Options trading is often used to hedge stock positions, but traders can also use options to speculate on price movements. For example, a trader might hedge an existing bet made on the price increase ...

Options trading is the practice of buying or selling options contracts. Whether you buy or sell depends on how you think a stock will perform over a specific period of time. Many, or all, of the ...

Options trading can be one of the most lucrative ways to trade in the financial markets. Traders only have to put up a relatively small amount of money to take advantage of the power of options to ...

In options trading, assessing intrinsic and extrinsic value can help determine an option's price. Intrinsic value shows the profit from immediate exercise, while extrinsic value accounts for factors ...

A virtual options trading platform is an online service that allows investors to simulate trade options by offering tools and resources for analyzing market trends, strategizing trades and managing ...

Forbes contributors publish independent expert analyses and insights. Making wealth creation easy, accessible and transparent. A margin call happens when a broker demands an investor bring their ...

Options traders employ several trading strategies, but they all have the same objective: to make a profit. It’s possible to make money with options trading, and knowing how to calculate profitability ...

An option is a financial instrument whose value is tied to an underlying asset; this is known as a derivative. Instead of buying an asset, such as company stock, outright, an options contract allows ...