Trading Options - Simplest Explanation from one beginner to another
After vieweing 20 videos and reading several articles, I finally managed to put together a diagram that explains buying calls and puts that hopefully another beginner can understand.
Comments
Option trading is so darn complicated - there are a lot of moving parts. Despite being a long term full time trader of emini futures and stocks I have never traded a single option contract- could not find any decent info on how to do it. Thanks for your nice video.
@Tammy B - Thanks for the OIC link. Just signed up.
finally, are you an option investor as well?
Thank you:)
Hi. Thanks for your video. I am an experienced option trader, and one thing your video doesn't say is that you are assuming that you are BUYING the options (calls or puts). So, your video is not exactly right in explaining options. I recommend that anyone who wants to learn can use these resources: Options Industry Council website (lots of FREE videos), Investools (paid education, but it is the best), and TastyTrade (free daily broadcast for more advanced traders, and some beginners.
Hi, Siegfried: I did a reply video for you on this question. It's called:
Options - What they are and how to research the strategies to use them
Thanks for commenting on my video. I hope this reply helps you with the research.
thank you for your attempt to help clarify this, however, i am a total idiot when it comes to understanding this stuff, could you breakdown exactly what a put is and a call is and how one makes $ using options as a strategy.
A picture is worth a 1000 words.
i guess this is good. however i'm still clueless
brilliant :D thank you chrissis, if you have any more tutorials would love to see them
Thanks for simplifying! Now, have you had any luck trading them? Before I "take the plunge", I want to hear from average, regular people.
THANK YOU lol
I'm a Finance student, (graduated) and I did an internship at a hedge fund here in chicago that trades heavily in options, your explanation was really good considering you dont seem to have a finance background. Great job ^_^