The group’s misfortune elicited a flurry of commentary and speculation on social-media platforms like X. If nothing else, it has helped to highlight the risks that investors can face in the rapidly growing U.S. options market.In interviews on podcasts, Chau said he had calculated the chances of a total loss to be vanishingly small, and that the strategy could still be profitable even if only a small number of trades actually panned out. In digital advertisements circulating on social-media platforms like In ...

Core Insights - The earnings season has commenced with major companies such as Taiwan Semiconductor (TSM), JP Morgan Chase (JPM), Wells Fargo (WFC), Bank of America (BAC), Goldman Sachs (GS), Johnson & Johnson (JNJ), and American Express (AXP) set to report their earnings this week [1] Group 1: Earnings Reporting - Companies reporting earnings include TSM, JPM, WFC, BAC, GS, JNJ, and AXP [1] Group 2: Stock Screener Usage - The Stock Screener can be utilized to identify companies with significant option volume and upcoming earnings [2] - A specific scan can be conducted to find companies with total call volume greater than 1,000 and market capitalization exceeding 10 billion, with earnings dates between October 13 - 17 [3] Group 3: Trading Strategy Example - An example trading strategy involves using an iron condor for TSM, which profits from a drop in implied volatility while keeping the stock within a specified range [5] - The iron condor consists of a bull put spread and a bear call spread, with specific strike prices for options sold and bought [6] - The total premium generated from the iron condor is approximately $1.50 per contract, equating to $150 [6] Group 4: Profit Zone Calculation - The profit zone for the iron condor ranges between $278.50 and $321.50, calculated by adjusting the short strikes with the premium received [7]