With some option strategies, it’s not clear if the strategy was designed to meet a need or to justify a clever name. That’s the case with the Twisted Sister. The opposite of the equally fanciful Jade Lizard, it is a short strangle plus a long put. It offers modest premium income with relatively little risk… [Read More]
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Category: Options
The fourth edition of Day Trading for Dummies is here
The fourth US edition of Day Trading For Dummies (For Dummies (Business & Personal Finance))is here, joining one edition each in Canada and Germany. It’s scary how popular Day Trading for Dummies is, to be honest, because most people should not day trade. If you do, you can dramatically increase your chances of success by… [Read More]
All About Employee Stock Options
Here’s some more information from Idiot’s Guides: Options Trading, on employee stock options. Employee stock options are a special class of options. They give the holders the right, but not the obligation, to buy shares of the company in the future at a price predetermined today. Companies often issue them as a form of incentive…. [Read More]
Option trading basics
My latest book is the Idiot’s Guides: Options Trading. Like so many pursuits, trading is something that requires practice and refinement. Options trading is as much about hedging as it is about speculation. The process matters. As much as you want to jump in and start making options work for you, you’re better off taking… [Read More]
The Late, Great Chicago Climate Exchange
I’m doing a lot of research on derivatives markets for the Complete Idiot’s Guide to Options Trading, and it is fascinating how many different derivatives products are out there on an almost endless number of underlying assets and securities. One of the great experiments was the Chicago Climate Exchange. The Chicago Climate Exchange was founded… [Read More]
