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The Option Alpha Podcast

30: The Zero Cost Way To Protect Stock Gains With Options

The Option Alpha Podcast

Kirk Du Plessis

Education, Options Trading, Trading, Investing, Stock Market, Business, Finance

4.81.2K Ratings

🗓️ 10 June 2015

⏱️ 16 minutes

🧾️ Download transcript

Summary

You've got a stock position that you want to protect (or shield) from any impending market sell-off or crash. But buying protection or insurance typically costs money right? And in nearly all cases you've been told to buy put options that are far OTM. The only problem is that these options tend to expire worthless (which is why we sell them here at Option Alpha) and if you have to purchase them each month the costs can rack up over time. In today's show, I'll help you think about option strat...

Transcript

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0:00.0

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

0:06.2

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

0:10.8

monthly income. Now your your host, and head trader at option alpha.com, Kirk depluses.

0:18.0

Hey everyone, this is Kirkier again at option alpha.com, working every single week to make this the most popular

0:24.7

investing podcast offered in iTunes and online because it's based on one thing

0:28.5

and one thing only and that's helping you guys make smarter trades. So thanks

0:32.2

for tuning in today we We've got a really

0:34.0

cool episode today. Episode number 30, which is crazy that we've already done 30 episodes, talking

0:39.0

about a zero-cost way to protect stock gains with options.

0:42.7

So really trying to get back to this whole different mentality and thought process that

0:46.8

you should start to be going through, especially if you're new to Option Alpha or if you've

0:50.9

been trading for a while about how options can really benefit

0:54.3

just the regular investor, even a general stock position that we're going to look at today,

0:58.8

how just using a couple simple option strategies that most people don't really think about can help

1:03.9

reduce your risk and still maintain some upside gain potential in the stock and

1:08.2

really kind of help protect against possibly a market sell-off or even kind of a mini-crash of some kind.

1:14.4

So that's really what we're going to be going through today.

1:16.9

Just as a heads up, you can always get all of the show notes and any images that we talk about

1:21.0

here today, especially some profit and loss diagrams that

1:24.1

we're going to show you guys by going to option alpha.com slash show 30 that's just

1:28.6

the number 30 option alpha.com slash show 30 and you can get our free bonus download today which is our

1:33.8

114 answer vault questions that we have as a free PDF download it's 69

...

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