Publisher's Synopsis
Options are conditional derivative contracts that allow buyers of the contracts (option holders) to buy or sell a security at a chosen price. Option buyers are charged an amount called a "premium" by the sellers for such a right. Should market prices be unfavorable for option holders, they will let the option expire worthless, thus ensuring the losses are not higher than the premium. In contrast, option sellers (option writers) assume greater risk than the option buyers, which is why they demand this premium.
This book will enlighten you on the benefits and risks of trading options, as well as the determinants of option pricing.
The book enriches you with an in-depth understanding of Call Option, Put Option, Strike Price, Expiration Date, and Option Premium.
The content of this book includes:
-Basics of options
-Four basic legs in options trading
-Key option concept
-Options trading strategies
-Options risk metrics: the greeks
-Advantages and risk of options trading
-Binary options
-Difference between binary options trading and real options trading
-Things to remember before stepping into options trading
-Stock option alternatives
-And much more