6 Ways To Make Better Options Trades


When it comes to buying options, most traders focus on the premium paid rather than the potential returns. While this is important information in terms of making a calculated trade, many options traders tend to lose sight of the probability of the market reaching and exceeding its position's strike. The average monthly range of the market number provides perspective on two important elements of an options trade: whether volatility is expanding or contracting and whether the market has a chance of reaching and exceeding the breakeven point of the position. Read on to learn more.

You May Also Like

Related Articles
  1. Options & Futures

    Give Yourself More Options With Real Estate Options

  2. Trading Strategies

    How To Make The Most of Fibonacci Grids

  3. Mutual Funds & ETFs

    Will the Natural Gas ETF KOLD Stay Hot?

  4. Trading Strategies

    You'll Lose Profits Without This Trading Strategy

  5. Trading Strategies

    A Legendary Market Skill Experience Traders Have

  6. Trading Strategies

    Do You Have The Right Settings On Your Stochastic?

  7. Options & Futures

    The Future Is Now: All About Futures ETFs

Trading Center