Using Stop Losses Trading Options || ThinkorSwim

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Keywords: thinkorswim, options, options trading, td amertitrade thinkorswim, trading, carmine rosato, live day trading, livetrading

[@alexandernguyen8931]

8:21 - Note for myself: How to setup a stop loss for options

[@reggitrades2050]

thanks this is all I needed this man just told me his life story

[@928dawson6]

@@reggitrades2050 I down voted this ish because of that.

[@GodsEvangalist]

Thanks you for fuck sake

[@crapsta12]

@@928dawson6 did you use the info after the time stamp tho haha. You cold. Hilarious tho.😂😂

[@dylankelly5546]

Love the transparency and clarity with your content. Whoever’s reading your P/L is going to be green today 💸

[@ladychokmah8540]

The absolute best explanation of stop losses I've seen yet.

[@Rpere387]

It really isn't

[@Air2nyc]

@@Rpere387do you have a better discretion

[@patriciahaller4998]

Also good to move your stop losses (on a call) to the higher lows etc that way your more secure in your profit instead of doing just one solid stop limit as price goes up just to come back to where u started !

[@bay5005]

I've been trading for a few years but I would still consider myself new to options and I find this video very helpful. This explains why I am losing winning trades! You are a straight talker, friend, and I respect you for that. Hope your trading is going well. Thank you Carmine.

[@jasontaylor2237]

appreciate the video on stops. most of the top traders I've seen on here highly suggest against mental stops. even though these are options. I do understand your logic behind not using hard stops. thanks for sharing

[@Five0Tr33s]

This is great insight, Carmine. I have always used the Active Trader tool to place STOP orders for my Options contracts, and if you have the 'Show Orders' setting turned on then you'll see a red line on the SPY chart to indicate the price in which your contract will be stopped out. I usually have to adjust the STOP a bit to find the exact level on SPY for where I want to exit the trade. This is also useful because you can watch your STOP move as Theta and other factors affect the premiums. Have you used this feature, or do you primarily stick with the mental stops?

[@Aarontan05]

Hi, does it have trailing stop loss for options triggered by specific percentage drop?

[@venettasimone387]

Have you tried placing a stop order based on the option's actual price? Instead of using the gear on the order page, you would change the Order Type to Stop and set your stop price around your target sell price to either cap losses or protect profits.

[@YourSuccessToLife]

Glad I found this video. Just helped me realize that stop loss for options strategy is entirely different from stop loss on actual stocks. I feel like I need to focus on mental stop and not deviate from the plan.

[@Alch8Fi153]

Sup sup Carmine! Thanks much for this video! At the end, when entering the exit conditions, why not simply utilize a OCO or FTO order? Much more efficient!

[@alexsouvall7930]

Is a supply/demand zone valid if it occurs during after hours trading? Do you avoid trading off zones created during these times?

[@lawrencew713]

MY MAN IS BACK! Always waiting for your vids man, best in the market

[@markspancing9343]

This was great, thanks, been searching for "daniel tiger stop think and choose episode" for a while now, and I think this has helped. Ever heard of - Seyilliamorn Unflappable Smasher - (Have a quick look on google cant remember the place now ) ? It is a smashing exclusive guide for discovering how to trade stocks lik a boss without the hard work. Ive heard some decent things about it and my partner got amazing success with it.

[@laurag8490]

what about trailing stop for options? do you ever use that ? Thanks

[@kathytogni904]

Thanks for this practical advice on how to set stops for options.

[@Rleebeck051]

Thanks for the vid Carmine. One piece left to my imagination is that when you use the mental stop and it hits, do you then sell at market? When doing that in AT I have gotten some VERY nasty fills.

[@medina4834]

I need this, takes the mental aspect out of options, which has always been harder for me than doing so with stocks. Thanks!

[@GregHohman]

DO your Supply/Demand zones work on the chart of the options themselves (i.e. not the underlying’s chart, but only using the Option chart)?

[@vimolly]

Thanks you. I just learned how to do stop loses on options.

[@jb47salinas]

I appreciate the video! Simply put. I have a question, if anyone knows the answer please tag me. Does the 'cancel' side of the 'Order Rules' window allow you to close your trade if that condition is met? Thanks in advance!

[@sedul2006]

do you manual trail stop orders on options or conditional on underlying price?

[@quangluong5413]

Exactly what I was looking for. And I learn more new things. Thank you 👏

[@freewalla6651]

Love your videos!! Now this was two years ago.. is there a better way now of mirroring your stop loss in stock chart and option chart?

[@ilya.zherdev]

Why won't you use vertical spread instead of stop losses?

[@saurabhsonic]

Dude - I love your videos so much! Thank you!!

[@kalislim1]

hi in option can set stop loss and take profit at the same time?

[@Echeniquejose]

HI Carmine, thanks for the video. I was checking on my TOS and when I try to put the condition Just appear Date and Time I can not see Symbol method, Trigger, Threshold as you have in the minute 8:59 Can you checkif I am doing something wrong? Of course I have an Open order prior to put it and it is the same order.

[@AdministratorMseCom]

Hi Carmine, I've one question, is it possible or not ? if i set up stop loss in my chain position, but i leave on market no execute. (example bid=1.5, my stop loss = 1.6. because but firstly when i submit stop loss it was 1.8)

[@saiine]

Is there a reason you don't just set the trailing stop on your premium price?

[@DD-ts9uu]

Although you set your stop loss on the certain amount doesn’t kicks in until someone will buy for it. I am done it many times.The solution is , If we only have a price that much the stop price in front of the strike price. Coz we still guessing and do the estimate still.Thats I am working right now specifically if I have a .10 widespread.Thanks for the idea. 👍👍👍 I am with IBKR , I heard TOS way more better.

[@syncit5543]

Which monitor do you use in trading like 144hz, 160hz or 244hz? Some people say you should have high speed PC and fast monitor if you are a scalp trader, is it true? Or it doesn't matter?

[@CodeMancer]

The monitor hertz, while slightly noticeable, won't do much for giving you an advantage with scalping. (IMO)

[@tooooomboh]

Doesn't really matter. But if you REEEALLY want to have that slight advantage for for 144hz over any other as the difference is not noticeable

[@mslucia5913]

Hi thanks for the video. great content. Can you elaborate on how to get to the option chart that shows the stock price as well as the premium price and option chain as per your video as i dont seem to see that arrow on my platform that you clicked on cheers

[@wakalmercedesreyes1865]

Excellent Home-run, great information as always Carmine

[@dylanknows3147]

I got my thinkorswim up now and it seems like I’m able to set stops based on contract price. Did they recently add this feature?

[@imiptat]

i see the order rules option for a order im setting up, but am i able to do this for a position i already have?

[@fckinray]

Finally got the info I was looking for. Thanks! 🙏🏼

[@dannyi4829]

Just what I needed to know. Thank you 🙏

[@jackhasso4539]

great video - didn't know about feature to adjust premium to give you an idea of where the underlying price would be. Great tip - thank you.

[@salmansirajsalarzai7237]

Helped me understand a topic for the CFA Level 1 exam

[@carmine_rosato]

awesome!

[@theodoreboosalis]

Brilliant video - I will be using this strategy this week if I have positions to open.

[@procroissant8569]

Please do more live trading videos love watching them when I'm bored

[@hawkeyehowardinvesting3530]

Excellent video on stop losses when trading options!! 👏🏽🕺🏾

[@Mistahcakes]

Great info on the mechanics of a hard and mental stop loss for options.

[@LATINOSTRADERZ]

Hey buddy I am a little lost we are talking about stop loss on an option contract it not supposed to if that option contract goes wrong and we paid the premium of $200 that's the most we can lose right way do we need the stop loss for?? Thanks fot the advice

[@erichalverson8893]

I agree - I can see a stoploss if you're in-the-money and the stoploss is also inside the money, but in the examples shown the stoploss was outside the money - you might as well let it run through expiration in that case. Or maybe I am missing something - I usually trade stocks and sometimes will hedge with options - in other words I am not an options guru but your understanding is the same as mine.

[@SoCalBrian]

4:50 I had to watch this many times to see what you were talking about. I get it now. I'm surprised that those slightly differences exist

[@gunavanshakd1568]

Hi can you please let us know if the options can be bought and sold during both pre-market and also during after hours (post market). Thanks

[@carmine_rosato]

Not for stocks. Some options related to indexes such as SPY QQQ can be traded 15 minutes after the close

[@markspancing9343]

This was great, thanks, been searching for "daniel tiger stop think and choose episode" for a while now, and I think this has helped. Ever heard of - Seyilliamorn Unflappable Smasher - (Have a quick look on google cant remember the place now ) ? It is a smashing exclusive guide for discovering how to trade stocks lik a boss without the hard work. Ive heard some decent things about it and my partner got amazing success with it.

[@mfknsorcererproductions]

I don't have that section in the order rules tab under conditions. It only shows the option to submit at and cancel that. Any ideas?

[@fashobuccs1297]

hey how do you name your supply & demands zone like how its shown on your chart there??

[@4seasons4elements]

why not a trailing stop using ATR1 or ATR2?

[@chaitanyakodidasu]

You can use OCO order on the sell options

[@tatheerjumani4044]

It is a good understanding but as you say the Greeks do the ruining we pay the premium we should be concerned withe the premium otherwise in stocks you are right

[@soulim2982]

thanks for this video Carmine! Very helpful!

[@JoseBYOB]

Isn't there a way to set a stop loss on the value of the contract? For example I buy a call for $1.00. Can't I set a stop loss of say $0.80?

[@MrDantkk12]

how to call out the "order entry tool"?

[@jrome9813]

Wow TY bro. Glad i found your channel.

[@carmine_rosato]

Thank you man .. welcome aboard 🙏🏽

[@M3Trading]

Finally found what I was looking for lol, thanks!

[@dpunk1987]

Appreciate the video. How do you show the 1HR, 2HR and 4HR resistance zone in your 5M chart?

[@carmine_rosato]

They are on the same chart, so doesn’t matter what timeframe i look at

[@dpunk1987]

@@carmine_rosato is that a custom indicator and available publicly?

[@carmine_rosato]

No, it’s standard TOS

[@dpunk1987]

@@carmine_rosato oh, what is the name of this indicator?

[@carmine_rosato]

No indicator. It’s a standard TOS feature. If you are talking about the zones themselves, i manually draw each level

[@jaylee3443]

I liked the video I’m not really good at mental stop loss yet

[@sgsnowhiker]

Super super helpful!!! Thank you

[@laurencesmith9306]

can u have oco on the stop like a bracket

[@Sina_12]

This is a great video. How can you use this method if the spreads are wider?

[@carmine_rosato]

Make sure to limit at mid price. I wouldnt market or limit at ask if spreads are wide

[@FirstLast-tx3yj]

@@carmine_rosato is there an auto take profit when my call for example reaches 100$ profit??

[@alexanderkupelian4817]

Good morning Carmine, can yo please share your ThinkOrSwim setup for Options Trading ? Thank you !

[@gaboxd001]

Great video! 🙏🏼

[@moddkilla]

Do you put stop losses on winners? Why do you assume stop losses are only used for limiting $ lost a losing trade.

[@tsrk-online]

What about 0.9x option price for stop loss and limit sell of 1.3x option price

[@pkwahwai]

Hi, how come my cursor does not draw like your cursor...am i missing something...? coz my cursor does not have that small drawing pen.

[@serraanindhita]

great video! very useful and helpful video thank you I am still learning in the nusantara fx community

[@mic-h1680]

Do you ever use trail stops?

[@co1972]

Very helpful! Thank you!

[@jinouji6025]

I 2nd the above comment. Fucking answered my question within 3 minutes where as everyone else is still talking nonsense before getting to the point. I up thumbed as this video deserves it. Thank you.

[@javamochafrap]

Ever use a trailing stop with your option trades ?

[@judzz1876]

Is this the same concept for take profit if I can't sit at my computer....(full time job problems here lol)

[@samholder196]

is there genuinely no way to make a hard stop limit order based on premium?

[@markdavies981]

Yes there is a way. You create a closing order, then click on the "order" tab and select "STOP" in the drop down menu. You can then set the option price at which you want to close at. The closing order will be triggered when the option price reaches the specified amount. You can use that method to cap your losses. You can also use a limit order to close when the option price reaches a certain amount (e.g. 50% of max profit). With those two closing orders, you can automatically cap your losses and protect your profits. This is my preferred approach when trading options.

[@928dawson6]

Yo! I came here because I searched can you set a stop loss while buying an option. Since, now I know you can't just go-to positions. Hover over your position. Right click and then create an opposite order and that is much faster than this crap. How does he have 62K subscribers? I am about to start a KZbin channel thingy.

[@MrChito562]

Awesome channel!

[@blackcurrantpop]

Perfect video exactly what i was looking for.

[@cptnjtk17]

Carmine, you mentioned the mental stop loss vs the hard stop, but I didn't catch how you trigger the mental. Did you just set an alert?

[@All_Things_Digital]

Great video!

[@neuvocastezero1838]

Interesting, I always thought options traders used spreads, not stops to protect against losses, but I'm a noob.

[@radoslavdimitrov7995]

Thanks Carmine. You are saying valuable information.

[@italianjump]

Caro Carmine ma è posibile usare lo stop loss vendendo opzioni ?

[@Skinner_Trades]

Great video sir Carmine

[@trinkladd]

Thank you

[@AaliyahClark]

I feel attacked ! lol

[@stevedefrancis]

Really helpful thanks

[@andycobra49aor]

Sir; Thanks, great job. Can you please send me a video that I can, how can I place a stop loss, and order with option cut dry. I don want to be rude but I am requesting a video cut dry about placing a Put or Call with stop lose. I do look around, a lot of videos have a lot of drama. For example, if I purchase an Option a ask price of $4 and I do offer it a $3.90 and if gets approved fine, now, I need to make another other to make sure that IF I purchase that order at $3.90, I have to set up the STOP LOOSE AT $3.88 so if the PUT call goes to $3.88, I only will lose about $0.02 cents based on how many contract I purchased. Anyways, Hope you got this message and make or send me to the right place to conduct this Options contracts, thanks Respectfully; Andy

[@terrywilliams2349]

Thanks this was very helpful!!!!!

[@ChromaticTempest]

Gotta set a stop loss when possible. The human element will cost money. I just had an up week but still lost a few hundred from intervening when I should not have. A stop loss is set based on a plan. Stick to the plan during the trade, then revise if necessary after the trade. Attempting to do things during will mean a loss of money. Perhaps not 100% of the time, but often enough to measurable. Humans are emotional and toss logic to the side all the time.

[@CoachRobi1]

Can’t u use a Trail?

[@joelatorre3057]

You said a lot. I buy a short vertical for $3.00 and I only want lo lose 1.50. How do I place the stop on TOS?. Not base on a price chart

[@Theextremepessimist]

Im just trying to soak up information, still confused but this is a good video.

[@marcosnovelli6717]

Awesome video

[@bremyan]

Looking for this in TWS. If anyone knows how pls let me know

[@jonathantate5559]

Lord I needed this yesterday. This gets a like and a subscribe from me for sure.

[@jessicaforever2012]

Is there a mobile version for this?

[@DrNyokc]

GREAT JOB CR !!!

[@christianfiguroa7147]

Are there any one on one mentors?

[@Rpere387]

Hi Carmine, this is a explaining how to setup a trigger order for an option to be closed out once the underlying is at a certain price, not how to set a stop for the price of the actual option. A bit misleading.

[@Nuschler22]

Great video, thanks.

[@rickychan8108]

this is what i been looking for. Subscribed.

[@carmine_rosato]

Thanks Ricky!

[@rickychan8108]

@@carmine_rosato hey bro, can you do a video on how to set stop loss/trailing stop loss on spread options or is it the same concept? thanks in advance