# @tastyliveshow on YouTube

- **Type:** Video
- **Original URL:** https://youtube.com/watch?v=xnxp0ltTChQ
- **Gondola URL:** https://gondola.cc/posts/66693497-tastyliveshow-youtube
- **Thumbnail:** https://img.gondola.cc/tr:w-,h-,fo-auto/postThumbnails/62d5fc5650.jpg
- **Posted:** 2026-06-14T00:00:06.000+00:00
- **Account Owner:** tastylive (@tastyliveshow) — https://gondola.cc/tastyliveshow

## Caption

When should you buy premium and when should you sell it? Mike Butler says the answer depends entirely on where the stock is, how much time you have, and how much variance you can withstand. Nike is at decade lows so he bought a January 2028 LEAP at the $60 strike instead of selling a short-term put. The stock could keep falling. He would rather own the optionality with lower near-term IV than take on unlimited downside for $100 credit.

The sweet spot for selling premium is the 30 to 60 day window where implied volatility value and time value create the best blend. For buying premium, go 90 days out or further. His MES year-long position started with 93 points in credit and has been manipulated up to 700 points. That flexibility is what undefined risk gives you when you size correctly.

📊 tastylive: https://www.tastylive.com/
📰 Get Tom Preston's pre-market analysis every morning: https://www.tastylive.com/newsletters
📘 FREE Options Strategy Guide: https://tinyurl.com/bp9ms763
📱 Follow tastylive on X: https://x.com/tastyliveshow

Chapters
0:00 The age old question: buy or sell premium
1:00 Why index products are safer for short premium
2:00 Individual equities: binary risk and binary events
3:00 If you buy options you get what you pay for
3:30 Never buy zero DTE or 7 day options
4:00 Nike at decade lows: why Mike bought a LEAP instead
5:30 The 30 to 60 day sweet spot for selling premium
7:00 Buy premium outside the 60 day window
8:00 How to reduce cost basis by selling against long options
9:00 MES position: 93 points credit to 700 points credit
11:00 Position sizing: the key to withstanding any variance
13:00 Defined risk: keep between $500 and $2,000

#BuyingPremium #SellingPremium #OptionsTrading #MikeButler #tastylive #OptionsInAction #LEAPS #OptionsEducation

tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we'll help you take your trading to the next level, whether you are new to trading or a seasoned veteran.

tastylive content is created, produced, and provided solely by tastylive, Inc. ("tastylive") and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. Options, futures, and futures options are not suitable for all investors. Prior to trading securities, options, futures, or futures options, please read all applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange Traded Options Risk Disclosure Statement found at https://tastytrade.com/disclosures/.

Past performance is not indicative of future results. Performance is not presented net of all commissions, fees, and expenses. Multi-leg option strategies incur higher transaction costs than single leg trades as they involve multiple commission charges. Examples provided are for illustrative, informational, and educational purposes only and are not intended to be reflective of results you can expect to achieve. Supporting documentation for any claims, including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request.

tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer.

## Stats

- **Views:** 2,642
- **Likes:** 110
- **Shares:** 0
- **Comments:** 12

## Tags

buyingpremium, leaps, tastylive, optionstrading, sellingpremium, mikebutler, optionsinaction, optionseducation

---
Copyright (c) Gondola