From there things have progressed rapidly. Encyclopedia article about option.
Option Object Properties
Whether you are a completely new trader or an experienced trader, you'll still need to master the basics. The goal of this section is to help lay the groundwork for your education with some simple, yet important lessons surrounding options. The business of trading full-time or professionally only requires 2 things; being consistent and persistent. In this bonus section we'll show you what it takes to make options trading an income machine.
This is how you learn make money trading in any market. When companies announce earnings each quarter we get a one-time volatility crush. And while most traders try to profit from a big move in either direction, you'll learn why selling options short-term is the best way to go.
Detailed look at some of our best trades broken down by date, time, price so you can follow along step by step and learn in the process. Everything from multiple iron condor adjustments to calendar rolls and earnings hedges.
When I say "portfolio risk management" some people automatically assume you need a Masters from MIT to understand the concept and strategies - that is NOT the case. But you do need to use simple checks and balances. Declining markets and higher IV gives traders like us an amazing opportunity to sell expensive options that decay in value.
Capital Goods Community Rating: Edit Symbol List Symbol Lookup. Go Now Clear List. Calls "Calls" is an option that gives the holder the right to buy the underlying asset. Last "Last Sale" is the most recent trade. Chg "Change" is the difference between a day's last trade and the previous day's last trade. Bid "Bid" is the price a potential buyer is willing to pay for a security.
Sometimes also used in the contect of takeovers where one corporation is bidding for trying to buy another corporation. In trading, we have the bid-ask spread which is the difference between what buyers are willing to pay and what sellers are asking for in terms of price. Ask "Ask" is the quoted ask, or the lowest price an investor will accept to sell a stock.
Practically speaking, this is the quoted offer at which an investor can buy shares of stock; also called the offer price. Vol "Volume" is the daily number of shares of a security that change hands between a buyer and a seller. Also known as volume traded.