Buying Stocks at a Discount by Selling Put Options

Did you know you can by stocks like Apple (AAPL), Google (GOOG) and Microsoft (MSFT) at a discount? You can by selling put options on the stock you want to own.

How Mergers and Acquisitions Affect Stock Prices

This article and video will explain why stock prices move the way the do before a merger is completed but after it has been announced.

How to Use Option Collars to Protect Your Stock

Protective puts combined with covered calls are a strategy called a collar that can be used by traders who need to limit their risk.

Reducing Time-Value Erosion by Adding a Credit Spread

Time value erosion is a big problem for option traders. In some cases it makes sense to add a credit spread to the position to limit that disadvantage.

Understanding Put Options

Using puts, it is possible to invest and benefit from declines in the stock market or in individual stocks – without ever owning them. We show you the process for analyzing a potential put candidate and walk you through how to purchase a put.

Profiting from Rising or Falling Bonds

Knowing how to profit from a decline in bonds can protect against inflation and other risks when included in a well diversified portfolio.

Projecting Call and Put Options Prices

Call and put options don’t move independent of each other. In many ways, they are two sides of the same coin.

Option Trading Strategy – Short Straddles

Sometimes traders evaluating a straddle feel like the barriers are so far away, that there is just no way that this trade could become profitable in the timeframe they have given it. It’s a fair objection and if you feel this way, or can’t find stocks or indexes that are likely to move outside the … Continued

Option Trading Strategy – Long Straddles

Options investors have a unique ability to profit in the market no matter which direction it moves. A straddle is one of strategy for making money outside a bull market. These trades are market neutral, have an extremely low probability of maximum loss and pay big returns when the market moves a lot. [VIDEO] Option … Continued

How to Position Size an Option Trade

Learn how much money you should invest per option trade. This article answers the question for short and long options as well as covered calls.