Sports Markets

Darren Rovell joins Tom Sosnoff for a virtual fireside chat on sports betting & trading.

Watch Now

From Theory To Practice

Monday - Friday | 1:00 - 1:20p CT

The POP/Premium Tradeoff

From Theory To Practice

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

In all things trading, as with anything in life, there’s always a tradeoff. This is no truer than it is with the exchange between a high POP and a high premium. Generally speaking, if you want a greater probability of success on a trade, then you have to be willing to accept a lower premium collected on that trade. Conversely, if you are willing to trade a slightly lower POP, then you can expect a higher premium on the trade. James, from the research desk, joins the discussion today, and he has prepared a stunning visual that perfectly captures this phenomenon.

From Theory To Practice More installments

See All »

Latest tastytrade Videos As of August 10

Most Shared From the last 30 days