One thing that I think is critical for any option trader whether they are an option seller or a buyer is a stop. Just like stock traders everyone who trades options should have a stop that tells them when to get out of a trade. There are a couple different ways you can go about placing a stop on an option. The first is placing a stop loss based on the price of the option … [Read more...]
Archives for January 2010
What are the Benefits of trading in a bears markets?
Everyone is concerned about the scenario of how terrible bears markets are. But there are many ways in which trading and especially learning to trade in a bears market can help you. 1. Stocks tend to go down faster then they go up. I know to most of you that does not seem like a good thing but think about this. If a stock is moving in either direction you can … [Read more...]
What are the Benefits of Fleet Insurance?
Fleet insurance is a type of insurance that will cover four or more vehicles under one policy. If you own a business or simply enjoying several different vehicles at one time, fleet insurance is definitely a type of insurance you should consider.This has many different benefits and can save many of the hassles that would arise from having different van insurance policies, or … [Read more...]
The Effects of Financial Leverage
Financial leverage is one of the best ways in which company increases its profit is through. Financial leverage uses debt instruments so that the anticipated level return on the company's equity would increase. The level of financial leverage of a certain company is determined by getting the total value of debt and the equity and the ratio of debt. The level of financial … [Read more...]
Dangers of naked puts
What a naked put option is? A put option gives the buyer the right to sell a given stock at a given price on or before a given date. It also gives the seller the obligation to buy the stock at the given price on or before the given date.Naked puts can be extremely dangerous strategies that can make one lose all of their money in the market in a very short time. However … [Read more...]