Options Action on CNBC

Quote from drcha:

I don't mean this in an insulting way at all, and I hope you don't take it as such.

Really? Would you actually send a newbie to watch this show to learn how to trade options? Seems kind of like sending someone to the South Pole with no clothes.

I admit I have not watched the show many times or that carefully, but I have seen little if any discussion of volatility, skew, Greeks, adjustments, when to close trades, money management, etc. A newbie would be much better off reading Options for Rookies or even digging into the first few chapters of McMillan.

It may be best not to give newbies here the idea that the show is a legitimate way to learn options. There already seem to be people blowing up on this site on a weekly basis.
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Good point..

I guess I should have qualified my statements further;

Most first-time options traders I've run across, here or through a local trading group I've been involved in, get enamored with the leverage aspect of options, load-up, and blow-out a position or two (or an acoount or two). Then they quit. Or they learn.

Options Action, from the few episodes I've seen, is mostly about limited risk plays, and they mention the risk, volatility, the way to play it up or down, etc. Granted it is not a full trading plan, but hey, it's TV.

So given only two scenarios, start trading options, or watch Options Action and start trading options, I would choose the latter.

And as far as the value/quality of Options Action versus other routine CNBC materials, you'd be hard-pressed to convince me Options Action is not toward the top of the heap (boo-rah).
 
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