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The truth is most "Options Rooms" don't teach real options trading. Here is what your junk pump & dump contracts look like (on any stock)
Delta <0.2
Gamma <0.1
Cheap Premiums
Often, strikes are chosen w/too low IV for day trading, particularly in individual stocks vs etfs
This is why your premium isn't increasing even though the underlying moves up more (can also occur because of IV crush, but you need elevated IV to start for this to occur)
Look at the daily volume on that contract. How does the average compare to trade day?
Look at the OI compared to other strikes
When directionally trading short exp options, is OI stacked at one strike? Or is it stacked on multiple? Can you see momentum in the chain to correlate to your furus price predictions? Short-term options trades aren't only about the "levels" on the stock chart.
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