So you want to learn options trading?
Great! Because you have found the right place to not only learn options trading but get first hand knowledge of options trading basics from a former exchange floor trader. Since 2004 I have been writing and teaching options basics and options strategies online and you can find much of that content here on this website.
Why options trading strategies have the most profit potential in unstable financial markets.
There are two main reasons why you should learn options trading and successful floor traders have known these options secrets for years. Her they are: 1. Leverage 2. Predefined risk.
For the most part you cannot get either of these in the open stock market so options can open the door for smaller players, which leads to higher speculative volume, and also appeals to those who want to take part in the market trading but have problems sleeping at night with thousands of dollars tied up in certain stocks. When should I trade, how high is ti going, how low before I bail etc… thoughts that can keep a good man tense to be sure.
For the many students who learn options trading, the one thing they all tell me …
is that they can make an options strategy investment and then just casually glance at it once or twice a day knowing that when it hits the target, they can then sell the position, but if it goes against them, they have already determined the maximum loss and accepted it. Option investors can sleep at night!
Does this kind fo information intimidate you?
Well guess what? I was an exchange floor trader and it intimidates me too. You know that unless it is your full time job to monitor companies and make reliable estimates, you are never going to beat the market just by picking stocks. However, when trading options, you can be wrong a majority of the time and still be a profitable trader! When you decide to learn options trading the right way, the way I do it, it’s actually a rather simple process that will not require you to have you face buried in statistics every night.