Playing options with a hundred dollars | A Microsoft put option nearing expiration surged 100%, with an exercise rate of only 2.56%

I. Stock Price Below $50 - Top 10 Low-Cost Option Trades

Stocks with lower share prices often have relatively cheaper absolute option premiums (i.e., option fees or rights fees), as they represent smaller underlying asset value scales, determined by the pricing logic of options. Therefore, this category of options hasThis is because the underlying asset value it carries is relatively small, which is determined by the pricing logic of options. Therefore, this option hasLow barrier, light costFeatures suitable for small-capital deployment in targeted opportunities while reducing the risk of premium erosion.

Core screening criteria: Latest option price between 0.1-1 USD (indicating a single option contract price range of 10-100 USD), underlying stock price < 50 USD, ranked by top ten trading volume on the day (with an attached chart showing the top ten traded).

Among options with trading volumes exceeding 100 contracts, the one with the highest increase is the CORZ put option expiring on April 2, 2026, with a strike price of $13.

The current volatility of this option is higher than the 30-day average historical volatility, and its implied volatility is close to 110%. If it's anticipated that the implied volatility will decrease in the future, it would be suitable as part of an option selling strategy. However, given the current level of implied volatility, there may be a possibility of rapid increases near the strike price for this near-expiry option.

If implied volatility is expected to rise alongside continued stock price fluctuations, it would be suitable for option buyers.

The current probability of exercise is relatively low, about 28.10%. If planning to buy with the expectation of exercising and assuming implied volatility will rise, it would be suitable as an option buying strategy. Conversely, if predicting a decline or even zero probability of exercise, it would be suitable as an option selling strategy.

II. Weekly Top Nine Options Trading Rankings

Starting from January 26, the US stock options market experienced a significant upgrade:$Tesla (TSLA.US)$ 、$NVIDIA (NVDA.US)$ 、$Apple (AAPL.US)$ 、$Amazon (AMZN.US)$ 、Meta Platforms (META.US) 、$Broadcom (AVGO.US)$ 、$谷歌-C (GOOG.US)$、$Microsoft(MSFT.US)$、$iShares Bitcoin Trust (IBIT.US)$These nine major underlying assets, which originally had options contracts expiring every Friday, now also have new contracts expiring on Mondays and Wednesdays.

What does this mean? Previously, if you wanted to use options on these underlying assets to leverage small capital for bigger gains, you would have to wait until the market closed on Friday. But now, you can also trade up to Monday or Wednesday, accelerating capital turnover.Moreover, due to shorter durations and lower prices, it’s possible to participate in market movements with even less capital, reducing trial-and-error costs significantly.

Although the unit price of the underlying stock in this option is relatively high, the premium for a single option contract is still kept below $100, allowing investors to gain exposure to high-priced core assets while significantly lowering entry costs.

Core screening criteria: nine major underlying assets, latest option prices between $0.1 and $1 (indicating that the price for a single option contract is between $10 and $100), expiration within three days, sorted by percentage change.

Among the nine companies, the largest increase was seen in the Microsoft put option expiring on April 1, 2026, with a strike price of $332.5.

The current volatility of this option is higher than the 30-day average historical volatility, and its implied volatility is close to 57%. If it's anticipated that the implied volatility will decrease in the future, it would be suitable as part of an option selling strategy. However, given the current level of implied volatility, there may be a possibility of rapid increases near the strike price for this near-expiry option.

If implied volatility is expected to rise alongside continued stock price fluctuations, it would be suitable for option buyers.

The current option has a low probability of being exercised, approximately 2.56%, and combined with the high implied volatility mentioned earlier, it is suitable as an option selling strategy. Conversely, if the probability of exercise is expected to continue rising, it is more appropriate as an option buying strategy.

On the investment journey, every practice of validating one's understanding at a controllable cost is a solid step toward realizing future value. Fellow investors who wish to learn more about how to trade low-cost options can click the link below to study further.

Beginner's Guide to Option Profits | Using popular underlying assets RDW and ONDS as examples: Start your first option trade for under $100

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Risk WarningAn option is a contract that grants the holder the right, but not the obligation, to buy or sell an asset at a fixed price on a specific date or at any time before that date. The price of an option is influenced by various factors, including the current price of the underlying asset, the strike price, time to expiration, and implied volatility. Implied volatility reflects the market’s expectations for the level of volatility in the option over a future period. It is a data point derived inversely from the Black-Scholes option pricing model and is generally regarded as an indicator of market sentiment. When investors anticipate greater volatility, they may be more willing to pay a higher price for options to hedge risks, resulting in higher implied volatility. Traders and investors use implied volatility to assess the attractiveness of option prices, identify potential mispricings, and manage risk exposure.

DisclaimerThis content does not constitute any offer, solicitation, recommendation, opinion, or guarantee for any securities, financial products, or tools. The risk of loss in trading options can be substantial. In some cases, losses may exceed the initial margin deposited. Even if you set contingent orders such as 'stop-loss' or 'limit' orders, these may not prevent losses. Market conditions may prevent these orders from being executed. You might be required to deposit additional margin within a short period. If you fail to provide the required amount within the specified time, your open positions may be liquidated. However, you will still be responsible for any shortfall in your account. Therefore, before trading, you should study and understand options and carefully consider whether such trading is suitable for you based on your financial situation and investment objectives. If you trade options, you should be familiar with the procedures for exercising options and the rights and obligations upon exercise and expiration. Option trading involves extremely high risks and is not suitable for all investors. Investors should read carefully before engaging in any options trading strategy.Characteristics and Risks of Standardized Options。

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