Basics of options trading.
What Is Options Trading? Options trading is a lot different from investment or mutual funds, but it can come with real advantages and disadvantage for investors. But what is options trading? In this article, we'll take a look at what is option trading? Options trading is the trading of instruments that give you the right to buy or sell a specific security on a specific date at a specific price. The Different Types of Options: Calls: When the price of particular stock going up you got profit. Puts: When the price of particular stock going down you got profit. Vice varsa. The Different Types of Option Traders: Options buyers: They are the person who buy an option like call buyers & put buyers. Options seller: They are selling options. Note:In stock market option seller are more profitable 67% and option buyers are only 33%. Advantages and Risks of Trading Options: Like others investment options trading also have benifit and drawbacks. Benifits: . smaller amo...