One of the secondary reasons for the market crash (after COVID-19) has been the extreme selloff in the price of oil. Crude oil has dropped to around $20 a barrel for the first time since 2002 due to a price war between Russia and Saudi Arabia.
One popular method for trading crude oil is United States Oil ETF (USO), which has dropped all the way down to about $4.50 per share. Some trader or fund is taking advantage of the low price by using very long-term options, all the way out to January 2022.
The trade involves selling puts to help finance calls, which makes a lot of sense given how low the price of USO is.
I'm only sharing it for a limited time, so claim your copy immediately even if you're not trading right now: CLICK HERE.
[FREE DOWNLOAD] 10 Simple Rules for Trading Options Like a Pro
Follow these 10 simple rules from 20-year professional options trading veteran, Jay Soloff and start earning a reliable extra income from options.
NO prior experience needed to master these 10 simple options trading rules.
Enter your email below and receive access to this FREE guide...
You have Successfully Subscribed!
As a bonus you’ll receive a free subscription to The Market Cap, an independent newsletter filled with investment ideas for dividend, growth, and options investors. You’ll also receive occasional offers and discount notices from Investors Alley and select partners.
Information contained in this email and websites maintained by Investors Alley Corp. ("Investors Alley") are provided for educational purposes only and are neither an offer nor a recommendation to buy or sell any security, options on equities, or cryptocurrency. Investors Alley and its affiliates may hold a position in any of the companies mentioned. Investors Alley is neither a registered investment adviser nor a broker-dealer and does not provide customized or personalized recommendations. Any one-on-one coaching or similar products or services offered by or through Investors Alley does not provide or constitute personal advice, does not take into consideration and is not based on the unique or specific needs, objectives or financial circumstances of any person, and is intended for educational purposes only. Past performance is not necessarily indicative of future results. No trading strategy is risk free. Trading and investing involve substantial risk, and you may lose the entire amount of your principal investment or more. You should trade or invest only "risk capital" - money you can afford to lose. Trading and investing is not appropriate for everyone. We urge you to conduct your own research and due diligence and obtain professional advice from your personal financial adviser or investment broker before making any investment decision.