Part I - Options Pricing and Mechanics
Lesson 1 - What are Options?
In this lesson I discuss what options actually are, why investors use them, and why WE use them as options traders.
Lesson 2 - Probability and Statistics
Here I talk all about statistical analysis and how we obtain probabilities, followed by how that translates to options trading. In this lesson I prove how and why options have a calculable probability of profit.
Lesson 3 - Options Pricing #1
In this lesson I discuss 2 of the 3 main variables that alter the price of options, why they alter option prices, and how that process can be exploited in options trading.
Lesson 4 - Options Pricing #2
Here I discuss the final main pricing variable and combine that analysis with the other 2 variables from Lesson 3. I also cover the overarching trading strategy in a broad, conceptual sense. Over the remainder of the course I discuss practical implementation.
The first exam will test you on how well you understood the concepts taught in Part I. There is an accompanying review video where I discuss the answers and how to arrive at them.
Total duration: 2 hours, 56 minutes
Part II - Risk Management
Lesson 5 - Risk Identification
In this lesson I introduce the unique risks of options compared to other trading products and discuss the importance of managing them.
Lesson 6 - Risk Management
Here I discuss how both the unique risks of options and general risks in trading are mitigated and managed, in addition to discussions on option risk profiles, wealth preservation, growth, and potential returns.
Lesson 7 - Psychological Risk Management
This lesson is all about risk factors that are intangible and how to control the human element in trading. Keeping a clear and level head is very important to positive trading results!
The second exam will test you on how well you understood the concepts taught in Part II. There is an accompanying review video where I discuss the answers and how to arrive at them
Total Duration: 2 hours, 32 minutes
Part III - Trading Option Spreads
Lesson 8 - Option Spreads
In this lesson I introduce the option spread, discuss how they are created, how they hedge and define risk, improve probability of profit, and so on.
Lesson 9 - Charts and Technical Analysis
This lesson serves as a primer on how to interpret data from stock charts, and includes discussions on basic technical analysis as well as what to avoid using charts for.
Lesson 10 - The Strategy Playbook
The Strategy Playbook is a 50+ page PDF reference manual that is divided into two parts. The first discusses all of the different types of option spreads that we use in our methodology, how to construct them, when to use them, their pros and cons, etc. The second is a step-by-step guide to implementing all of the concepts learned in the course into real options positions on your preferred trading platform. Lesson 10 contains two videos where I go through each part of the SPB, discussing things at greater length and depth.
Lesson 11 - Brokerage Logistics
The final lesson is a discussion on how to carry out trades on brokerage platforms. Topics include commissions analysis, maximizing net returns, making the most efficient use of your platform, types of orders, and more.
The most difficult of the three exams offers an opportunity to showcase how much you have learned in the course. At the end of the review video, I have some closing statements that I want all who take the course to hear.
Total Duration: 7 hours, 27 minutes