Option Samurai Blog
Learn. Trade. Profit.
The Call Ratio Spread Explained: Basic Principles for Traders (Learn the Essentials)
8 min read
If you want to get rid of downside risk and have found a stock that may move only a little over the next weeks, the call ratio spread might be a strategy to consider. This options setup, ideal for...

Options Trading Strategy Guide: Using ADX to Backtest Iron Condors
15 min read
As an options trader, don’t you think it would be nice to have a way to know when a stock price is most likely to move sideways for a while? This guide shows how the ADX indicator can help you set...

Open Interest in Options Explained: Key Metrics and Trends (Essential Guide)
8 min read
Open interest is a concept that, at some point, every options trader needs to understand. It reveals the total number of outstanding contracts in the market. Knowing what open interest means in...

Use the ATR Indicator to Refine Your Options Trading Strategy [Backtest Results]
14 min read
When you trade options and want to understand how likely you are to profit, running ATR backtests is essential. This article will show you how ATR helps measure market volatility and how Option...

Trade Idea - Iron Condor on AA
3 min read
Disclaimer: The trades discussed in this blog reflect the author's personal strategies and decisions. These are not financial advice and should not be considered recommendations to buy, sell, or...

A Focus on the Option Buying Power: What It Is and How It Works [Explained]
5 min read
If you are a trader, you must have certainly found the concept of option buying power on your broker's platform. This simple concept is the cash available in your account for options trading....

The Basics of Index Options: An Overview for Beginners (Trading Indexes and Index-Based ETFs)
7 min read
Index options represent, by far, one of the most accessible ways for beginners to get broader market exposure. This article clarifies what index options are (meaning stock index options). Discover...

An Essential Guide to the Put Ratio Spread (Example and Things to Know)
9 min read
We often tell you that one of the main advantages of options trading is that you can benefit from little or no movement in the underlying price. A put ratio spread offers this potential by buying...

Trading Earnings Events with Options - A Backtested Strategy
13 min read
After an earning event, stocks can experience a sudden price change depending on the way the market interprets the company's performance. This can be an opportunity for traders to capitalize on...

Selecting Day Trading Options Strategies [Create a Trading Plan and Stick to It]
8 min read
Day trading options strategies represent, perhaps, the riskiest (and yet, most tempting) operations for traders eyeing quick profits. By exploring option day trading strategies and understanding...