Bull Call Spreads
[Debit]
Bull Put Spreads
[Credit]
Bear Call Spreads
[Credit]
Bear Put Spreads
[Debit]
Call Butterflies
[Short ATM, Long OTM]
Call Butterflies
[Long ATM, Short OTM]
Put Butterflies
[Short ATM, Long OTM]
Put Butterflies
[Long ATM, Short OTM]
Iron Butterflies
[Short ATM, Long OTM]
Iron Butterflies
[Long ATM, Short OTM]
Iron Condors
[Long Inner, Short Outer]
Iron Condors
[Short Inner, Long Outer]
Straddles
[At-The-Money]
We go over how to find option contracts that are trading heavily. We look for call options with above normal volume and out of the money call options with high implied volatility levels. We also look for put options with a large amount of relative volume and changes in implied volatility levels.
We will go over how to compare the volume against the open interest changes the next morning to get an idea how traders are building positions.