In the current market, options are more expensive.

These high costs might scare newer traders from trading altogether, especially if their account is smaller.

But the truth is…

There’s one strategy that’s perfect for this current market for a few reasons.

For one, it can significantly reduce your risk.

Two, it also significantly lowers your cost.

This makes it an ideal strategy for growing a smaller portfolio.

I’m talking about spread trading.

Spread trading is one of my most used strategies in The War Room and Catalyst Cash-Outs.

And in a market like this, I’m cranking out spread trades more and more.

Since the options prices are so high right now, you need to use spreads to lower your price and offset some of your risk.

Here’s how they work…

Spread Trading 101

Spreads are simply the difference between two prices.

For example, say you want to trade a stock, and it’s currently priced in the $80 range.

In a spread trade, you could buy $80 calls in the company and sell the $95 calls against your position.

Think of spread trading like using a wide net vs. using a spear.

It allows you to make winning trades within a range of outcomes instead of having to hit a precise price point.

This makes it a great strategy to use when you expect a moderate price move in a stock.

The Trade-off with Spreads

While spreads are one of my most used strategies – no trading strategy is perfect.

Spreads have a more limited profit upside than calls or puts. Nothing is free on Wall Street, so if you want to reduce your risk, you will reduce your return as well.

You also must pick strike prices intelligently. Opting for realistic strike prices to base your trade around.

YOUR ACTION PLAN

If you’re trying to grow a small account, spreads are a great way to lower your risk while also scaling your portfolio.

They’re great for traders with smaller accounts, as they mitigate a lot of the upfront costs to trading options.

I’ve already been cranked out several winners with spreads in 2026, including an 41% winner on NVO in 33 trading days.

Bryan and I just outlined a new trade on one of the hottest 2026 trends during our livestream yesterday.

Log in to get our latest trade alert.