Tag: options
Option Premium – Everything You Need to Know
An option premium is the price paid by the buyer to the seller for an option contract. Premiums...
LEAPS Options – What Are They?
LEAPS, or long-term equity anticipation securities, are publicly traded option contracts with expiration dates that are longer than...
Options Trading for Beginners – The 3 Basic Things to Learn How to Trade
This is a guide that helps you get started with options trading.
How to Value an Option?
The value of an option, also known as the option premium, is the price paid by the buyer...
What Are VIX Options? – And How to Trade Them
A VIX option is a non-equity option that uses the CBOE Volatility Index as its underlying asset. It...
What Is the CBOE Volatility Index (VIX) and Why It’s Important to Option Traders
The CBOE Volatility Index, or VIX, is an index that shows the stock market’s expected 30-day volatility. It...
The Collar Option Strategy – What Is It?
The collar option strategy involves holding shares of the underlying stock while simultaneously buying an “out-of-the-money” put option...
Expiration Date – Options Trading
The expiration date of an options contract is the last day at which the buyer may exercise his...
American vs European Options – The Similarities and Differences
Options can be divided into two broad categories: American-style options and European-style options. These two types of options...
Bull Call Spread and Bull Put Spread – Option Trading Strategies
The bull call spread and the bull put spread are option strategies used when an investor expects the...