How to Trade and Understand Short Vertical Spreads on ThinkorSwim

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  • Опубліковано 27 гру 2024

КОМЕНТАРІ • 78

  • @shortthestrike
    @shortthestrike  2 місяці тому

    🛠Just launched my trading journal! If you trade stocks, options, futures, or crypto, give it a try with a 7-day free trial and let me know what you think! traderlog.io/

  • @SandpitCrew
    @SandpitCrew 2 роки тому +11

    Just want to say your TOS Vids are 1000% way better than what the actual TOS / TDAmeritrade Channel posts. From your beautiful voice-over, to concise, clear info, you are top notch! Your contents are gold. Thanks a lot!

  • @sophiewang123
    @sophiewang123 Рік тому +14

    Would you consider making a video on how to monitor, manage and close spread positions? That would be super helpful!

  • @MultiplePassiveStreamsOfIncome
    @MultiplePassiveStreamsOfIncome 2 роки тому +20

    Excellent content and clear explanations. You are really good at think or swim. Thanks for the details because it's hard to find videos that really go into the details of using it. Thinkorswim has so many bells and whistles that until someone shows you how to use all the features, there's a lot of powerful data that is unknown to most users. Me being one of those users. Thanks

  • @oracioflores9664
    @oracioflores9664 Рік тому +1

    Best tutorial and explanation of vertical spreads!

  • @kenyattatucker8083
    @kenyattatucker8083 11 місяців тому +1

    Bravo! Bravo! Bravo! Bravo! Thank you for such a straight forward video.

  • @jwluckey
    @jwluckey 8 місяців тому

    Very well-informed and valuable explanation on verticals, how to place them, the basis for the trade, and maintaining it. Thank you!

  • @NMranchhand
    @NMranchhand Рік тому

    Really just the best TOS training…and foregoing nothing on the quality of options training. Thank you.

  • @aaronsarinana1654
    @aaronsarinana1654 2 роки тому +2

    Awesome video! ... I just started with options but incredibly almost everything you showed was very clear to me! Excellent video. I'm going to watch your video about creating the scanner. A new subscriber! Thanks!

  • @OptionSpreadProfits
    @OptionSpreadProfits Рік тому

    OMG this is exactly the training I was looking for! Thank you. I love you. I would love if u show how to set up a stop loss PLS

  • @tjunior6128
    @tjunior6128 3 роки тому +1

    Absolutely love your content. I’ve binge watched about 1 hours worth so far.

  • @extraincomesuz
    @extraincomesuz 5 місяців тому

    Great video and explanation. I'm glad you input some shirt put spreads and showed how to add an automatic close at 50% profit. I live in Malaysia and the trading hours are exactly 12 hours different.😮 Automating this a little should help. I will play with the TOS paper account until I get comfy with this.😊

  • @JohnMatthew1
    @JohnMatthew1 Рік тому

    Great video, and perfect pace! thank you.

  • @robertscott2718
    @robertscott2718 Рік тому

    Thank you, I have been looking for someone like you to explain TOS.

  • @johnb6413
    @johnb6413 Рік тому

    I have seen the video risk/profile for beginners, very good, thanks. Looking for more details on the risk/profile including multiple expirations,. ie calendars, diagonalized calendars, ect?

  • @Southpaw07
    @Southpaw07 2 роки тому

    wow! Amazing video... touched on all key notes about vertical spread . i am a newbie trader and have subscribed to your channel
    Thank you so much for making these videos.

  • @mrcarlincool
    @mrcarlincool 2 роки тому +1

    Amazing video. Clear and covered many topics. Thank you

  • @DonaldJohnson-o2z
    @DonaldJohnson-o2z Рік тому

    Do you have a video on how to setup a stop limit order for an Iron Condor?

  • @MaxF88
    @MaxF88 3 роки тому +3

    Great content and clear explanation! Do you have a video which explains WHEN you'll be putting this spread on? Chart? TA? The Delta will change according to price action. It's dynamic. How do you increase your odd of profit?

  • @tatheerjumani4044
    @tatheerjumani4044 2 роки тому

    Great explanation I hope you make a video in the current situation

  • @BryanPatterson
    @BryanPatterson 8 місяців тому

    @12:18 - is your opinion still the same on the management of spreads? still no rolling?

  • @TobennaOkoye
    @TobennaOkoye 3 роки тому +1

    Subscribed! This was very educative!

  • @sophiewang123
    @sophiewang123 Рік тому

    So with this scanner, there is no need to check the trend, resistance and support level, and the delta before selecting a spread to trade? I saw your other video mentioned delta around 0.30 being good criteria when selecting spread to short? Sorry I am new to options…

  • @zsal9145
    @zsal9145 Рік тому +1

    Your videos are great !!

  • @NareshSen
    @NareshSen 9 місяців тому

    Very well explained, thank you for sharing.

  • @franklincarreno8668
    @franklincarreno8668 Рік тому

    Any ideas why I can’t use the Study section from the option scam settings? It says I am not qualified for such

  • @chrismeade7347
    @chrismeade7347 11 місяців тому

    is it a goal of yours to avoid being assigned shares when doing puts? or do you turn around and do covered calls with them?

  • @TastyGoomba
    @TastyGoomba Рік тому

    great tutorial! on the options page, the toggle is set to "single", would it make any difference to set it to "vertical" and buy that way, or is using the CTRL on the keyboard a better way to choose the strike prices? ty

  • @srf2112
    @srf2112 2 роки тому +1

    Very nicely presented. Subscribed.

  • @axxeloc79
    @axxeloc79 Рік тому

    thanks for the video, great content

  • @yumacyclist
    @yumacyclist Рік тому

    Love your videos; very educational. Question I have is this: I sold a Vertical put spread on SMCI and the price keeps moving higher. When I put in a closing order it say's I can close for a credit of $.60. Am I understanding this correctly that I originally took a credit when opened and now I can close for a credit?

    • @shortthestrike
      @shortthestrike  Рік тому +1

      You won't be able to buy back at a credit, if you're seeing that the spread on one or both of the legs is probably crazy wide. You can definitely buy it back early if you're happy with the profit so far, but it will be a debit.

    • @yumacyclist
      @yumacyclist Рік тому

      @@shortthestrike - Thank you for your prompt response.

  • @ArBudBundy
    @ArBudBundy Рік тому

    This was very good content

  • @arinnfc
    @arinnfc 9 місяців тому

    what trading do you use?

  • @michael3146
    @michael3146 5 місяців тому

    As a beginner to the options trades I have a simple question. This strategy seems very good. So why would you not just buy ten or more options at a time? Am I missing something? This seems like a great way to make low risk income.

  • @sophiewang123
    @sophiewang123 Рік тому

    What if the spread turns out a loss, is there a way to set up an order that automatically buys back the spread and closes the position one day (or at a specific day or sth) before the expiration day? I heard horror stories that people did not close out a spread thinking it was OTM at the time of the market close and the max. loss would be the width of the spread, but it end up in-the-money (ITM) after-hours with a large stock price movement. However options can be exercised a period of time after the market closes, even on the day of expiration. The short leg got exercised, but when the trader got notified, the long leg was outside the exercise time window. It ended with a huge loss.

  • @SoulfulMsSavannah
    @SoulfulMsSavannah 3 роки тому

    Thanks for the great content. I have subscribed to your channel.

  • @jameseldridge3445
    @jameseldridge3445 2 роки тому

    Very concise and descriptive

  • @sunnyleo88
    @sunnyleo88 3 роки тому +1

    Can you put a stop loss on vertical spread?

  • @japexican007
    @japexican007 3 роки тому +1

    Great video, can you please dive into Cash secured call/put and the wheel strat, domo

  • @Mr_Duck_RVA
    @Mr_Duck_RVA 3 роки тому

    Another great video! Thank you so much.

  • @Jb-ei9fp
    @Jb-ei9fp 2 роки тому

    how do you get thinkorswim to automatically add the calls/puts and switch to vertical spread? Every time i click on an option to buy/sell, it doesn't add, it simply switches and stays on single option. I want it to automatically know that I'm doing a spread like it does in this video. Why won't it do that for me?

    • @shortthestrike
      @shortthestrike  2 роки тому

      Hey Jb! Sorry if it wasn’t super clear in the video but you’ll need to hold down the control key on your keyboard then select the next leg. That will allow you to turn it into a spread instead of just replacing it

  • @ngey
    @ngey 3 роки тому

    Excellent video. Can u do video on criteria as to when we use put credit spread vs call credit spread using TA? Thanks again.

  • @josuemaldonado59
    @josuemaldonado59 8 місяців тому

    so, if you think price will go up you sell put spread, if you think price will go down you sell call spread?

  • @AJ-cg7zc
    @AJ-cg7zc Рік тому +1

    You made it more complicated then it should be

  • @patrickj.trevenen1633
    @patrickj.trevenen1633 Рік тому

    😊excellent video

  • @barryabrams6071
    @barryabrams6071 Рік тому +1

    Can you do a video that explains what Price to choose to EXIT a Call Credit Spread and Put Credit Spread with a 50% Profit before Expiration?
    If the combined option price for a Call Credit Spread is .90 nd I want to EXIT with a 50% Profit, do I set my EXIT Price higher or lower than .90 to EXIT the trade with a Profit?
    If the combined option price for a Put Credit Spread is .90 and I want to EXIT with a 50% Profit, do I set my EXIT Price higher or lower than .90 to EXIT the trade with a Profit?
    I have yet to see a video explain and show step-by-step on ThinkorSwim how to determine what EXIT Price to set when placing an EXIT Order for a Call Credit Spread or Put Credit Spread before Expiration.

  • @willl9319
    @willl9319 3 роки тому

    Great video!! I'm curious how price action or market direction factor into your decisions. Also, what time frame are you using for charts? Thanks!

    • @shortthestrike
      @shortthestrike  3 роки тому +2

      Right now, not much. I work full time during the say so I use a very passive approach right now mainly based off probabilities and IV. I'd like to incorporate this in the future at some point to try and increase my odds, but not really using it much at all right now

    • @willl9319
      @willl9319 3 роки тому +2

      @@shortthestrike I’m new to options trading so I appreciate the feedback and videos. Great job. Keep up the good work! 👍

  • @guyblanco8349
    @guyblanco8349 3 роки тому

    Awesome Video THanks.....

  • @Prachka1
    @Prachka1 Рік тому

    Verticals can be managed can also switch side too.

  • @sidowsidow
    @sidowsidow 3 роки тому

    i just subscribed awsome video ... i'm insterested on how you plan selecting the stock , and how to decide which prices to use ... etc let me know if there is tricks to choose those such as High IV stocks or options with high theta & delta , the liquidatiy of the options , expire date ... hope you got my point ... , have you done video like this? if yes, let me know

    • @pcgreen
      @pcgreen Рік тому

      He literally explains all this in the video...lazy AF

  • @jimc7320
    @jimc7320 6 місяців тому

    Great!

  • @kaimarshall3874
    @kaimarshall3874 3 роки тому +1

    You can still roll vertical spreads... just open another spread down and out and close the current spread.

    • @shortthestrike
      @shortthestrike  3 роки тому +1

      You wouldn’t be doing so for a credit. Yes you can do it. But like I said, not as much flexibility as a single leg

  • @sunnyleo88
    @sunnyleo88 3 роки тому

    You are genius.

  • @ananda_miaoyin
    @ananda_miaoyin 44 хвилини тому

    If Lucid every trades near that again.....I will be good to go!

  • @ttudoc5690
    @ttudoc5690 2 роки тому

    Sell/buy to open and and not to close on verticles right

  • @Spitfireseven
    @Spitfireseven Рік тому

    I might have to watch this a second time....... lol!

  • @johanybotero
    @johanybotero 2 місяці тому

    Can I work with $1k on a vertical spread?

  • @treelife7787
    @treelife7787 2 роки тому

    how to find the delta, theta, gamma, vega of the vertical spread option?

  • @rogergibbs4393
    @rogergibbs4393 2 роки тому

    You need to show to close out the spread if it goes against you and at the 50% profit

  • @OnlyTheShadowKnowsAll
    @OnlyTheShadowKnowsAll Рік тому

    The video states a $5 cost of the trade with a $0.52 credit from the sale and states the maximum loss of $448 which is totally wrong as it is a max loss of $4.48 - I am not impressed

    • @shortthestrike
      @shortthestrike  Рік тому

      What do you mean? If the spread is $5 wide, the risk is $500 per vertical minus the credit received. If you receive .52 for creating the spread, the risk would be $448 per vertical. Do you just mean you're not a fan of the risk/reward?

  • @masteryourself-ub3nb
    @masteryourself-ub3nb 8 місяців тому

    Hey man, you speak too fast and not anybody's native language is English

  • @jamesgaul3544
    @jamesgaul3544 2 роки тому

    Great info ... Thanks!!