Put and call options are the building blocks of many options trading strategies. A call option gives the holder the right, but not the obligation, to buy a stock at a specified price (the strike price ...
When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...
Options allow for greater flexibility when it comes to expressing a wide variety of market outlooks. Implied volatility tends to rise into earnings events, providing options sellers with potential ...
Day trading options is a popular strategy for traders who seek to take advantage of short-term market fluctuations. Options are financial derivatives that give the holder the right, but not the ...
Stock options are a riskier type of investments but have the ability to produce outsized gains for investors without the need for margin, though some strategies require it. An investor might lose ...
Options are a type of derivative, meaning they “derive” their value from the securities they’re linked to. Options are also leveraged, meaning a smaller amount invested in them generates larger gains ...
After you’ve started learning about trading options, you may find yourself exploring level 2 options trading. Whether you're a newbie or a seasoned trader, this guide is packed with valuable insights ...
Picking the right options trading strategy for you will depend on what direction you think a stock’s price will go and your capacity to absorb losses. Buying an option, or “going long,” will have less ...
A comprehensive guide for trading options on the VIX, a key metric reflecting market volatility expectations for the S&P 500 over the next 30 days. It covers the unique aspects of VIX options, ...
Discover what 0DTE options are and why they have become massively popular in recent months. What is a 0DTE option? A 0DTE (Zero Days To Expiration) option is an options contract set to expire at the ...
The owner of a Roth IRA can trade options using funds in the account, but restrictions and risks make the strategy unlikely to meet the objectives of most investors. A Roth IRA is a tax-advantaged ...
Options trading is the practice of buying or selling options contracts. Whether you buy or sell depends on how you think a stock will perform over a specific period of time. Many, or all, of the ...