How to find one simple options trade
you can make in 5 minutes

Any beginner can do this for as little as $40

“You are all getting refunds… no one wanted this.” 

I tried opening a special masterclass training that would teach you to trade options throughout the day.

I was going to charge $1,000…

Teach you for 5 weeks…

And by the end, you’d be able to find your own options trades. That sounds bad for business, as I make a living sending trade ideas to beginner traders like yourself every month.

But…

I wanted to teach you how to ‘fish’ as well… if you know the famous ‘give someone a fish’ motto.

Anyway, we had an entire 5 week curriculum laid out…

Videos shot…

A 7,000 word promotion written and designed…

All the emails ready to go out.

And…

It bombed. Bombed hard. 

Virtually none of my 4,000+ paid readers wanted this masterclass training.

It wasn’t the $1,000 price tag. I have another service we charge $1,000 for and it sells great.

The feedback I received was simple:

“I don’t want to learn how to trade options all the time. I just want a few trades here and there.”

My subscribers just wanted simple trades to make each week.

Maybe it’s to make good money from options.

Or, maybe they’re trading just for fun. It’s okay to trade options just for the fun of it (we hit a 1,421% winner in 2020… let me tell you,that was fun!).

So, my team and I licked our wounds, sat back, and thought “what do people really want?”

And that’s how you stumbled on this report. See, if you’re interested in this report, then you likely WOULD NOT have bought my masterclass either.

You want easy, simple steps to find an option trade, execute said trade, and be done.

What you don’t want is hanging out in front of your laptop…

Trying to decipher charts like this:

And looking for the ‘perfect’ trades you can get in and out of. Like day traders.

That’s not you.

I get it. As I said, it’s OK to want options trading to be fun.

Which is why this report exists.

Today, I’m going to show you how to find one simple options trade you can make in 5 minutes. 

I typically use more complex screening tools…

But today, I’m going to keep it very simple.

#1. I’ll use Finviz.com to find the opportunity

#2. I’ll use Interactive Brokers mobile app to show you how to make the trade

I’ll normally use ThinkorSwim, but it can be hard to see in reports. Plus, you can see how easy it is to trade options, you can do it from your phone. (many of my colleagues and subscribers make all their trades from their phones oriPads).

Our goal today is to find a conservative opportunity with an expected return of 50-100%. 

I’ll share ‘when to sell’ goals later after we get deeper into this.

Here’s the first idea I want to share with you.

We want to get into a trade that has some ‘wind’ behind it’s back.

That could be:

…market sentiment for the sector is high

…market sentiment overall is bullish

…big news behind a company/sector has pushed the stock/sector higher

Here’s what to do first.

STEP #1

Go to Finviz.com

Here’s what the front page will look like:

Yeah, it’s quite a strain on the eyes.

Don’t worry, we won’t mess with this melting pot of tickers.

Instead, let’s go up to “GROUPS.”

You should see a page like this:

**NOTE –> Obviously, this data will change daily so DO NOT expect to see anything similar to this screenshot taken March 4, 2021. Simply use it as a GUIDELINE.**

Take a look at the chart.

In our case, let’s keep it simple. We want to be BULLISH.

Bullish = buying calls. Buying puts means you are bearish, but we want to be bullish.

Bullish = green.

So let’s look at the bulls, the bars in green.

Jay’s Tip #1: Since we are looking for option trades that will last 30-60 days… it makes sense to look at the sectors that have performed the strongest over the past 30-60 days. 

Thus, we want to look at the best performing sectors in the past 1-3 months – to – today.

As I’m writing this on March 4, those are:

• Energy
• Financial
• Basic materials
• Industrials
• Communications

(look at 1-month chart…4 rows down below)

**NOTE —> Again, this is the case as I’m writing this on March 4, 2021. By the time you’re reading it, other sectors will have performed best over the 3 months prior. Simply use it as a GUIDELINE.**

Now, let’s chop some off first.

Communication is green, but fairly pedestrian momentum over the past 3 months, so let’s ditch that one.

Industrials are worth a look, but still fairly average returns.

Basic materials looks good for a few months, but the weekly returns are red as you can see here:

Plus (on this particular day) it’s the worst performing sector:

That means it may be experiencing some turnover and going from green-to-red.

Sure, you can trade it, or try and buy a “value” play, but that’s more advanced.

Energy is the strongest… but it’s been pretty strong for a good 6 months+. Energy is also very cyclical and can turn on a dime.

Doesn’t mean you can’t use this guide to trade it… I just have a better preference.

Let’s look at Financials.

Good steady returns over the past few months.

Even during the week it’s doing well, as you can see here:

So let’s go with FINANCIALS.

STEP #2 

Let’s start looking for a potential trade.

Now, go back to the Navigation bar and click “SCREENER.”

When you do…

It might get overwhelming again.

Over 7,800+ stocks!

Let’s dive in, right?

Okay, I’m kidding. We’ll need to widdle these down some.

Next, click “ALL” and push the dropdown next to “SECTOR” and click “FINANCIAL” — as that’s the sector we want to find a bullish trade in.

That’ll take out a decent amount of the stocks. But we still have too many.

Let’s put some more filters in.

I’ll list them below and show you here.

1. We put a “Market Cap” of $2B+ so we are only dealing with large companies and not illiquid ones.
2. We put “Price” above $20 else options are hard to trade
3. We put “Price above SMA 50” — That means the price is above the average price it’s traded over the last 50 days. (This means the stock is bullish. If you want to screen for bearish, you may put it “Price below SMA 50”).
4. We put “Price above SMA 200” — Another bullish metric. The price is above the average price over the last 200 days. That means the price has been going up over the last 6 months. (If you want to screen for bearish, you may put it below SMA 200)
5. We put “Average volume Over 1M” so, again, there is guaranteed liquidity. Illiquid stocks don’t move much nor have many options traders.
6. Next, we make sure “Option/Short” is clicked for “Optionable.” So we know that, heck, we can trade options on this stock!

When we put in those parameters…

Look…our list goes from 3,000+ to just 78 names!

That’s easier to deal with, right?

JAY’S TIP #2: Even better, you can save the settings inside Finviz so you don’t need to do this every time. Look in their help section to see how.

STEP #3

We want to look for stocks that have some room to move.

Also,

• They’ve been in a steady uptrend
• They aren’t too volatile
• They haven’t gone up too much

In a second we’ll take a look at examples. Remember though, these are just examples of how this works at the time I wrote this report for you. These are not current active trades. Let’s get to it.

AXP is the ticker for American Express.

The stock has been in a good uptrend since February, as you can see in the price chart.

But look how far away the price has gotten from the “base”.

The “base” being where the bulk of trading has been. Like here, circled in red:

Sure, AXP could keep going up, but chances are, it’ll likely pullback first and establish a new base.

We don’t know. No one knows. We are simply playing the probabilities.

We also don’t want to pick a stock that looks like it’s going to go down.

Like FUTU here.

See how choppy it was at its high in February, and how it’s now going down? Sure, again, it could shoot right back up, but we want a good, non-messy chart.

Let’s look at a few good candidates:

Take CG, which is the ticker for Carlyle Group. Notice the uptrend in place. There’s been a slight pullback from the $38 highs, but it is still above the premade trend lines Finviz draws. Not a bad candidate.

Here’s another:

LPRO, or Open Lending. Notice again how the trend is upwards, the stock has pulled back from its highs, but is still above the prior lows.

Here’s another one that might be harder to spot…

WU, or Western Union. It’s pulled back from highs around $25.

But, since November, the stock has been in an uptrend which means it can move higher.

Notice with Open Lending above…

The stock has been going straight up for 9 months. That’s great, but you never know when the party will end.

With Western Union, we can get in before a big move potentially happens…

Plus, I like it for its cheap pricing. Let’s go take a look at the options chain to show you what I mean.

STEP #4

Open your brokerage account.

Again, I’ll use Interactive Brokers mobile so you can see how easy it is. Most other brokers will offer similar apps for your smartphone or tablet.

We’ll find Western Union (WU), in our watch list, and go to the options chain:

On the left side, you have calls (bullish trades).

On the right side, you have puts (bearish trades).

In the middle, you have the “STRIKE PRICE.”

This is the price we expect the stock to go to (and hopefully pass). The more the stock goes above the stock price (when we buy calls and are bullish), the more money we make.

Above the option chain, we’ll see a few things:

#1. Dates: Some stocks have options expiring every week. WU only has them expiring once per month.

Whether they expire each week or each month, it doesn’t matter. We want to pick an option that expires 30-45 days from when we’re making the trade. In this case, that would be the April 16, 2021 calls.

With weekly option stocks, you have more choices when you want to have the trade expire.

The closer the date is to today, the cheaper the option will be. That’s because there is less time for the trade to reach your strike price.

You’ll also see:

#2: IV = Implied volatility

I specialize in implied volatility trading, so this is important.

The HIGHER the IV% is above 0%, the more volatile the stock is.

When Gamestop in January 2021 went parabolic from $20 to $450, IV% was over 700%!

—> High IV% means options are more expensive because the stock is more volatile. 

JAY’S TIP #3: I recommend trying to get into a trade with low IV% and hope the IV% grows while in trade… as our option will become more valuable automatically. 

In this case, WU has an IV of 31% which is pretty low, so this is good.

STEP #5

Pick the option to buy.

Now, I like to pick options that expire 30-45 days out (sometimes, 60).

That gives us more time for a trade to play out… plus, we aren’t glued to our computer trying to time entries and exits.

We already discussed we’d get the April 16th calls.

Now, for strike?

I like to pick strikes 1-2 slots ‘outside the money.’

When buying call options, that means the strikes are above the currently trading price.

Typically, these options are cheaper, they can increase in price faster, and see the highest returns.

They do have more risk as they may expire worthless… meaning the option goes to $0. But because they’re cheaper to begin with, you’re not risking that much to begin with.

In general with options, we aren’t risking a ton of money if we don’t want to.

An option controls 100 shares of a stock.

Buying 100 shares of Western Union would cost $2,300.

In our case, we’ll pick the $25 strike… and that’s trading for just $0.40 (or $40 for control of 100 shares — to determine the cost of an option, see what it’s trading at, then move the decimal two points to the right).

We pick the $25 option at $0.40…

Then, buy.

And we’re in the trade.

All for just $40.

(Two contracts would’ve been $80… Three – $120… and so on.)

Congratulations!  You’ve found a trade that has great promise in just a few minutes!

BONUS

When do we exit this trade? 

First, we got in at a great price. $0.40 for the stock to move $1.50 in almost 45 days… that seems like a bargain.

With this cheap of an option, I wouldn’t worry about cutting losses. If the stock drops to $22 or lower, likely the option will go close to $0.10… then $0.05… then $0.

I wouldn’t want you to close out the trade early at $0.05 with 20 days left… only for the stock to roar back, go to $26+ and you regretting that you could’ve doubled or tripled your money instead of losing.

Jay’s Tip #4: Trade to your account. Trade what you are comfortable losing. 

Second,

To take profits, I shoot for 50-100% wins. We don’t want to be greedy. Not with options.

Stocks, yes, you should ride them as high as possible until they break a ‘stop loss level’.

With options, we want profit targets that if the stock is moving that way, we sell into strength and take our money.

I expect, if in 14 days, the stock moves $1 … this option will double in price for a 100% win. You’d cash out.

Even if the stock goes up another $1 and the option is worth $1.50 (a 300%+ winner), you don’t linger on it. Take your profits and move on to the next trade.

FINAL THOUGHTS: 

Obviously, we used a specific example here.

But, you can follow this exact blueprint every week to find a quick trade. 

This blueprint isn’t meant to find huge winners. Just simple 50-100% wins over a couple months.

Don’t risk what you can’t afford to lose. Trade smart.

If you’re interested in getting your hands on my own trades and my own research… I have a service called Options Floor Trader PRO where I share multiple trade alerts each month.

Take a look at some of my trades from 2019 and 2020 (even during the corona crash):

• VXZ = 367% gain.
• XLY = 170% in just a few days.
• WMT = a 178% score.
• DISH = 109% without breaking a sweat.
• FAST  = 233% as the market fell.
• GLD = 156% in the bag.
• XLB = a 222% profit.
• ARNC = a fast 70%.

And… a 1,421% home run on ETFC.

That’s only naming a few.

You don’t need a ton of cash in your account to start making these kinds of returns… in fact, you may have a fortune lying around your house as we speak.