The following video is part of a special series in which Motley Fool analyst Austin Smith and "Options Whiz" Alex Pape discuss how to make 2012 the year YOU master the market.

In this edition, Austin and Alex talk Netflix. Austin likes the company's long-term potential but would like to insulate himself from what's been a wild ride lately with a company that still has big downside risk. To counter this, Alex offers an options strategy to limit downside while offering attractive gains.

For more details on how to trade Netflix using similar options strategies with as much potential or more, just click here. You'll be directed to the Motley Fool Options Whiz -- our interactive "Options U" designed to teach you to trade options sensibly, with a minimum of risk, and all the resources of The Motley Fool behind you -- all 100% FREE!

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.