Wednesday, October 17th, 2018

GM Options

After GM’s IPO has returned the auto company to the NYSE the company’s stock will soon be available for options trading. United States options exchanges will be listing call and put GM options as of November 29. Current expectation on the street is that December $35 GM options calls will be around $1.60 bid price [...]

Buying Calls on Retailers

Buying calls on retailers is looking attractive as last month’s sales were the best in over half a year. As the holiday shopping season gets into full swing retailers are offering the usual discounts to get shoppers into their stores. It appears to be paying off as companies such as JCPenny who reported an increase [...]

Trading Oil Options

As hopes for a stronger world economy increase trading oil options could become increasingly profitable. In trading oil options, or trading any options, profitability is linked to price changes in the underlying equity. In this case profit in trading oil options is linked to the price of oil and to the [...]

When to Buy Puts

Puts are options contracts that give the buyer the option but do not confer an obligation to sell 100 shares of an underlying stock for a price stated in the individual options contract. The same contract will confer upon the seller the obligation to buy the same 100 shares of stock [...]

What Are Calls and Puts?

What are calls and puts in options trading? Calls and puts are the names for the types of contracts used to buy and sell stock, commodity, and futures options. The answer to “What are calls and puts?” depends also, to a degree, upon the point of view of the trader. Calls and [...]