Options trading

Options trading

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Watch video about options trading

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How to Make Money Trading Options - The Vertical Spread

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What is options trading?

strike price

Benefits of options trading

But apart from that, how will options trading benefit a stock trader compared to buying the actual share? This part is quite easy. Let’s assume this trader purchased an option to buy 100 shares of Company X for three months from now.

never lose more

Calls and Puts

call option

put option.

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Conclusion

Options trading can become much more involved than the examples given above, but once the trader understand the basics the learning curve is not so steep. There are even option trading strategies to benefit from a completely stagnant market, but more about that later.

Source: http://www.options-trading.com/






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