News: If you trade stocks but not options --- read this

Saturday, January 4, 2025

If you trade stocks but not options --- read this

If You're Already Trading Stocks, Options Could Be Your Secret Weapon in 2025.

You've seen me on Fox Business, or maybe you follow me and my 200k+ followers on Twitter about STOCKS.

…the levels.

…Red dog Reversal patterns.

…how to know when to trim and add.

It's what I've done well for over 25+ years.

What I haven't shared much is how you can use option contracts to amplify gains on stocks with potential to move fast quickly.

Trade stocks? Great. Now add options for even more potential.

Here's what I mean…

When you enter a position, you're always open for that first *pop* to verify you made the right decision… then hope it continues to shoot up.

In my regular Power Plays service, when I alerted about Tesla on November 19th, Elon's car company didn't slow down and went from $344 to as high as $480. (I alerted to trim near the peak at $475.)

Fast moves like that are ripe for adding options to the mix.

But I didn't just buy the stocks. I bought options on Tesla too.

Unlike stock trading, where we aim for steady gains while managing risk, options are tools for big moves and big returns:

We don't trade options for 20% gains --- that's what stocks are for.
With options, we target 200-400% potential gains. (No guarantees, of course—but that's the upside we aim for when choosing options.)

Take the Tesla trade. You can bank a nice return in Tesla (as I showed above) and potentially also land even higher profits IF the stock moves fast… as Tesla did.

So…

If you're trading stocks already, sprinkling in options is a nice tool for the toolbox for taking advantage of those fast moves.

After years of running Power Plays, I had subscribers also ask about some of my options alerts.

Well, I just launched Power Plays OPTIONS to give you my #1 options trade of the week.

It's a great way to dip your toes into adding options to your stock ideas.

I alerted a trade on VAL this week… and the stock trade setup was nice… but also I alerted to buy options on it… and we already closed a ⅓ of a position for a double-digit gain.