Options

Option trading brokers may be your best friend in processing your orders, but it’s not always entirely smooth behind the scenes. Here is a brief list your option trading brokers are unlikely to tell you. 1. Broker-Assisted Isn’t Better Outside the few … Read More

Would you like to capitalize on a little known and underused tool, which generates additional profits for your already existing stock purchases?  Covered calls remain one of the best kept secrets in the investment world. How Covered Calls Work Covered calls are … Read More

For those unfamiliar with covered call writing, the strategy is fairly simple and straightforward. In a nutshell, covered call writing is simply selling the right for someone else to purchase stock that you currently own (100 shares per contract) at a certain … Read More

As the market falls, many stocks are experience large amounts of unusually high short interest.  The shorts have made there money in a few select stocks, which are bound to recover as the institutions start buying back stock to cover previous shorts. … Read More

Obtaining a margin account with your broker can be difficult. Credit checks, minimum balances and paperwork can make obtaining a moderate leverage of 2:1 nearly impossible for most investors. Brokerage firms are a tough sell for leverage, especially in today’s volatile markets … Read More

My next post in the Stock Options Trading Series will focus on put options tips. There is a lot of discuss about long calls & puts, so we will ignore the more advanced options trades for a while. Here are 4 tips … Read More

In the last part of options trading series, we talked about long call options, and how investors buy them to profit from bullish stock trends. Now, we’ll take a look at the inverse of call options, put options. What Are Put Options … Read More

Purchasing or selling long call options is the simplest form of options trading to comprehend. It’s similar to buying long stock in a company, except that you either buy the right or sell the right to purchase the underlying shares in a … Read More

I’m happy to announce a new series here on Investor Trip that’s dedicated to stock option trading. What inspired me to learn more about option trading was the recent characteristics of the US stock market. As the Dow Jones passed 13,000 points, … Read More