Options Trading For Beginners: Discover & Learn The Secrets & Strategies to Making a Living Trading Options

By John Rosenbaum

Are you looking for a way to invest your money and make a good profit? Are you tired of all the risks and time commitments that are found with some of the other choices, but you still want to see your money grow over time? Then the options market may be the right choice for you.

 

This guidebook is going to take some time to show you all of the things you must know in order to purchase and sell options contracts. There are a lot of different parts that come with this kind of investment, and we will look at the benefits of using this form of investing, along with some of the different strategies that you can use to see success right from the beginning.

 

There are a lot of things to work with when it comes to working in options and options contracts, and we are going to take a look at many of these inside this guidebook. When we are done, you will be able to make some of your own trades in these contracts and see some amazing results.

 

Some of the different topics that we will focus on when it comes to options trading include:

 

• A look at what options are all about and why we should use them.
• The benefits and the negatives of trading on options contracts.
• A better understanding of the options exchange and how it works.
• Some of the factors that are going to influence the price of an option.
• The basic strategies that you can rely on when trading your own options contracts.
• The different trading techniques to get more out of this.
• The steps that a beginner can take in order to get their first order placed and ready to go.
• How to close out the position if you want to end the market and take your profits before the expiration date.
• The technical indicators that you can choose from.
• Some of the open interests that happen here and how you can use these to help you make good decisions in the market.
• Tips to help you to be successful with options contracts and some of the common pitfalls that we need to avoid.

 

There are many choices that we can make when it is time to invest our money and see it grow and go to work for us. But nothing is going to provide us with the return on investment and the limited risk that we can take, as we can see with options contracts. This guidebook is going to take some time to look more at how to handle these options contracts and see the best results possible. When you are ready to learn a bit more about options contracts and how to use these as your tool for investing, make sure to check out this guidebook to get started. 

 

And Much Much More..

 

Get Your Copy Right Now!

• Language: English
• Publisher: Pebble Media LTD
• Release date: Jul 7, 2020
• ISBN: 9781393330684

Book preview

Options Trading for Beginners

Discover & Learn the Secrets & Strategies to Making a Living Trading Options

John Rosenbaum

© Copyright 2020 By John Rosenbaum, All rights reserved.

In no way is it legal to reproduce, duplicate, or transmit any part of this document in either electronic means or printed format. Recording of this publication is strictly prohibited and any storage of this document is not allowed unless with written permission from the publisher. All rights reserved.

The information provided herein is stated to be truthful and consistent, in that any liability, in terms of inattention or otherwise, by any usage or abuse of any policies, processes, or directions contained within is the solitary and utter responsibility of the recipient reader. Under no circumstances will any legal responsibility or blame be held against the publisher for any reparation, damages, or monetary loss due to the information herein, either directly or indirectly.

Respective authors own all copyrights not held by the publisher.

The information herein is offered for informational purposes solely and is universal as so. The presentation of the information is without a contract or any type of guarantee assurance.

The trademarks that are used are without any consent, and the publication of the trademark is without permission or backing by the trademark owner. All trademarks and brands within this book are for clarifying purposes only and are owned by the owners themselves, not affiliated with this document.

Table of Contents

––––––––

Introduction

Chapter 1: What are Options?

The Call and the Put Option

Terms to Know

Option Functions

The Option Types

Assets to Use in Options

Types of Expiration Dates to Consider

Chapter 2: The Benefits and Downsides to Options?

Limit the Risks

It is Cost-Efficient

Gives a Bigger Return

Lots of Versatility and Flexibility

Taxes

Commissions

Time Value Decay

Regulation

Chapter 3: Understanding the Option Exchange

Liquidity

Gauging the Economy of the Country

Securities Pricing

Allows for Some Safe Transactions

Provides the Scope of Speculation

Promotes a Culture of Investing

Continuous Market for Our Securities

Capital Formation

Control Companies

Fiscal and Monetary Policies

Proper canalization of Wealth

Education Purposes

Chapter 4: What Influences the Option Prices

Chapter 5: Basic Strategies to Use When Trading Options

Chapter 6: The Different Trading Techniques for Options Trading

The Bull Put Spread

The Iron Condor

The Bear Call Spread

The Bull Call Spread

The Long Straddle and Strangle

The Bear Put Strategy

Chapter 7: How to Place Your First Order

Work Out a Plan

Placing Your First Order

Chapter 8: How to Close Before the Expiration Date

Closing a Call Option

Closing the Put Option

Chapter 9: The Technical Indicators to Look For

Chapter 10: Some of the Open Interests to Consider with Options Trading

Chapter 11: Tips to Help You Be Successful and Common Pitfalls to Avoid

Learn When to Use Each Strategy

Know the Spread

Never Double Up

Watch for the Illiquid Options

Don’t Forget Important Dates

Trade More on the Index Options

Never Trade What You Can’t Lose

Pay Attention to the Volatility

Pick a Good Broker

Never Over Commit

Don’t Give Into the Fear and Greed

Pitfalls to Avoid

Conclusion

Introduction

Congratulations on purchasing Options Trading for Beginners, and thank you for doing so.

The following chapters will discuss all the steps that you need to know to get started with trading and investing in the options market. There are a ton of choices that you can make when it is time to invest your money and put it to work for you. But none are going to be as effective and as fun to work with as options contracts. And this guidebook is going to take the time to walk you through all of the steps that are necessary in order to be successful with this investment vehicle.

This guidebook is going to start off with some information on what options are all about and how we can earn money when we enter into this kind of arrangement. We can also take a look at some of the reasons that investors like to work with these options contracts and some of the reasons that you may avoid using them or at least use some caution when you are looking to get into them.

Once we have some of the basics done, it is time to move on to learn more about these options and how we can use them to make money. We will start out with a look at how to understand the exchange that happens with the options and then look at the different things that are going to influence what price you will have to purchase and sell these options.

Then it is time for us to get to some of the fun stuff and learn more about some of the strategies that we can use as a beginner in this market, and how we are able to utilize those to know when to get into the market, and when to get out. And from there, we will go into some of the specifics about the different trading techniques, such as the long straddle and the long strangle, that we can use in order to help us know when to enter, and when to leave one of our own trades at the right time to make money or limit our losses.

When you have had some time to learn about the different strategies that you are able to pick from, it is time to learn more about the different steps you can take to work on your order. We are going to take a look at how we can place our first order, how to close before the expiration date if we don’t want to wait it out, and some of the best technical indicators to pay attention to when we want to look for a trend and get it to work to our advantage.

To finish off this guidebook, there are a few more things that we are able to look at to help us see some success with the options contracts that we want to focus on. First, we will look at how open interests can fit in with some of the other steps and indicators, and how this can help us with some of our trends to see how strong they are. And we can then end with some of the best tips that a beginner is able to follow to see success with the options contracts, and even some of the pitfalls that we should make sure to avoid.

As we can see here, there are a lot of different parts that are going to show up when it comes to working with options contracts. These are a great way to make sure that we are able to earn money in the stock market, and so many other assets as well. When you are ready to learn more about how to make the options contracts work for your needs, no matter what kind of market you are in, make sure to check out this guidebook to help you get started.  

There are plenty of books on this subject on the market, thanks again for choosing this one! Every effort was made to ensure it is full of as much useful information as possible; please enjoy it!

Legal Disclaimer

All the information in this book is for general educational purposes only. Results are not guaranteed and may vary. Nothing in this book should be taken as financial advice. Please always consult with a professional in this field before you take action

Chapter 1: What are Options?

––––––––

There are a lot of people out there who have considered trading in some form on the stock market. They love that this provides them with a lot of options for investing and that there could be something new for them to enjoy each day. For example, you can choose to do a long-term plan and put all of your retirement savings into this market, allowing it lots of time to grow. You can work with day trading and complete a bunch of little trades and earn a lot of money with this one. Or there is the choice of working with options.

A stock, or a share, in a company, is going to be a measure of your unit of ownership in this company. Many companies are going to offer these shares to their investors because it allows the company to earn capital and keep themselves