Learn Stock Options Trading

Before investing in options, you should learn what exactly is a stock option and understand the two different types of option contracts: put and call options. A put option is a financial contract between the writer (seller) and the buyer of the option, giving the owner the right, but not the obligation, to sell a specified amount of a security at a specified price within a specified time. A call option gives an investor the right to buy a stock, bond, or other instrument at a specified price within a specific time period.

View below for more information:

Stock Options Trading - Understand the Jargon
An option is said to be "in the money" when the strike price is lower than the current market price of the underlying stock...

How to Start Online Trading Stocks and Options Successfully
More and more people try stock trading online as a means of earning some extra money or even turn it into a full time living...

Why Options Are Better Than Stocks
Buyers of options (both call and put) have limited downside risk. Their downside risk is limited to the premium spent plus commissions and other transaction fees...

Advantages and Disadvantages of Options
They are less risky as compared to other types of trading instruments. Huge losses can be avoided as risk is limited to the premium already spent...

Stock Option Markets and Contracts
Exercising stock options is a simple process, you just need to contact your broker and inform them you want to exercise...

Author

Kelvin Wong Loke Yuen is a highly experienced education writer. He has obtained many certifications from the UK, USA, Australia and Canada, including an MBA and a Postgraduate Diploma from Heriot-Watt (UK's World-Class University) and a BCom degree from Adelaide (Australia’s Group of Eight University). Follow him on: LinkedIn