Cole Turner
The Market for Options – Everything You Need to Know
Learn how stock options could potentially bring you additional profits.
The Market Makers for Options – Who are They?
An options market maker is an individual, or a large financial institution, that has a contractual relationship with an exchange, such as the Chicago Board Options Exchange. Market makers ensure a certain level of liquidity in the options market to keep trading running efficiently. It is not necessary to understand what market makers do if […]
What It Means to be ‘in-the-Money’ – Options Trading
The investment term “in-the-money” refers to an option contract that is worth exercising because it has value. A call option is “in-the-money” when the market price of the underlying security is above the strike price. A put option is “in-the-money” when the market price of the underlying security is below the strike price. It is […]
What It Means to be ‘out-of-the-Money’ – Options Trading
An “out-of-the-money” option is worthless to a buyer if it expires. A call option is “out-of-the-money” when the market price of the underlying security is below the strike price. A put option is “out-of-the-money” when the market price of the underlying security is above the strike price. It is important to understand that an “out-of-the-money” […]
Forex (FX) Options Trading – How to Profit from Currency Options
A foreign exchange option, also known as an FX option or a currency option, is a contract that grants the buyer the right, but not the obligation, to buy or sell currency at a specified exchange rate on or before an expiration date. Currency options give corporations, financial institutions, and individuals the opportunity to limit […]
Straddle – Everything to Know About This Options Strategy
A straddle is an options strategy where an investor simultaneously buys a call and put with the same strike price and expiration date for the same underlying stock. A straddle is an effective strategy to use when an investor expects an underlying security to have significant volatility in the near future. By reading this article, […]