In options trading, assessing intrinsic and extrinsic value can help determine an option's price. Intrinsic value shows the profit from immediate exercise, while extrinsic value accounts for factors ...

If you're new to options trading, you might be confused by the many terms, such as vertical options, straddles, and strangles. The following article will introduce you to each type and explain why ...

Options provide a different kind of opportunity than trading stocks directly. An option gives an investor the right to buy or sell a stock at a future date and at a predetermined price. Options give ...

Options traders employ several trading strategies, but they all have the same objective: to make a profit. It’s possible to make money with options trading, and knowing how to calculate profitability ...

Retail options trading exploded in 2020 as stimulus money flooded into the bank accounts of many retail investors stuck at home with little to do. As a result, certain stocks (especially the tech ...

Selling and buying options with zero days to expiration can be risky. There's a strategy for trading options that's generating quite a bit of buzz: trading an option contract with zero days to ...

Mention stock options to most individual investors and the response is likely to be either a look of fear or bewilderment. Stock options, after all, are thought to be for traders, for those who like ...

Day trading options is a popular strategy for traders who seek to take advantage of short-term market fluctuations. Options are financial derivatives that give the holder the right, but not the ...

When you purchase an options contract, you're purchasing the right to buy or sell a stock (or other security) at a set price. Many, or all, of the products featured on this page are from our ...

When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...

Options trading is the buying and selling of options contracts in the market, usually on a public exchange. Options are often the next level of security that new investors learn about following their ...

Your first assignment: decoding this important options term before you start trading. The options market can seem to have a language of its own. To the average investor, there are likely a number of ...