In this week's episode, viper and sprocket make a hypothetical trade on PYPL. They talk through in plain English what each side of an options trade might look like. viper takes the side of the option buyer, and sprocket takes the side of the option seller. In this example, we highlight how there is not always one winner and one loser; instead, there are more often two winners. After this simple and descriptive example, we look at how /RTY is going for viper. Volatility was rising in /RTY futures product, and viper went in for a quick scalp and was rewarded handsomely for it.

• 00:00 Disclaimer
• 00:20 Intro
• 01:13 Opening with recent market action
• 02:42 A practical tangible walk through of an option trade
• 03:24 The PYPL bull side (option buyer)
• 09:14 The PYPL insurer (option seller)
• 11:41 The outcome matrix of the PYPL trade
• 16:37 The return on the investment
• 23:31 viper's recent trade on /RTY
• 24:43 viper is BACK IN /RTY
• 26:14 WINNER! viper cashed in 40% max profit in a few days
• 28:23 sprocket's /RTY still going
• 29:30 Closing Comments

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