Option trading can deliver tremendous profits, but the flip side of those gains is the potential for tremendous losses, since option trading is a zero-sum game. Those who are just getting started with ...

For investors hoping to juice up the income from their stock holdings or preserve capital, covered calls could be an effective and relatively low-risk way to accomplish those goals. In its most basic ...

Picking the right options trading strategy for you will depend on what direction you think a stock’s price will go and your capacity to absorb losses. Buying an option, or “going long,” will have less ...

Options straddles and options strangles are two advanced options strategies that can be used to capitalize on changes in implied volatility (IV) and stock price volatility. Options straddles and ...

Seasonality suggests that the bullish price action we’ve seen lately is likely to continue into the last week of July. That sets us up perfectly for a low-risk, high-reward option play. The trade in ...

Trading options can be a complicated process. Information overload among the uninitiated is prevalent, as a lot of options strategies are available and traders need to evaluate all of the possible ...

A snapshot of the top strategies to make money from a highly volatile market Heading into the new year, traders expecting more volatile markets may want to refresh their approach. Discover the top ...

We’ve talked before about how exchange-traded funds (ETFs) represent an efficient tool for gaining quick access to different types of assets or investment exposures. We’ve also discussed how options ...

Peter Gratton, Ph.D., is a New Orleans-based editor and professor with over 20 years of experience in investing, risk management, and public policy. Peter began covering markets at Multex (Reuters) ...