Day 2

Question 1

How do we select expiration Date?

Question 2

How do we select strikes to trade?

Question 3

opening and closing trades

Question 4

Exercise defined deeper

Question 5

assignment defined deeper

Question 6

exercise/assignment of a call

Question 7

exercise/assignment of a put

Question 8

when to buy/sell options

Question 9

4 position review

Question 10

break even price for calls/puts

Question 11

position graphs

Question 12

Position graph3 considerations

Question 13

how to calculate intrinsic value for call / put

Answer 13

if intrinsic value is NEGATIVE, then out of the money, and intrinsic value will be 0CALL : STOCK PRICE - STRIKE PRICEPUT: STRIKE PRICE - STOCK PRICE

Question 14

long put graph direction

Answer 14

right to left

Question 15

long call graph direction

Answer 15

left to right

Question 16

long position risk/reward

Answer 16

limited risk, unlimited reward

Question 17

short position risk/reward

Answer 17

risk is unlimited, reward is limited

Question 18

breakeven calculation for PUT

Answer 18

Strike - premium = breakeven

Question 19

breakeven calculation for Call

Answer 19

Strike + Premium = breakeven

Question 20

Protecting stock

Answer 20

protects against gapswhen add put to a long stock position, the risk becomes like a “call” meaning, the loss is limited.aka Married Put

Question 21

Protecting stock strategy

Question 22

Protecting stock strategy 2

Question 23

Stock at a Discount

Question 24

Stock at a Discount Strategy Pt 1

Question 25

Stock at a Discount Strategy Pt 2

Answer 25

only do with ETF index because stocks can become worthless. but ETF indexes can not

Question 26

renting a stock or covered calls

Question 27

renting a stock strategy pt 1

Question 28

renting a stock strategy pt 2

Question 29

Free protection pt 1

Question 30

Free protection pt 2

Question 31

Free protection strategy pt 1 

Question 32

Free protection strategy pt 2 

Question 33

mimicing stock

Answer 33

use when you can't short an actual stock- buying a call and selling a put that share the same strike creates the same effect as holding the stock long- buying a put and selling a call that share the same strike creates the same effect as holding the stock short- even though this strategy mimics the stocks, dividends would not be paid nor received since options do not convey ownership of the underlying- buy a call and sell a put or - buy a put and sell a call

Question 34

mimicing stock strategy

Question 35

moneyness review

Question 36

ITM Call Example

Question 37

OTM Call example

Question 38

ITM Puts Example

Question 39

OTM Puts Example

Question 40

Understanding Time Value

Question 41

2 different types of Volatility

Question 42

Inflated vs Deflated Volatility pt 1

Question 43

Inflated vs Deflated Volatility pt 2

Question 44

volatility interpretation

Question 45

historical volatility

Question 46

implied volatility

Question 47

implied volatility determines strategy

Question 48

inflated vs deflated optionsdo we buy or sell:deflated optionsinflated options

Question 49

how to figure out if inflated or deflated volatility

Question 50

How to know if Volatility is deflated

Question 51

How to know if Volatility is Inflated

Question 52

How to know if Volatility is Fair

Question 53

volatility measurement and methodology pt 1

Question 54

volatility measurement and methodology pt 2

Question 55

purpose of greeks with options

Question 56

greek letter meaning

Question 57

Delta

Question 58

Delta for calls

Question 59

Call Delta VS underlying Price

Question 60

Delta for Puts

Question 61

put delta vs underlying price

Question 62

interpretation of delta

Question 63

hard deltas vs soft deltas

Question 64

Delta Effect pt 1 Call/put delta impact on premium

Question 65

Delta Effect pt 2 delta as a measure of expiring ITM

Question 66

Delta Effect pt 3 Delta for Hedging Purposes

Question 67

directional trading

Question 68

anchor unit

Question 69

single leg strategies

Question 70

very deflated single leg strategieslong call (debit / bullish)

Question 71

very deflated single leg strategieslong call (debit / bullish)action and maintenance

Question 72

very deflated single leg strategieslong call (debit / bullish)graph example

Question 73

very deflated single leg strategieslong call (debit / bullish)data example

Question 74

roll

Answer 74

sell option that you bought and buy new one that has more longer experation

Question 75

evolve

Question 76

Very Deflated Single Leg strategiesLong Put (Debit/Bearish)

Question 77

Very Deflated Single Leg strategiesLong Put (Debit/Bearish)action and maintenance

Question 78

Very Deflated Single Leg strategiesLong Put (Debit/Bearish)Graph

Question 79

Very Deflated Single Leg strategiesLong Put (Debit/Bearish)Data