Options As A Strategic Investment Fifth Edition Pdf 90%

That night, he opened to Chapter One. The prose was not sexy. It was precise, surgical, almost angry in its insistence on discipline. "Most people think options are risky," McMillan wrote. "They are wrong. Ignorance is risky. Options are merely leveraged opinions."

He needed a lever. Not a gamble—he wasn’t a WallStreetBets caricature—but a lever . A way to be right about a direction without having to put up the full price of being wrong. Options As A Strategic Investment Fifth Edition Pdf

His first trade was a small one. A put credit spread on $CHIP. Sell the $150 put, buy the $145 put. Net credit: $1.25 per share. Max loss: $3.75. Max gain: $1.25. Risk-reward ratio of 3:1. Not glamorous. But probability of success? McMillan’s tables said 78%. That night, he opened to Chapter One

He placed the order on a Tuesday. By Friday, $CHIP had drifted up two points. The spread expired worthless—which, for a seller, was the best possible outcome. He kept the $125 premium. It was less than a dinner for two in Manhattan. But it was earned . Not guessed. Engineered. "Most people think options are risky," McMillan wrote