Options are short-term securities. The expiration date for most options can range from a few days to a few months. So, investors must make a decision towards the end of the options contract. If you ...

Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Gordon Scott has been an active investor and technical analyst or 20+ years. He ...

Stock options are contracts that give the holder the right, but not the obligation, to buy or sell a specific number of shares of a company's stock at a predetermined price within a set time period.

In the financial world, options come in one of two flavors: calls and puts. The way that calls and puts function is actually fairly simple. Call options grant buyers the right, not obligation, to ...

Most frequently the underlying investment on which an option is based is the equity shares in a publicly listed company. Options are contracts through which a seller gives a buyer the right, but not ...

Options on futures are a kind of contract that gives an investor the right to buy or sell futures at a specific price in a specific period. Options on futures, therefore, layer the "optionality" of ...

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In options trading, a "strangle" refers to an options position that consists of both a call and a put option on the same underlying stock, with the contracts having identical expirations but differing ...

Before we get into the nuts and bolts of options trading, it's critical to start with a basic definition of options. These derivatives are contracts that allow the holder to buy or sell shares of the ...

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Option margin is the collateral (cash or securities) an investor must deposit before writing or selling options ...

Rolling Options Up: Some investors elect to roll their options up when the market is bullish and they expect prices to continue climbing. To do this, they sell their current options contract and use ...