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Nancy Pelosi Just Showed You The Wrong Way To Trade Options

NowPress play to follow along0:00 / 15:43
Chapters10 segments · tap to seek
ticker lesson

Breakdown

0:00lesson

Pelosi's Capital Efficient Long Exposure

  • Typical Pelosi trade
  • Buys in-the-money calls
  • More capital efficient than out-of-the-money
  • Mirrors famous trader approach
1:38lesson

Cost Efficient Long Exposure on Uber

  • $25 stock option
  • March 27 50 strike
  • Short-term diagonal strategies
  • Ratcheting monthly
3:11lesson

Political Signals and Market Reaction

  • Obama 2009 market timing
  • Trump market comments
  • Economic lever access
  • Attention to political moves
4:38lesson

Futures Options Sizing for Small Accounts

  • ES contract size
  • MES as alternative
  • Micro contracts $1.25 per tick
  • Defined risk strategies
6:13lesson

ES Futures Premium Selling

  • ES options 35-day cycle
  • 7150 7100 strangle
  • $440 credit with $1300 capital
  • Defined risk approach
7:48lesson

ES Contract Buying Power Requirements

  • $27,000 buying power needed
  • Too much for most traders
  • Wild swings to watch
9:23lesson

Jade Lizard vs. Strangle Advantages

  • Jade Lizard as strangle proxy
  • Volatility skew advantage
  • Naked put with call spread
  • No risk to upside
11:08lesson

Jade Lizard Trade Setup in ES

  • 7675 7700 call spread
  • 6800 put
  • $6 credit for $2200 capital
  • No risk to upside
12:36lesson

Zero Extrinsic Back Ratio Strategy

  • Synthetic long stock
  • Sell 150 delta call
  • Buy two 265 calls
  • $2200 capital vs. $13,000 stock
14:24lesson

Capital Efficient Long Stock Structures

  • Apple stock control
  • $2200 vs. $13,000
  • Defined risk approach
  • Fraction of stock cost

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