Many traders often start with the simple strategy of buying options. This is a comparatively safe investment approach relative to trading futures outright, and the general idea that the purchase of options limits downside risk to the option premium plus commission and fees is well understood by most. Confusion often arises, however, when trying to [...] - Read More
After the outright purchase or sale of an option, beginners may be a little confused over how the option transaction is recorded in the account statement, particularly from day to day. For instance, if a customer buys an option for $700, then they may expect their total account value to decrease by $700 plus commission [...] - Read More
The most commonly used tool of risk management among retail traders is the protective stop order. While useful, the protective stop order draws one pronounced criticism among traders, namely, that it results in a position being prematurely “stopped out”. In other words, prices move sharply through the stop price, thereby closing the position at a [...] - Read More
The weekly release is posted on Monday. Daily updates of the weekly release are posted Tuesday through Friday on this site. If Monday is a holiday, the weekly release will be posted on Tuesday after the holiday and the daily update will not be posted on that Tuesday. Click Here to review the report at [...] - Read More
Options on futures contracts have added a new dimension to futures trading. Like futures, options provide price protection against adverse price moves. - Read More