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Sean HymanSean Hyman
Keymaster
Post count: 3910

1) Make sure you’re dealing with a large company with lots of stock trading volume. 2) Make sure its options are generally active overall on various strike prices. 3) When buying calls, buy the in-the-money calls that are far out in time that have lots of open interest. The open interest is where you want to focus.

I’ll just pull one of our picks up to give an example: CAH

Choose strikes that are in the money, have lots of open interest. Avoid ones with low or no open interest. Favor ones that have a lower probability of expiring out of the money.

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