We would like to invite you to join us in the launch of Option Posts! In this post we would like to welcome you to our site and your one stop shop for options trading education. As with any education, you would like to know who is educating you so here’s a little bit about […]
Read More
One seemingly profitable trading strategy is dividend capture.Here, an investor focuses on buying stocks just before the stock’s ex-dividend date in order to collect the dividend payment and quickly selling the stock afterwards.This seems like an almost risk-free strategy because you are only holding the shares of stock for a short period of time, while […]
Read More
Newer options traders often ask, “What stocks should I watch?”. There are in fact over a 1,000 publicly traded companies on which you could keep tabs, but in this article we’re going to talk about the few futures markets you should watch. You don’t have to actually trade futures contracts, but these specific futures markets […]
Read More
Many Wall Street professionals will tell you that they can predict future stock market shifts. They might claim to use complex algorithms or advanced technical indicators to determine future stock prices. While they may be right occasionally, we believe that such prediction is fundamentally an act of guesswork, and that it is in fact impossible […]
Read More
Investors are always looking for tips to help improve their options trading results. We are no different, so we created a list of 54 tips for options traders. Trading options the right way allows you to have a high probability of success, which leads to consistent trading profits. In fact, we can construct options trades […]
Read MoreGetting Started , Option Posts Insights
In this article, we’ll discuss the benefits of trading options over stocks. Most people are familiar with stocks as the traditional investment vehicle. Because of their simplicity, stocks are where the majority of self-directed investors focus their time and energy. However, once you break the learning curve, options trading offers a few key benefits over […]
Read MoreGetting Started , Option Posts Insights
A commonly quoted statistic is that only the top 10% of traders are ever successful. If you’ve started trading options with little success, rest assured: you have come to the right place. Here at Option Posts, we believe that trading is a skill that can be taught to anyone willing to learn. Taking the time […]
Read More
Options are classified as In-the-Money (ITM), Out-Of-The-Money (OTM), and At-The-Money (ATM), three categories which describe the position of the option strike price relative to the current stock price. These categories are called option “moneyness.” Let’s take a look at these moneyness categories with examples. In-the-money (ITM) An option contract is said to be in-the-money when […]
Read MoreGetting Started , Option Mechanics , Option Posts Insights
Options trading is unique in that options contracts expire at a specific point in the future; this time component makes them fundamentally different from other kinds of trading. However, timing can be a tough aspect for new traders to understand. For any one stock’s options, you can choose from many different expirations, ranging from a […]
Read MoreGetting Started , Option Posts Insights
Option profit/loss diagrams visually represent an option strategy’s profits or losses as the different inputs into the pricing model change. As you dive deeper into more complex options strategies with multiple buying and selling options, these diagrams will be the key to seeing how to profit from time decay and volatility (factors unrelated to stock […]
Read MoreGetting Started , Option Posts Insights
Every successful business has some advantage over its competitors, and the options trading business is no exception. In this post, we’ll explain our edge in options trading; understanding our strategy is one of the most important steps you can take towards becoming a successful options trader. Since successful options traders operate a lot like insurance […]
Read More