Options Trading Guide

An option is a contract in which the holder has the right (but not the obligation) to buy (in the case of a call option) or sell (in the case of a put option) a specified quantity of a security at a specific price (strike price) within a fixed period of time (until its expiration). For stock options, each contract covers 100 shares.

For the writer of the option, it represents an obligation to sell (in the case of a call option) or buy (in the case of a put option) the underlying security at the strike price.

One of the greatest aspects of options is that they enable you to profit in any market condition. However, to successfully achieve this, you will need to know how to employ the many trading strategies available.

To learn more about these options trading strategies without paying a single cent, visit this website: http://www.theoptionsguide.com

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