How to Invest in Options: Selecting the Best Options Strategies to Trade
In order to be consistent, and make the best decisions about what to trade, it is important to understand when to use each of the options trading setups. By understanding how these options set ups work in reality you can effectively learn how to invest in options. Every trader looks at the market slightly differently and each has their own perspective of what will happen to the price of a specific stock. Even if these traders have a common belief in the direction of the market they may pick different options strategies to try and profit from a up, down or sideways move in a stock.
When to Trade by Selling Options vs. Trade by Buying Options
Options offer you flexibility when trading. You can either buy or sell options (or a combination of both for that matter), this allows you to have strategies for stocks that are moving up or stocks that are moving down. Options even have strategies that make money when the stock doesn’t move at all. Knowing the best strategy to use can mean the difference between a profitable trade and a losing trade.
What is a Retail Options Trader?
There are so many different ways to trade, many different markets, financial instruments with different amounts of risk and reward. Regardless of how, what, and why you trade, it is important to understand the differences and similarities between being a retail trader versus an institutional trader. The differences are very important as the approaches to the markets are different.
Why We Love Google (Trade Review)
If you read my blog post last week, Better Trade Setups While GOOGLing you will notice we talked about and reviewed GOOGL as a potential trade setup I liked. I knew based on how it was moving that I wanted to use an options strategy of selling premium in the weekly options. I wanted to sell premium in options that expired at the end of the week.
Where Do You Get Your News?
Whether you are a technical or fundamental trader, you probably still want to keep a pulse on the economic news of the day. Over the last few weeks we have seen a number of moves in the markets as it has reacted to the news of Trump’s initiatives, earnings, FOMC, and military attacks.
Better Trade Set Ups While GOOGLing
After earnings and seeing the stock pop up, many investors might be wondering what to do next with GOOGL?
GOOGL has been pushing higher since its recent earning announcement, after jumping up to the $900 range last month, it looks as though might be actually ready to take a breather.
How Having Children Has Influenced My Trading
Trading gives you the ultimate flexibility to trade whenever you want to. Over the years, I was able to look at the market and place trades, but also be able to go for long runs (something I enjoy), be outside, travel (vacation in California and leave the cold weather behind), and basically enjoy a lifestyle doing the things I love the most.
3 Tips to Trade a Volatile Market
With the recent market events, and continuing market uncertainty how can traders have exposure to the market to capitalize on big moves, while managing their risk? Here are 3 easy ways that an options traders can increase their chances for successful trades in a volatile market:
3 Myths About Risk
Any trader wants to find ways to lower risk and increase reward. A risk free trade is probably a holy grail that some traders aspire to attain but there are myths about risk that you should be aware of. Don’t get trapped by these ‘myths’ about trading risk…
Is a ‘Call’ Just a ‘Call’?
Trading options allows the options trader the ability to trade many different ways. If one traders says they know how to trade a “call”, it doesn’t mean that another trader will trade a call the same way.