Do you know how to STRANGLE stocks with options? Suppose, the market is expecting a big announcement. Something like the interest rate change by the FED or a sudden bankruptcy of a big investment bank or a corporation. This announcement is going to move the market big. You want to profit from this big move [...]
What is Stock Option Trading? In financial terminology, an option is a derivative financial instrumental that comprises of a reference price and premium at which an asset will be bought or sold within a timeframe. Option trading is a contract between two parties and during the currency of the contract, the buyer of an option [...]
In the stock market industry, the trade for stocks and stock options are often interchanged and some investors may be confused between the concepts behind these types of trades. First off, you should know is that these two animals have very different characteristics from each other, and using them interchangeably can be lethal if you [...]
Professional traders use the term “lean” to refer to one’s perception about the directional strength of the stock. When you own a stock and intend to hold it for a period of time, you are aware that you will probably be holding it while it goes up and while it goes down.
This means that at [...]
Professional traders use the term “lean” to refer to one’s perception about the directional strength of the stock. When you own a stock and intend to hold it for a period of time, you are aware that you will probably be holding it while it goes up and while it goes down.
This means that at [...]
Investing in the stock market can be particularly tricky. One part of the stock market that many individual investors seem to have a great deal of trouble understanding is the options market. Many people find options trading to be incredibly complicated, but the fact of the matter is… it can be quite easy once you [...]
Professional traders use the term “lean” to refer to one’s perception about the directional strength of the stock. When you own a stock and intend to hold it for a period of time, you are aware that you will probably be holding it while it goes up and while it goes down.
This means that at [...]