You're listening to the Option Alpha Podcast from Option Alpha.com where we show you how to make

smarter trades learn how the stock market really works and generate consistent monthly

income. Now your host and head trader at

option alpha.com Kirk depluses.

Hey everyone this is Kirk here again from option alpha.com working every single week to make this the most popular investing podcast offered online and in iTunes because it's based on one thing and one thing only and that's helping you guys make smarter trades.

So again, thanks so much for tuning in today.

On today's show, we are going to be talking about the ugly truth of selling cheap options.

And I want to use a new little case study based on some

back testing research which I think will help out in kind of your decision

whether or not you want to sell really really cheap options now I want to first reference one of the other shows that we did

because I think they kind of go hand in hand these two are kind of you know paired together we

spaced them out but they're paired together when I kind of structured out what shows I

want to do this year. And show number 102, we actually

looked at different option prices. So we actually dug down into particular contract

months for S&P call options, and so we looked at the 40, 30, 20, 10 Delta

options and then the differential between pricing and how far out they were

from the money, probabilities of expiring in the money etc. So if you really want a different side than what we're going to talk

about here today then that's probably the show you want to look at or you want to listen to as well as today's show.

So again show number 102 you can get to the show notes by going to

optionalva.com slash show 102 now in today's show I want to use a back

testing case study of a TLT strangle and so the reason I want to do this is because I want to use a different

ticker symbol. I want to show you guys that it works across different ticker symbols and

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