you need to talk about the risk involved here. Many people will see this and immediately jump the gun without knowing the risks involved with the 5 delta iron condor.

[@o1egm]

it's all great but it's hard to get approval for the spreads from brokers....

[@loren7284]

Please can you explain how did you get the amount of 23,400$ that require the broker. Tx

[@silentexploration]

That'd be the maximum margin required if we assume that the broker wants you to put up cash that's equal to your maximum loss on the trade, which is 25 points x 100 (multiplier) x 10 (10 lots) = 25,000$ - credit received for opening the position, which was 1,600$. Typically a broker will require a little bit less margin than this, if I want to open this position with November 2024 expiration, IBKR will require me to have at least ~17,500$.

[@randythayer8754]

25 points between the call and put spreads ($100 per point/contract) x 10 = $25,000 - $1,600 credit = $23,400 required.

[@kharDiop-m9g]

Самые крутые связки

[@sneeuwballa]

what happens if you get assigned?

[@randythayer8754]

SPX is cash-settled. You won't be assigned.

[@benjaminbarry5589]

Being a good trader is about managing risk. It is irresponsible to show a profit graph for a selected period of time too short to see what happens when that 5% occurs and you lose half your account. This is not an options strategy it is an options position. Please if you guys are professionals then stop making videos like this aimed at beginners who don't know any better. There is no way this strategy would outperform equity investors by 4x over the long term because of those losses which can and will occur from time to time. Not to mention options are a form of leverage so the losses will be large relative to the capital employed when the markets turns against you. Not the mention the times when the market almost goes under before rebounding. It would take a lot of mental fortitude to hold your position especially for a new trader seeing those large swings.

[@benjaminbarry5589]

And I would never put a significant pct of my portfolio into a strategy like this. You would be over leveraged and if another 2008 occurs you have lost way more than the average investor.

[@Crusty_Camper]

I am not a trader but I am watching these videos with interest. The same thought had occurred to me, that losses will happen. What I would like to see is exactly that, a scenario where a loss is suffered together with an illustration of why it happened and what, if any, steps could be taken to minimise the losses.

[@WorldSpectator705]

I agree with your statement that this is not a "strategy", it's a "position'. Many of these videos have simply described a position (condor, credit spread, etc.), which by definition in fact has NO edge, in fact if you are selling premium, the premium often is underpaying on the risk, so it has a negative edge. A strategy is when you have some form of fundamental or technical analysis that creates an edge, and then you use that position to take advantage of that edge. And so, so tired of hearing about the "win rate" being high, as if that was all that mattered! If I win $1 in 11 trades and lose $20 on the 12th trade (and that can happen when selling premium) is that a great "strategy"? NO! So why are we constantly hearing these things pitched to us bragging about a 80% win rate or a 90% win rate? Very deceptive for beginners, since they assume the 20% or 10% of losers are about the same size as the winners, when they usually are MUCH larger, when you're selling premium.

[@rahularora2716]

@@WorldSpectator705 well you can always have a stop loss on each leg and also you can adjust the position that is bringing the lossing leg more closer

[@randythayer8754]

Or you could just stay in bed and cover up your head!

[@Stgui2]

hi Seth... I hope you can please give an answer to my question TIA

[@SophieLoschy]

Putting well-earned money into the stock market can't be over emphasised for first-time investors, unlike a bank where interest is sure thing! Well, basically times are uncertain, the market is out of control, and banks are gradually failing. I am working on a ballpark estimate of $2M for retirement, and I have a good 6-figure loaded up for this, could there be any opportunity for a boomer like me?

[@OyunBabus]

Personally, I would say have a mentor. Not sure where you will get an experienced one, but if your knowledge of the market is limited, it seems like a good bet.

[@BrigetGstar]

Some individuals minimize the importance of counsel until they make regrettable mistakes. A few summers ago, following a protracted divorce, I needed a significant push to keep my firm afloat. I looked for licensed advisors and found someone with the highest qualifications. She has contributed to my reserve increasing from $175k to $450k despite inflation.

[@AvelineOztas]

Mind if I ask you to recommend this particular coach you using their service? Seems you've figured it all out.

[@BrigetGstar]

Certainly, there are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with *Julianne Iwersen-Niemann* for about five years now, and her performance has been consistently impressive.She’s quite known in her field, look-her up.

[@AvelineOztas]

She appears to be well-educated and well-read. I ran a Google search on her name and came across her website… thank you for sharing

[@azmainyousuf5172]

You can’t sell iron condors without a level 3 options account. And you need a good amount of money/income to qualify. Not exactly beginner friendly

[@foley2k2]

I use a cash account with level 2 options and specialize in single leg trades in the direction of price action. It's basically scalping, but sometimes gets two or three impulses in the direction of my trade. I use mental profit stops as well as time stops to keep theta at bay. The instant it misbehaves, I'm out. I need to update tradervue, it's a few days behind. I passed $29k today on my originally $7.7k account. Eventually, I'll pay myself. This is my sole income source at the moment, going well.

[@whatsahandle897]

@@foley2k2 thanks for sharing your experience. Would you mind answering a question? What are mental and time stops and how do you set them up?

[@GregS4Jesus]

It looks like if you lose one trade per year you lose all your profits and then some.

[@lwmtx6156]

U will sell cc again and again till u recover

[@cx34r]

Wouldn't the probability of profit be 95% considering that only one side of the trade could expire in the money?

[@AndrewMikel-js7qb]

Thank you Lord Jesus for the gift of life and blessings to me and my family $14,120.47 weekly profit Our lord Jesus have lifted up my Life!!!🙏❤️❤️

[@BnazerriKhiid]

I'm 37 and have been looking for ways to be successful, please how??

[@AndrewMikel-js7qb]

Sure, the investment-advisor that guides me is..

[@AndrewMikel-js7qb]

Elizabeth stark

[@ZerriJoseph]

Same, I met Elizabeth stark last year for the first time at a conference in Wilshire, after then my Life has changed for good.God bless Elizabeth stark

[@larryhenry2070]

😱Sounds familiar, I have heard her name on several occasions.. and both her success stories in the wall Street journal!

[@erice2905]

High risk to reward is in line with high probability of winning. So in long run the result is not going to be that great. That video is very misleading.

[@ronjoseph7973]

You get a day like Aug 5th, or 9/18, if you are on the wrong side if the market (writing naked puts on the 8/5 or short on 9/16), and you’re screwed.

[@simonraithel]

For me the video makes no sense. You are using the mid price for your received premium calculation. If you are use realistic bid ask prices you will make no credit for a 25 points wide wing iron condor on delta 5.

[@facemakerable]

best part iron condors required less capital

[@emada1173]

You risk 23K to make 1.6K with 90% success rate means the expected earning is .9*1.6k-.1*23k=-0.86k!!! Doesn’t look good to me!

[@kevinnoel4647]

Lol, your math makes no sense

[@KK-vd1fn]

Can i get a trading job in your company ?

[@steelhorses2004]

90% win of $1500-1600 avg each trade but max loss of $23500 avg once every 10 trades means you automatically lose. How do you manage to avoid this?

[@WilfredoDurgan]

It took me four years to discover that forecasting the market based on charts is pointless; you never know what will happen. Without a mentor, those four years were miserable. Now, I watch market trends and keep things basic and disciplined. I currently earn an average of $35k every week, despite the fact that I barely trade myself.

[@WilfredoDurgan]

As a beginner investor, it’s essential for you to have a mentor to keep you accountable. Myself, I’m guided by Alex Antonio. A widely known crypto consultant

[@JudeDinbc]

I've come across this name before, is he really reliable?

[@TaylorColeman9]

After I raised up to 325k trading with Antonio I bought a new House and a car here in the states ??also paid for my son's surgery (Oscar). Glory to God.shalom...

[@JudeDinbc]

I am a beginner in crypto how do I reach Antonio Alex for guidance please?

[@WilfredoDurgan]

He's mostly on Telegrams, using the user.

[@christinemarquis1324]

I loved the videos found them incredibly useful and went ahead to do the webinar and that was unpleasant. This was a painful informercial which really made me lose the trust I had. It's ok to sell something but to take 2hrs of my time when a whole hour is dedicated to selling was disappointing. All this is still talk just like every other person on KZbin claiming to make millions trading but still go out of their way marketing courses....why? Why do you think saying you're better makes me believe you're better.

[@francisnganga-r2w]

Выглядит вроде как не сложно

[@Mediassshow]

Risking 23k to make 2k? Explain

[@bighou2359]

are you afraid of being assigned?

[@silentexploration]

@@bighou2359 You don't get assigned on index options that are cash-settled. You simply pay the amount by which you end up ITM, your max loss is the long option leg, that is 25 points in this case minus credit received for opening the position.

[@supericio]

Why don't you talk about adjustments?

[@MelekShelomohTrading]

I respect Options traders but I dislike these non directional options trades because it seems like one is unsure of the risk you want to put on or lacking confidence in one's analysis. I understand this is good business for institutions but I just don't like it, respectfully speaking.

[@TimCBuilders]

My got these bot comments are f_cked up

[@Grandus11]

I will stick with trading stocks i have made 7700+ in 9 months with stocks without the risk involved in options.

[@stevenscott5814]

Isn’t this the same strategy used by Karen the super trader featured on Tasty trade who blew up her account?

[@zeevdoob2078]

1.5$/25$=6%. and if u have 10% to pay 25$ the expected value doesn't looks great. as to presented statistics, it's too small for conclude anything serious.

[@TuttleVictoria-i8j]

Robinson Christopher Garcia Carol Harris Thomas

[@braddeicide]

You need to show when trades don't work, for education.

[@DonnaRobinson-q6p]

Hall Patricia Brown Christopher Jackson Jason

[@TurboSpeed69]

why don't you guys talk about things that can actually help people?? I have browsed thru some videos on your channel and haven't found really any value at all

[@edmalin9485]

Most of the time there not full of organ meats...read the ingredients.

[@raheemjr7530]

Risking 23k to make 1600 is ludicrous. There's gotta be a better strategy.

[@edwinbab3205]

Buy treasury no risk sleep better

[@anonymouslyphantomwarrior6787]

We'll pay for the damages. I'm sorry!

[@JOHNSMITH-ug2mt]

BS!

[@truthwillalwaysprevail]

Great video on IC . As others have mentioned it would help if you can create a video to explain for the case, when it goes in the money to mange stop loss. after all possible loss could be 25000 -1600=$23400

[@coartneycarroll6666]

Clark Kenneth Lopez Mark Williams Jennifer

[@TreverKeeling]

Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject.