Hey, short and quick video here on what

Nancy Pelosi is doing two stocks that

she just bought and I'm paying close

attention because obviously Nancy Pelosi

has been performing extremely well in

the stock market. So Nancy Pelosi just

bet up to $6 million on Intel and Uber

and she did this in a really interesting

way. She is using options. So she bought

call options and she specifically did

long-term call options. So we can see

here basically in a recent disclosure

filing Pelosi purchased up to $6 million

worth of call options on both Intel and

Uber. Now she used the same strike

price. She used a $50 strike price and

these options expire March 19th, 2027

for both Uber and for Intel. So I also

looked here on Reddit and basically this

call option that she bought is a leap

option. So if you're wondering if you

should move along with Pelosi. So

basically the Uber and the Intel trades

are leap options. Both of them are about

200 contracts. Uber is a $50 call option

expiring March 2027 and same thing for

Intel. Uber's currently trading for $72,

$74. Well, actually this morning I'm

seeing that it's already at $76. And

over the last one week Uber has had a

really nice week. That's basically right

here as soon as investors know that

Nancy Pelosi is doing something, they

like to follow where the money is going,

right? Because Nancy Pelosi is not

worth, you know, estimated two to $300

from, you know, her Congress job. It's

really, you know, pretty indirect. It's

through being a really good investor,

right? Really really good one, right? So

Uber's trading for $76 per share and the

call option I'm going to show you right

now that she purchased is essentially a

50 strike price. So this would be

categorized as a deep in the money call

option and has a high delta. So you can

even see here from this post, it pretty

much captures almost one-to-one movement

with the actual stock but costs a

fraction of the price of 20,000 shares.

So it's not exactly one-to-one but it's

pretty close to one-on-one. And that's

because an in-the-money call option, let

me show you here. So, the expiration is

on March, right? So, let's go over into

March 19th, 2027. The $50 call option,

I'm going to show you the delta on this.

Okay, so the delta is 91. Okay. So, what

delta is explaining here is when a stock

moves by $1, this option will move by 91

cents. That is what delta is. It tells

you how much the option moves for a $1

move within the stock, okay? So, if Uber

stock goes up by a dollar, this option

gains 91 cents. You might be thinking to

yourself, well, what's the benefit of

that, right? What am I really, you know,

getting here? Why don't I just own the

stock? Well, the thing is, when you buy

a call option, you can see the premium

right here. It is a lot cheaper than

buying the stock. Now, technically, this

is a riskier strategy because if Uber

goes down to 50 or below, this call

option would be literally worth zero.

Nada. Nothing. You can lose all your

money. But, on the upside, it's

basically like a leverage bet because if

Uber goes up a dollar, this one this

goes up 91 cents. That's less, right?

But, that's not the point. It goes up 91

cents on the premium, which is only $29.

So, instead of $1 divided by $76, it's

literally 90 cents divided by $29. So,

the return potential, as a percentage

return, is a lot higher if Nancy

Pelosi's trade here works out. If Uber

goes higher, let's say that Uber goes up

10, 20, or $30, this option right here,

in the case that Uber goes up by $30,

this option would also go up about 28,

29 dollars, right? Because it's almost a

one-to-one move. That means that this

premium would basically be not 29, but

58, which is essentially two times

higher than the current premium right

now. Whereas, if Uber stock goes up to

$100, which is a $30 increase, well,

Uber stock doesn't even go up 50%,

right? So, the whole point of a call

option, and why Nancy Pelosi is using

this strategy, is most likely she knows

something that most investors don't, or

she's making an aggressive bet here,

right? And the bet that she's using call

options will give her a greater overall

percentage return, right? So, she's

still scaling her portfolio, right?

Nancy Pelosi at 2 300 million dollars,

she's not done scaling. She's

continuing. So, this strategy right here

that goes out until March 2027 is also

powerful because look, the type of

information she has, we don't have,

right? Allegedly. We don't We don't know

what it is, right? But, the good news

about a longer-term call option is

there's a lot of time. So, a traditional

call option that people buy and they

kind of risk and gamble with in the

short term, that can go belly up, right?

That can go negative 100%. You can end

up losing all your money if you buy a

call option 1 week out. The stock

doesn't go up, right? So, in Uber case

or even Intel case, let's go over into

Intel. Let's cover where Intel's at and

the play that she has on Intel. But, if

the stock doesn't go up, then basically

what happens to the call option is it

starts to lose value, right? So, a call

option is a risky bet because if it

doesn't go in that direction, it starts

to lose value incrementally as time

passes and at expiration, it is

worthless if it's out of the money,

right? If the option is out of the

money. Now, here it's a very different

story because Pelosi's call option is in

the money. So, even if the stock doesn't

really do anything, she will lose money.

She will lose money because theta and

time decay will eat away at the option,

okay? But, the option will still have

some value because a $50 strike price

and for Intel it's at 127. So, even if

Intel does nothing or let's say it ends

at 120, the value of the call option

would still be 70, right? So, this is

what's called a deep in the money call

option. I covered this in my LEAPS

course, which I'm going to have at the

end of this video or down in the

description. My LEAPS course talks about

what a deep in the money call option is,

the benefits, and how you can use this

strategy to your own advantage to scale

and build your portfolio just like Nancy

Pelosi is doing. So, Nancy Pelosi

disclosed this position and that was on

June 23rd, so it was only a couple of

days ago. And this position goes out

until March, so there's basically kind

of, you know, a lot of time here for

investors to follow along with her. Now,

I don't really like following along with

other investors. I usually like to do my

own research, but when Nancy Pelosi she

a move, clearly the market does react to

that. Now, one reason I think that she

could be buying Uber, and I don't know

this information, this could be a rumor,

but most likely I think that something's

going to happen with the autonomous

vehicle robo-taxi bet. So, I think Nancy

Pelosi has some type of information that

could greatly benefit an Uber call

option. Now, here is the hesitation, by

the way, in this Reddit post, liquidity.

So, liquidity is essentially referring

to the bid-ask spread. So, let me

quickly explain to you how to look for a

call option that makes sense to begin

with because just because Nancy Pelosi

did something doesn't mean you should

just, you know, not do your own

research. You should still do your own

research. So, what would this look like

if you were to open up a trade on Intel

and you kind of want to follow along

with Nancy Pelosi, right? So, Intel is

trading for $127 per share and over the

last 3 months it's up 192%. I mean,

that's that's wacky. That's just that's

just that's insane. However, I wouldn't

really be surprised to see Congress

doing very, very well on their stock

bets, right? So, when I look at Intel at

127, hey, maybe this is a $200 stock,

right? So, let's go to trade Intel

options. My goal here is not to predict

what the price is. My goal here is to

show you how you could use the call

option to follow along with Nancy Pelosi

or just to buy call options on other

stocks that you deem to be a high-growth

company. So, you do your own research.

Now, Intel is at 127. If we ended up

buying a call option, I don't even think

you have to go for a $50 strike price.

You're going to get pretty much the same

benefits uh by going for something like

even like a 110. Like, if I expand this

110 right here, this is already a delta

of 88. That's already like very, very

high high enough. Because, look, by

buying 100 shares of Intel you have to

pay $12,700.

Okay, that's how much you have to put

up. Now, if you want to put up less

money, basically a 110 call option, you

can put up less than 2K, right? So,

instead of 11K, less than 2K. Great

benefit, right? And this is still an

in-the-money option. So, it still has a

lot of intrinsic value. Okay, intrinsic

value is basically how much a stock is

above the strike price. So, the strike

price is 110, Intel is at 127, that

would basically be a $17 intrinsic

value, right? And then, extrinsic value

is the amount of value that it has

that's not intrinsic, right? Not the in

the money value, but other factors.

Those other factors are volatility and

and time on the option. So, here this

option really has a lot of intrinsic

value. It has a ton of intrinsic value.

Our value here is $19.70. Intrinsically,

it's worth 17, so the difference is like

$2.50 essentially of extrinsic value,

which is like volatility and in time,

right? Now, this is a shorter-term call

option, right? So, let me show you a

shorter-term example, and then I'll kind

of show you a longer-term example as

well. So, a shorter-term example is you

got 5 days. I don't really like this.

Obviously, Intel has all sorts and all

kinds of bullish momentum. I mean,

anyone that's been in this stock or has

been following my channel on AI stocks

and semiconductor companies, you guys

know that basically this is a trend.

This is a hot trend, and these stocks

can run. They can run a lot. So, I

wouldn't be surprised to continue to see

a stock like Intel run or even Micron

because Micron Technology doesn't have

that much of a high PE ratio compared to

Nvidia, right? It's like four times

less. That means that Micron has a lot

of room to run if the valuation gap ends

up bridging. Anyways, the whole point is

if you think a stock is going to run, a

short-term call option can be useful. In

this example right here, if Intel goes

up by even $10 in the short-term, which

doesn't seem that crazy based off of the

high momentum market that we're in, then

this option would increase by $8.88,

right? Call it nine bucks. Call this 20

bucks. So, basically this option would

gain nine bucks and the capital that you

would have to put up is 20 bucks. That

as a percentage return is bonkers.

That's insane. Now, the downside is if

Intel doesn't go up, that's fine. This

option won't lose too much money, but if

it goes down, you are going to be losing

on this position. So, you see, a call

option is just a bullish bet. It's a

leveraged bullish bet, okay? So, do this

at your own risk. However, when you go

longer-term, it is a much better kind of

opportunity, in my opinion, because you

don't have as much short-term risk. So,

if I go for March 19th here, okay, and I

go for an option. Again, you don't need

to do 50 delta uh 50 strike price. I

mean, she's so so deep in the money.

$100 is already deep in the money. The

delta here is 77. You can get a little

bit deeper. The whole benefit of going

deeper is that you get more delta, and

more delta means you have more upside

whenever the stock moves up. However,

the lower the delta is, basically the

cheaper the premium. So, your actual

higher percentage return if you're

actually bullish is not by going deep in

the money. It is actually going out of

the money, right? So, if I actually go

for an out of the money option, and

Intel goes to like 200, then this out of

the money option is way way cheaper.

It's only worth like, you know, $32 in

premium, but your position here, if it

were to go to $200, you'd be in the

money by 50 bucks. So, it'd be worth at

least 50 in an intrinsic value. If you

still have time on the option left, it's

going to be worth a lot extrinsically as

well. So, going for out of the money

options can be very lucrative if the

stock ends up going up a lot, right? An

in-the-money option is just better in

the case that it is a bit lower risk if

the stock ends up going sideways. You

don't end up belly up, losing all your

money, right? Because an

out-of-the-money option, you can lose

all your money. An in-the-money option,

you already have intrinsic value going

in to the trade. So, Intel here at 110,

the break-even is going to be

essentially the 110 strike price, plus

the premium of $46.70.

So, your break-even here is 156.70.

Anyways, if you enjoyed this video, I

have a LEAPS free course here on

YouTube. It is going to be an amazing

use of your time because you can learn

how to use call options, LEAP options,

open and close, and manage strategy from

the very beginning all the way till

closing that strategy. That's the video

right here on the screen. It's very

important for you to watch it. Thanks so

much, and I'll see you over there. Make

sure to subscribe. Thanks. I'll see you

in the next one.