• Buy a call option on a fast rising stock.
• Sell the option when it has doubled or tripled in price.
• Use the sales proceeds to buy two to three new options on the same stock (if it is still rising rapidly) for each option sold.
• Keep repeating this process, each time adding another level to your pyramid, each level two to three times as large as the previous level.

The danger lies not only in the risk that the underlying trend reverses and thy pyramid breaks down immediately. Even if the stock trend takes only a rest, your pyramid will severly shrink! That is, because options have a time value, which runs towards zero at expiration date. If you bought an option at the money, and the stock decides to go to sleep until this expiration date, your pyramid has vanished. Stock option pyramiding is an all or nothing game, but it can make millionaires!