An investor who buys a put option and simultaneously buys a corresponding amount of the underlying stock forms a "paired put" position. This hedging strategy gets its name from an…
Long put options strategies are an ideal tool for investors who want to profit from downward movement in the underlying stock price. Investors should thoroughly understand the basic concepts of…
Buying call options has been a popular strategy for investors since listed options were first introduced. Investors should thoroughly understand the basic concepts of buying and holding call options before…
Option Strategies This section of our website introduces options and stock investors to some basic common stock options strategies. You can search our Strategy Index section to learn the basics…
Volatility Volatility can be a very important factor in deciding which options to buy or sell. Volatility tells investors how much the stock price will fluctuate over a period of…
Refer to this index options list at 1455 to see what is available, conduct research, and develop your options trading strategy. Start trading and investing at 1455 when you open…
The flexibility of index options comes from the wide variety of strategies available to investors. The following examples explain the most basic uses of index options. These examples are based…
The underlying security of common stock index options is not the physical asset, but the security index. The market prices of index put and call options tend to rise and…
A stock index is a grouping of several stock prices into one number. There are different types and sizes of indices. Some are broad-based, measuring broad and dispersed market movements.…
Just like using common stock options, investors can use index options to profit from expected market movements or protect the underlying securities they own. The difference between the two is…