Walk into a casino.


Win $1,000... feels good. Lose $1,000... feels TERRIBLE.
Same amount... But the pain of losing hits way harder than the joy of winning. That's human nature.
Now here's what that quirk does to options pricing:
People are terrified of the DOWNSIDE.
So they'll overpay for puts...
Especially when the market is volatile.
Selling them those puts portfolio secured with 1+ year durations is how you capitalize on this human flaw.
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