How to Trade Verizon Options for 30% Returns! | Beginner-Friendly Setup

Are you ready to dive into options trading but don’t know where to start? At Precision Trading Labs, we’re all about making trading accessible, especially for beginners. In this week’s live session, our expert trader Ryan shared a simple yet powerful options setup on Verizon stock that could turn $1,125 into a $300 profit. Watch the clip below to learn how to spot a high-probability trade and harness the power of leverage—perfect for new traders looking to grow their portfolios! 📈 

## Why This Verizon Trade Is Perfect for Beginners

In the clip, Ryan breaks down a real-world options trade on Verizon (VZ), showing you exactly how to identify a setup, set your entry and exit points, and calculate your potential returns. Here’s why this trade is a great starting point for new traders:

- **Clear Entry and Exit**: Enter at $43.58 and target $44.58 for a $1 move, yielding a 30-33% return on a $2.26 option.

- **Affordable Investment**: With just $1,125, you can buy 5 contracts and control 500 shares, leveraging your capital for bigger gains.

- **Low Risk, High Reward**: The trade offers a clear risk-reward ratio, with a potential $300 profit against a small, manageable loss (estimated at ~20-27 cents per contract).

- **Simple Setup**: Ryan uses a demand zone on a 2-hour chart, making it easy to follow even if you’re new to technical analysis.

This trade showcases the power of options: you don’t need a huge account to make meaningful profits. By controlling 500 shares for a fraction of the cost, you’re amplifying your returns while keeping risk in check.

## Key Takeaways from the Verizon Setup

Here’s what you’ll learn from this 90-second clip:

- **Spotting a Demand Zone**: Ryan identifies a demand zone on Verizon’s 2-hour chart, a key area where buyers step in, signaling a potential price bounce.

- **Setting Up the Trade**: Enter at $43.58, aim for $44.58, and expect a 30-33% return on a $2.26 option. Ryan explains how to use the Fibonacci extension tool to measure the move (targeting 3.5:1 risk-reward).

- **Leveraging Options**: With 5 contracts ($1,125), you control 500 shares, giving you the profit potential of 300 shares (based on a 55-60 delta). This means big gains without buying the stock outright!

- **Managing Risk**: Ryan highlights the importance of understanding option pricing volatility (e.g., potential 20-27 cent loss) to avoid surprises.

Whether you’re trading stocks, futures, or options, this clip offers a clear, actionable strategy you can apply to your own trades.

## Why Options Trading Is a Game-Changer

Options trading might sound complex, but as Ryan shows, it’s all about finding the right setup and managing your risk. Here’s why options are a favorite among traders:

- **Leverage**: Control large positions (like 500 shares of Verizon) with a small investment.

- **Flexibility**: Profit in up, down, or sideways markets with the right strategy.

- **Defined Risk**: Know your maximum loss upfront (e.g., ~$20-27 per contract in this case).

This Verizon trade is a perfect example of how beginners can start small and aim for consistent, high-percentage returns.

## Join Precision Trading Labs to Trade Smarter

At Precision Trading Labs, we believe anyone can learn to trade with the right guidance. Our live sessions, led by Ryan and Mitch, break down real-time setups like this Verizon trade, giving you the tools to trade with confidence. From futures to stocks to options, we cover it all with a focus on practical, beginner-friendly strategies.

Ready to take your trading to the next level? Join our community for:

- **Live Trading Sessions**: Watch experts like Ryan analyze the markets in real time.

- **Exclusive Resources**: Access tools like our ETF spreadsheet and ChatGPT industry insights to inform your trades.

- **Supportive Community**: Connect with traders of all levels to share ideas and grow.

Start Trading Today!

Don’t miss out on learning high-probability setups like this Verizon options trade. Visit https://precisiontradinglabs.com to join our live sessions and get started on your trading journey. Have questions? Drop them in our Slack community, and let’s talk trading! 🚀

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