Do 80% of Options Expire Worthless?
A common misunderstanding among new option traders is that 80% to 90% of all option contracts expire worthless, so a seller of option premium will have a higher win rate…
Risk Management For Options Trading
Here are five ways to effectively manage risk as an option trader: The first step in managing risk as an option trader is position sizing. When buying options the amount…
What Is Options Trading?
Options trading is when you buy and sell contracts that give you the right to purchase or sell a block of an underlying asset at a set price during a…
An Introduction On How To Trade Options
Option pricing is based on the current probabilities that the option will expire in-the-money. Option contract prices are determined using the Black-Scholes pricing model for time, volatility, and the distance…
Stock Options: Where Do You Start?
The forward written by Jeff Pierce for my new book “Show Me Your Options!” Steve Burns and I met by chance, however it was inevitable that we would bump…
