The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online

Hey everyone. It’s Kirk here again and welcome back to the daily call. On today’s call, we’re going to talk about how to calculate profits and losses when trading options. I think this is actually pretty easy, but I think actually, people overcomplicate this a lot when it comes to options. The easiest way to calculate profits and losses is literally credits and debits. I often get emails from people who get confused when we start adjusting trades because there’s just a lot going on. I get that. I mean, there’s strike prices and contract months and we’re rolling this strike to that strike and there’s debits and credits. They get really confused on how everything works. What I always try to do… You can see a lot of these videos if you want to see this visually. We’ve got a lot of videos where we’ll go through and there’s a lot of case studies added to YouTube and even our website, so you can just search a bunch of these case studies and that might help out or just scroll back through our recent YouTube videos.