Extreme Reward Option Strategies
Learn My Favorite Option Setups With Extreme Risk-Reward Ratios
Low risk high reward
Ever wanted to make a bullish (or bearish) bet on a stock with a fixed, minimal amount of risk, but a crazy potential payoff? I'll show you my favorite strategies for when I think a stock could make a large move and I want a low-risk high-reward setup.
Don't buy calls or puts by themselves
Most amateur investors just buy calls when they're bullish or buy puts when they're bearish. This is a big mistake! I'll show you how you can get MUCH more "bang for your buck" or in other words a lot more reward potential for the same amount of capital at risk!
Turn a loser into a winner with adjustments
I'll show you how you can take a losing trade and adjust it to potentially turn it back into a winner. What's amazing about this adjustment technique is it gives the trade even more potential upside. (a lot more!)
Put time decay in your favor
Usually when you make a directional bet with an option trade you're losing a little bit every day to time decay. I'll show you strategies that can actually benefit from time decay as the price moves in your direction.
Large winners / Small losers
Even if you're only right let's say 50% of the time, you can still be massively profitable if your average winner is much larger than your average loser. For example if you lost $1,000 on 5 losing trades and made $10,000 on 5 winning trades (50% winners), you'd be ahead by $45,000. In fact, if your average winner was 10 times the size of your average loser, you could be right only once out of ten trades and still come out ahead.
Stocks | ETFs | Crypto
You can use these strategies on any stock, ETF, or Crypto that has options! Few traders know the strategies you're about to learn, but the next time you see a great trade or investment opportunity you'll be ready.
Any time frame
Two years, two months, two weeks... you can trade these strategies on almost any timeframe. It all depends on what type of trader or investor you are and what timeframe best suits your investing style.
Learn 5 options strategies
Learn my top 5 favorite options strategies for crazy reward potential. Even if you're experienced with options, I think you'll discover something new here. If you're new to options, don't worry, I'll walk you through everything you need to know.
A real world example
This is a trade I just recently placed in Tesla (January 2023).
RISK = $60 per contract.
MAX GAIN = $4,940 per contract.
That's a reward-to-risk ratio of 82 to 1!
In other words, if you bought 100 contracts, it would cost you $6,000 and your max gain would be $494,000!
And the most you can lose is what you paid for the options - $6,000 in this case.
What are the breakeven levels you might ask?
These contracts expire a year from now - January of 2024. At expiration my breakeven levels would be 300.60 to 399.40. That means I just need Tesla to recover to the 300 range- basically back to where it was 3 months ago- and I have a year for it to get there!
But I don't need to hold this all the way to expiration. In June, for example, my profit zone is much wider - anywhere between 142 all the way up to 1145 would be profitable. We'll get into a more in-depth discussion of max profit, profit zones, expiration dates, and when to take profits early inside the course, but the point I want to make here is that truly insane risk-reward ratios really are possible!
Featured Courses
Your Instructor
Hey guys! I've been trading stocks and options for over 15 years through bull markets, bear markets, and all kinds of volatility. I started out as a day trader and was looking for an additional income stream to go along with these trades. Over time, I found my longer term investments and option trades were having the most success so I've pivoted to focus mostly on those. This course gives you all the best ideas, tips, and tricks I've learned over the years when it comes to selling options for income! Thanks for making Perfect Strategy a part of your investing journey!