Options risk disclosure: Options involve risk and are not suitable for all investors. Before buying or selling options, read the OCC’s Characteristics and Risks of Standardized Options (the Options Disclosure Document). Not financial advice. This is education, not a recommendation to buy or sell any security. Past performance does not indicate future results.
Disclosure: Education only, not financial advice, not a broker. 360Trader does not execute trades or hold client funds.
An options alert crams a whole contract into one line. Here’s how I’d read one, and how to figure what you could lose before you do anything.
Anatomy of an alert
Take a hypothetical line like “XYZ Sep 4 2026 370 call, entry ~5.50” (illustration only, not a real alert or recommendation):
Ticker
The underlying stock or ETF (XYZ). The option’s value is driven mainly by it (FINRA).
Expiration date
The last day the contract exists (Sep 4 2026). Weeklys have a short life, so time decay speeds up (Schwab).
Strike price
The price at which the holder can buy (call) or sell (put): $370 (FINRA).
Call or put
A call needs the underlying above strike + premium to profit at expiry. A put needs it below strike − premium (FINRA).
Entry (premium)
The price per share. One contract covers 100 shares (Investor.gov), so ~5.50 ≈ $550 per contract before commissions. A “~” means approximate: your fill can differ.
Turn the alert into numbers
- Max loss (bought option) = premium × 100 × contracts (FINRA). Example: 5.50 × 100 = $550 per contract.
- Break-even at expiry for a call = strike + premium = 370 + 5.50 = $375.50. For a put, strike − premium.
- Contracts = your own max loss ÷ (premium × 100), rounded down. See our position sizing for options guide.
- Liquidity: check the bid-ask spread. Wide spreads make it hard to exit at a fair price (Vanguard).
Common misreadings
“The alert worked for someone else, so it will work for me”
Your fill, timing and size can differ, and no alert is a forecast. Any alert can lose 100% of the premium.
“It’s cheap, so it’s low risk”
A cheap option can still lose 100% (Investor.gov).
“I’ll hold it to expiry just in case”
Time decay accelerates near expiry (Schwab), and options that expire out of the money lose the full premium (Investor.gov).
Practice first
Paper-trade alerts in the free 360 Options Academy. Its practice ticket shows break-even and worst case.
Where Stock Slayer fits
360 Elite Stock Market Slayer is where I send 1–2 weekly options alerts a week, by Telegram, with strike, expiry, entry and strategy. Some lose. Some expire worthless and lose the whole premium. Nobody here promises profits. Whether you trade it, and how much, is up to you.
Related guides
- Weekly options explained
- Buying calls vs puts
- Position sizing for options
- Options time decay (theta) explained
FAQ
What does the strike price in an alert mean?
The price at which the option holder can buy (call) or sell (put) the underlying (FINRA).
How much does one option contract cost?
Premium × 100 shares, plus commissions (Investor.gov).
What’s my maximum loss on a bought option from an alert?
The premium paid plus commissions (FINRA).
Do Stock Slayer weekly options alerts lose?
Yes. Some alerts lose, including options that expire worthless for a 100% loss of the premium. Past results do not predict future results.
Risk disclaimer: Education only, not financial advice, not a broker, and not a recommendation. Options involve risk and are not suitable for all investors. Read the OCC Options Disclosure Document before trading. Bought options can expire worthless (100% loss of premium); some sold options carry unlimited loss. Past performance does not indicate future results.
Education only. This is not financial advice and 360Trader is not a broker or an investment adviser. Nothing here is a recommendation to buy or sell anything. Trading involves risk, including the loss of your whole position.