OptionsJive

options are pricing a 6.7% move tomorrow.

The last 7 earnings? Average actual move: 4%.

The straddle has been overpriced every single time.

Most traders are buying calls into this print. We're doing the opposite: targeting the shape.

5 legs. Two expiries. Zero directional bet.

Full breakdown on Patreon. Link in comments.

dropped 70%+ from its peak. Still trading at $110 with $1B cash, zero debt, and an active buyback.

The market priced a 15% earnings move, got 5.6%.

Today I published the most aggressive trade idea I've shared in a while.

Full breakdown (structure, strikes, and exactly what needs to happen for this to work) in today's Patreon article. Link in comments.

This simple, 100% mechanical options strategy returned 81.84% in one year ( returned 26.46%).

0-DTE gets presented two ways:
As gambling. Or as a magical income machine where you sell premium every morning and pretend gamma risk doesn't exist.

Both are wrong. The edge is structure selection, entry logic, vol regime awareness, and knowing exactly when NOT to trade.

Over the next few weeks I'm going deep into the 0-DTE strategies I actually backtest, use, and refine.

Follow. It starts soon.

Something rare is flashing in my spreadsheets.

S&P 500 pairwise correlations just collapsed to levels seen less than 2% of the time since 2022.

The money is already rotating, and most traders are still watching oil headlines.

Premium sellers who chased Energy volatility after the Iran spike just walked into the worst combination in short volatility trading: elevated realized vol, crowded positioning, a shock the derivatives market is already fading.

I know exactly where the VRP lives right now. New article is live. Link in comments.

McDonald's just dropped after earnings. Strong results, solid comps, but the stock is drifting lower anyway.

IV Rank is sitting at 50, the options market priced a 3.5% move, the actual move was -1.43%. That gap between implied and realized volatility, that's our edge. And it's still there right now.

New trade idea just dropped on Patreon. 80% PoP, and a worst case that involves acquiring one of the greatest Dividend Aristocrats in the world at a price the market rarely offers.

Sometimes the most asymmetric opportunity is the boring one nobody is talking about.

Link in comments.

Last month, 100 had its best month since 2002. Semis printed 18 straight green days and ripped 45%. more than doubled, best month in company history. rallied 34%, best month since its IPO in 2004.

That's what an index-level short vol squeeze looks like.

This is why most of my trade ideas are built around asymmetric structures: Put Ratios, Jade Lizards, 4-4-1s. You collect premium. You remove the one thing that kills short premium traders in a market like this: naked upside risk.

Naked calls are not income. They are a margin call with a ticker symbol.

If you're sitting in that wreckage right now, we put together a detailed masterclass on Patreon on how to manage it. Same mechanics we already used on the silver squeeze.

Link in comments.

I watched The Martian with Matt Damon.

In the movie, he gets stranded on Mars. He has to survive there for a year until they rescue him. He almost dies 15 times.

Now fast forward 20 years. He's old. He's teaching at NASA as an instructor, and a new group of recruits walks in. The scene shows him giving advice.

He says: "Look, at some point, when you're up there, something's going to go wrong. And you're going to think: this is it. This is how I end. This is how I die."

"You can accept that fate and you can die. Or you can get to work, do the math, and solve problem after problem after problem. And if you solve enough problems, you get to come home."

Options trading is absolutely no different.

When you manage a short volatility portfolio, you're faced with a series of problems. If you go "this is too hard" and quit, your edge dies. But if you keep solving problems – roll after roll, hedging tested positions, neutralizing your deltas – you survive long enough for your edge to compound and become a millionaire.

That's how you get to come home.

Nobody talks about this part of Buffett's career.

Between 2004 and 2008, he sold put options on global stock markets. $37 billion notional, $4.9 billion in premium collected during the worst financial crisis in living memory.

Last year I sat in that arena in Omaha with a Berkshire badge around my neck. Watched him announce he was stepping down. The room went silent in a way 40,000 people rarely go silent.

Greatest options trader in history. Everyone called him a value investor.

Free article on Patreon. Full story plus two live trades I'm running right now on BRK/B and AXP. Link in comments.

reporting after the bell tonight.

Front-week IV near 90%. Looks expensive. It isn't. The market is pricing a 10% move, but PLTR has averaged 20%+ realized over the last six quarters. Every single quarter implied underpriced the actual event.

Think about that. The most talked-about AI stock in the market. 90% IV. And the options are still cheap relative to how this stock actually moves on earnings.

You are buying a dollar of earnings risk for fifty cents.

That's the setup. Full trade breakdown; structure, strikes, management plan, in today's Patreon article. Link in comments.

Tom Sosnoff, founder of tastytrade, once told a story I still can't get over.

When he built Thinkorswim, he had just come off the floor as a market maker. He had never used a chart. So, he launched the brokerage platform… without charts.

People were like: "WTF is wrong with you? Every trader uses charts."

Tom was genuinely confused: "They do? I spent 20 years trading and never saw anyone use one."

So he was like: "Oh… guess we should add some charts".

That story says everything about how differently floor traders and retail traders see the market.

Still, most serious options traders don't use charts. We trade probabilities, volatility, and mechanics. Not lines and candles.

Do you use charts when trading?