You may have heard of these few terms being mentioned when people discussed options, so what exactly are In-The-Money (ITM), At-The-Money (ATM) and Out(of)-The-Money (OTM) referring to? The concept is very simple. It basically means how the strike price (agreed price in an option contract) correlates to the market price of the stock and vice-versa. … Continue reading What Is In-The-Money (ITM), At-The-Money (ATM) And Out(of)-The-Money (OTM)?
Tag: options trading
What Delta Value Do I Use For My Trades?
I have been asked the above question a few times so I thought it would be good to answer this question in a blog post so that more people can be aware. So, when I mentioned low delta, I actually do not have a specific range of delta values that I use. My general rule … Continue reading What Delta Value Do I Use For My Trades?
Trading Activity On 19 Nov 21: Sold Off Alphabet & Apple LEAPS, Bought New LEAPS in Microsoft, Apple & FB
With Apple and Alphabet (Google) shares trading near their all-time high prices, I took the opportunity to take profits on the LEAPS contracts that have the shortest expiration date, at June 2022. I bought these 2 LEAPS contracts 3 months ago in Aug 2022 and the expiration dates of June 2022, which is 7 months … Continue reading Trading Activity On 19 Nov 21: Sold Off Alphabet & Apple LEAPS, Bought New LEAPS in Microsoft, Apple & FB
I Bought Rivian LEAPS (PUT) | My First LEAPS PUT Contract
Rivian has been one of the most speculative stocks lately, as it rose from IPO price of $78 to all-time high of $179 (130% gain) in less than a week. With strong backings from Amazon and Ford Motors. This stock is touted as the new Tesla and may become the dominant leader of truck delivery. … Continue reading I Bought Rivian LEAPS (PUT) | My First LEAPS PUT Contract
I Lost $80,000 In The Stock Market In A Single Day
For any conservative investor who wishes to earn some profits from the market to beat inflation, this outcome has to be the worst nightmare come true. Until recently, I have never thought that I would make a decision to lose $80,504 in a single day. So, what happened? Did I take a very big risk … Continue reading I Lost $80,000 In The Stock Market In A Single Day
Why Are CALL and PUT Options Commonly Known As Covered CALL and Cash Secured PUT?
You may have heard of these terms when trading options, "covered call" or "cash-secured puts". So, why are they named as such? "Covered Call" basically means that if you are a seller of a CALL option contract, you will need to own 100 shares of the underlying asset before you can sell a CALL option … Continue reading Why Are CALL and PUT Options Commonly Known As Covered CALL and Cash Secured PUT?
Revealing My LEAPS Portfolio (16 Nov 2021)
The LEAPS Strategy has brought great returns for me this year and I currently own 84 LEAPS contracts. As you can see from my LEAPS portfolio, I am heavy on the big tech companies such as Alphabet (Google), Facebook and Apple, as well as the semiconductor powerhouse duo of AMD and Nvidia. These LEAPS have … Continue reading Revealing My LEAPS Portfolio (16 Nov 2021)
How LEAPS Options Trading Strategy Gave Me Insane Returns In The Last 4 Months
This is the reason why I highly recommend the LEAPS strategy that can help you grow your money exponentially if you pick the right stocks at the right time. In the past 4 months, this strategy has helped to achieve phenomenal returns for my portfolio. I have circled (in red) those that yielded more than … Continue reading How LEAPS Options Trading Strategy Gave Me Insane Returns In The Last 4 Months
[Option Strategy] LEAPS Vs. WHEEL
In my first year of option trading, I have only used 2 trading strategies and they have served me very well. The 2 strategies are the Wheel strategy and LEAPS strategy. To recap on what are the wheel and LEAPS strategies, please refer to these posts:How Does The WHEEL Strategy Works?How Does LEAPS Works? In this … Continue reading [Option Strategy] LEAPS Vs. WHEEL
Why I Bought AMD & Nvidia LEAPS At All-Time High?
Over the past week, I have been loading up Nvidia and AMD LEAPS CALL options, 6 to be exact, 3 AMD and 3 Nvidia LEAPS, all expiring in Jan 2024, more than 2 years later. These 2 semiconductors stocks are my strong conviction stocks and I believe there is still plenty of room for their … Continue reading Why I Bought AMD & Nvidia LEAPS At All-Time High?
Learning Investment With Jason Cai 