Options Trading Tips
Covered Options Trading
Image via Wikipedia Covered options trading means trading options on stock that you already own. Covered options trading does not provide the leverage that uncovered options trading does but it is typically safer. Investors...
Read more of this articleInterest Rate Option Trading
Image via Wikipedia The Chicago Board Options Exchange (CBOE) offers interest rate option trading. CBOE describes interest rate options as “European-style, cash-settled options on the yield of U.S. Treasury securities.”...
Read more of this articleBull Call Spread
As the options trader becomes more familiar with the various kinds of options trading it may be useful to consider an uncovered options trading strategy called a bull call spread. This strategy involves buying and selling call...
Read more of this articleUncovered Options Trading
Uncovered options trading can be risky, compared to writing a covered call option. On the other hand uncovered options trading can be very profitable. Because of the high margin requirements uncovered or “naked” options...
Read more of this articleCovered Call Option
A covered call option is when the owner of stock writes an options contract obligating him or her to sell stock at the contract price, the strike price, at a future date, the expiration date, if the buyer so chooses. The buyer...
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