Cole Turner
What is Hedging? – Option Trading
Hedging is a strategy used by investors to reduce or eliminate the risk of holding one investment position by taking another investment position. Option contracts are a great tool to use to hedge against risks in underlying stocks. From this article, investors will gain the necessary knowledge to start using options as a hedging technique […]
What Are Options and How Can They Produce Big Gains?
Learn why options have the potential to bring big gains.
Using a Cash-Backed Call Option Strategy
A cash-backed call option, also known as a cash-secured call, is an option strategy where an investor buys a call option while setting aside enough cash to buy the stock at the strike price. A cash-secured call is used when an investor wants to purchase a long-term bullish stock at the price he is willing […]
Explaining What Weekly Options Are
Weekly options are option contracts that only exist for eight days, which differs from normal option contracts that exist for a month. Weekly options give option traders the opportunity to profit on a week to week basis rather than waiting to profit from month to month. By reading this article, investors will learn everything there […]
Understanding the Basic Differences of Futures and Options
Futures and options are financial contracts that exist between a buyer and seller of an underlying security. These financial contracts can be used by investors to generate a profit or hedge against a loss in an investing portfolio. By reading this article, investors will understand the key differences that separate futures and options from each […]
How an Option on Futures Can Lead to a Big Return on Investment
An option on a futures contract gives the buyer the right, but not the obligation, to buy or sell a futures contract at a strike price on or before an expiration date. Using an option on a futures contract is another tool investors can use to diversify and expand their investment portfolio. By reading this […]