Key Points: 

  • Breakdown of an $XOM call trade
  • Top down analysis using a framework
  • Technicals included

Structuring a High Probability Options Trade

In this video Dan shares his breakdown of a live trade on XOM. This is a high probability options trade that goes through a top-down market analysis. Most trades are a combination of fundamental and technical factors.

Some trades are just technical.

This trade represents a situation where understanding the current global environment dictates why XOM is a ‘good stock’ to be looking at. In inflationary periods commodities trade higher – that includes oil and gas names.

This is an A+ trade-setup and while not all of them are like this, using this time of trading framework is suggested for struggling traders.

You can learn more about our technical trading framework and options trading framework in the following trainings:


1. Technical Tactics

2. Small Account Options