Options Insight: How to Play Netflix Ahead of Earnings

The video discusses the current state of the market, highlighting the role of uncertainty and margin money in driving market dynamics. It suggests that the market may be near its peak, with underlying fundamentals not supporting current levels. The speaker expresses skepticism about the sustainability of the rally, citing weak earnings and financial engineering. A trading strategy involving Netflix is proposed, aiming to capitalize on expected market movements while managing risk. The strategy involves selling and buying calls to benefit from potential upside or downside movements.

What trading strategy does the speaker suggest for Netflix in the current market environment?

What potential risks does the speaker identify with the suggested Netflix trade?