Wednesday, June 23rd, 2021

Best Style of Options Trading

There are a number of ways to approach options trading and a number of ways to profit from trading options. One can profit from selling calls on stocks that one owns and one can buy calls to lock in opportunity on a stock that one expects to go up in price. [...]

Over the Counter Options

Traders looking to buy options to hedge risk or simply speculate in the options market may consider over the counter options. Over the counter options are not traded on an options exchange and are essentially contracts between two parties. There is no secondary market for such vehicles. Strike prices are not [...]

Commodity Futures Options Trading

In commodity futures options trading as in all options trading traders buy options to hedge risk. They purchase both puts and calls and use options to speculate in energy, agricultural commodities, and both precious and industrial metals. One can purchase futures contracts on commodities such as corn, wheat and soybeans. [...]

Profit from Interest Rate Options

Options traders take interest rates into consideration when trading options on stocks, commodities, and foreign exchange. However, it is possible to profit from interest rate options directly as well. Interest rate options are traded on the Chicago Board Options Exchange, CBOE. Options traders can purchase both puts and calls on the [...]