By admin on April 10, 2010
Beyond all the ‘hype’ what is it that makes option trading so good?
This is a question that I wish more people would ask, but the thing is not too many people know they even exist!
The main reason that I love option trading is that options provide the opportunity to turn a small or modest amount [...]
Posted in General | Tagged option, options, so, tip, trade, trading, why
By admin on April 10, 2010
Writing Naked Puts is simply selling a put option on a stock that you would be happy to own should the price come down to your desired buy price.
When we write a naked put we are effectively ‘promising’ to buy someone else’s shares in the future should the stock price fall below a certain level.
For [...]
Posted in General | Tagged a, cash, dan, get, make, option, paid, promise, tip, trading
By admin on April 8, 2010
In basic terms there are only 2 types of options you can trade, Calls and Puts. As a buyer of options you always want the underlying stock to go up if you buy calls and down if you buy puts.
Determining which way a stock is likely to go is the challenge. However if you know [...]
Posted in General | Tagged option, savvy, secrets, straddle, tip, trading
By admin on April 8, 2010
A LEAP (Long-term Equity Anticipation Product) is simply a long-dated option.
LEAP options that don’t expire upto 2 years into the future give the buyer much more time to be right about the future direction of a stock and at the same time offer tremedous leverage.
LEAP option trading has become quite popular in recent years because [...]
Posted in General | Tagged how, into, leap, option, profits, tip, to, trading