Tag Archives: Option Trading Strategies
Examining option strategies for the beginner
Posted on 12. Apr, 2010 by Global.
By: Daniel Webb There is a need to look towards option strategies in order to make the entire profitable. Nowadays, people are looking in to trading options. This is ironic as trading options was not a method of investing that the average person looked into. One reason for this is that options trading can prove [...]
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Understanding the Advantages and Disadvantages of Options for an Effective Option Trading Strategies
Posted on 10. Mar, 2010 by Global.
by: Daniel Webb This article looks at the potential advantages and disadvantages of using options. Understanding these are crucial for investors and present a factor to investors in formulating their option trading strategies. What are the Advantages? Options contracts present a lot of potential advantages to holders and writers: Advantages for holders o Protection Call [...]
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Derivatives – Play it Safe
Posted on 18. Dec, 2009 by Global.
Derivatives are one of the most powerful tools you can add to your trading toolbox, however you need to have a thorough understanding of strategy and risk before you dive into the derivatives market. In a nutshell – a derivative is generally a contract rather than an asset. This contract directly relates to the asset, [...]
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Options Trading Strategies: Renting Shares for Profit
Posted on 16. Nov, 2009 by Global.
Nearly all of us understand the concept of becoming a Landlord don’t we? You buy a property (hopefully in a growth area) and you draw up a lease agreement with someone who is prepared to rent the property from you for a premium, or rental fee each month. As a property investor, your [...]
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Option Trading Strategies: Protective Put
Posted on 11. Nov, 2009 by Global.
When an investor purchases a put option and they own shares in the underlying stock, they are said to be using a protective put. How Does a Protective Put Work? When you purchase a Put Option over shares you own, you are effectively insuring your shares against loss because you have the right to sell [...]
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