Options Trading for Beginners: The Ultimate Trading Guide. Learn Profitable Strategies to Make Money Online Investing in Stock Market.

By Peter West

Are you interested in reducing risks and maximize ROI? Do you want to learn how to make profit with Options Trading?

 

Stop wasting your time and learn how to make money avoiding the main mistakes everybody makes. You will learn the best profitable strategies to become a successful trader!

 

This Book will teach you everything you need to start trading without paying for expensive guru courses! Give yourself a chance to start building wealth for your family.

 

This is what you will find in this fantastic Book:

1. How to start in the Options Trading market
2. Leverage, Hedging and the component of an option contract
3. The Best Strategies to make profit

… and that's not all!

• Tips to Master Technical Analysis and trading tools
• Trading psychology and ways to improve it
• How to minimize your risks

… And much more!

 

Take advantage of this Trading Guide Get One Step Closer to Financial Freedom Today!

 

What are you waiting for? Click the Buy-Now Button and start your Trading Career!

• Language: English
• Publisher: Peter West
• Release date: Jun 16, 2021
• ISBN: 9798201287238

Book preview

© Copyright 2021 by Peter West - All rights reserved.

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Table of Contents

CHAPTER 1 Introduction

The History

CHAPTER 2 Options Trading Basics

The Type of Options

The Advantages

1. Leverage

2. Hedging

Component of an Option Contract

Pricing Basics

Option Spread

CHAPTER 3 How to Get Started

CHAPTER 4 Platform and Tools

CHAPTER 5 Financial Leverage

Advantages

Disadvantages

How Financial Leverage Works

How Financial Leverage is Measured

CHAPTER 6 The Risk Management

Technical Strategy

CHAPTER 7 The Basics of Technical Analysis

History

Characteristics

Types of charts

Benefits of Technical Analysis

CHAPTER 8 The Broker

Margins

Margin call

CHAPTER 9 Covered Calls

CHAPTER 10 Collars

CHAPTER 11 Call Spreads

Bull Call Spreads

Bear Call Spreads

Calendar Call Spreads

CHAPTER 12 Put Spreads

CHAPTER 13 Combinations

Straddle

Strangle

CHAPTER 14 Best Strategies of Option Trading

Long Call or Put

Naked Short Call or Put

Bull or Bear Spreads

CHAPTER 15 Mindset

Trading psychology

Tips to avoid emotional trading

Conclusion

CHAPTER 1

Introduction

Options are contracts that give the conveyor the right, but not the commitment, to one or the other purchase or sell a measure of some hidden resource at a pre-decided cost at or before the agreement terminates. Options can be bought like most other resource classes with business speculation accounts.

Options are incredible because they can improve a person's portfolio. They do this through added pay, security, and even influence. Contingent upon the circumstance, there is usually an option situation suitable for a financial backer's goal. A well-known model would utilize options as powerful support against a declining stock market to restrict drawback misfortunes. Options can also be used to create repeating pay. Also, they are frequently utilized for speculative purposes, such as betting on a stock's bearing.

There is no free lunch with stocks and bonds. Options are the same. Options trading implies certain dangers that the financial backer should know about before making an exchange. This is the reason, when trading options with a specialist, you usually see a disclaimer like the accompanying:

Options as Derivatives

Options have a place with the more extensive gathering of protections known as subordinates. A subsidiary's cost is reliant upon or gotten from the cost of something different. Options are subordinates of financial protections—their worth relies upon the cost of some other resource. Instances of subsidiaries incorporate calls, puts, fates, advances, trades, and home loan-sponsored protections, among others.

Call and Put Options

Options are a sort of subordinate security. An option is subordinate since its cost is characteristically connected to the cost of something different. If you purchase an options contract, it awards you the right but not the commitment to buy or sell a basic resource at a set cost prior to a specific date.

A call option gives the holder the option to purchase a stock and a put option provides the holder with the option to sell a stock. Consider option an upfront installment for a future buy.

The History

FINANCIAL BACKERS' most complex monetary instruments are accustomed to catching wind on the business news: stock options and fates. Numerous genuine financial backers and dealers get up toward the beginning of the day and sneak a look at the stock prospects to get a feeling of where the market will open compared with the earlier days nearby. Others may take a gander at the cost of oil contracts or different wares to check whether cash can be made by supporting their wagers during the trading day.

You may expect these fates agreements or options markets are another complex monetary instrument that Wall Street masters made for their pretentious purposes, but you would be erroneous if you did. Indeed, options and fates contracts didn't begin on Wall Street by any means. These instruments follow their underlying foundations back many years - sometime before they started authoritatively trading in 1973.

Product Futures

A prospects contract empowers the holder to purchase or sell a specific amount of a product over a specific time period at a specific cost. Wares incorporate oil, corn, wheat, flammable gas, gold, potash, and numerous other vigorously exchanged resources. These subordinates are normally utilized by an expansive scope of market members going from Wall Street examiners to ranchers who need to guarantee steady benefits on their rural products.

The Japanese are credited with making the primary completely utilitarian items trade in