Naked Long Options? No Thanks.

One of the things you will never see us do at tastytrade is buy naked <a href="http://ontt.tv/1o3sZ6m">long options</a>. The reason why you won’t see this is naked long options present us with two problems, simultaneously. First, <a href="https://ontt.tv/HkasF">time</a> is working against you on a naked long option, as the extrinsic value decrease over time hurts your position’s profit/loss. Second, direction is also working against you in a way, as you need the stock to move in your favor, in order to hit any of your profit targets.<a href="https://youtube.com/playlist?list=PLPVve34yolHY2tN8U9QySzujt1iP_YHT0">Have you seen our BRAND NEW CRASH COURSE on Rolling</a>?