How do you benefit from Options Delta

Today, we are going to look at the Greek parameter Option Delta. Traders use options Delta in several ways. Learn how to benefit from Option Delta. Delta values can be positive or negative depending on the type of option. The delta for a call option ranges from 0 to 1. When the underlying asset increases in price, call options increase in price. Put […]

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High Probability Trading

Many traders go around searching for that one perfect trading strategy that works all the time in the market. Frequently, they will complain that a strategy doesn’t work. Few people understand that successful trading of the market entails the application of High Probability Trading with proper risk and money management strategy. The decision to take control of your financial future […]

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Index Options Settlement Explained

  Traders who sell options for premium have to regard Options Settlement. The process of Options settlement can be somewhat confusing. We will describe the process of Monthly Options settlement. We disregard weekly Options because they expire at the close of every Friday. There is a difference between American style and European style options. There are two baskets, Major Indices […]

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The Importance Of Diversification

Diversification is a technique that reduces risk by allocating investments among various financial instruments, industries and other categories. It aims to maximize return by investing in different areas that would each react differently to the same event. Most investment professionals agree that, although it does not guarantee against loss, diversification is the most important component of reaching long-range financial goals […]

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Know when to take Profits

  When you start with trading, you often will hear a number of pearls of wisdom. Keep your losses small, let your winners run, no one ever went broke taking profits. You can keep your losses small at order entry. It is possible to select defined risk trades and you do not trading too many contracts. It is not a […]

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Options Optimal Position Size

Select the risk you like Option Position Size is important in the risk you take with trading. Especially when you sell options for premium. Depending on your capital in your portfolio your trading style could be different. With much capital you can afford to take on more risk. With a small capital on the other end you want to be very […]

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