Options Insight: How to Play Twitter

The video discusses recent trends in the VIX and market sentiment, highlighting a divergence where the VIX did not reach new highs despite stock lows. This indicates a potential bullish sentiment. The video also explores a trading strategy for Twitter, focusing on using options to buy the stock at a lower price or earn a premium. The strategy involves selling a cash-secured put with a high probability of success, leveraging time decay and volatility.

What is the significance of the $0.60 premium in the trading strategy discussed?

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What are the potential outcomes of the proposed trading strategy for Twitter?

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