In times of market downturns, option trading during down markets can offer several advantages. Firstly, it allows investors to hedge against potential losses by leveraging the flexibility and strategic nature of options. Unlike traditional stock trading, options provide the right but not the obligation to buy or sell assets at a predetermined price, offering a…
Options
Information on options.
Cash Secured Puts vs. Cash Secured Calls: Best Strategies Compared
When it comes to options trading, two popular strategies that investors often use are cash-secured puts and cash-secured calls. Both strategies involve selling options contracts and having enough cash in the account to fulfill the obligations of the contracts. Understanding the differences between cash-secured puts and cash-secured calls can help investors make informed decisions when…