Options Strategies

Premium is the price that a trader buys or sells an options contract for. It is determined by a variety of factors, including: — The intrinsic value of the option. When an option is in the money, the intrinsic value is the difference between the market price of the underlying… Read More

Selling put options in your investment account is a great way to create a healthy level of income from your nest egg. The process is fairly simple. We start by selling a put option contract for a stock that we would like to own. This contract obligates us to buy… Read More

Selling put options in your investment account is a great way to create a healthy level of income from your nest egg. The process is fairly simple. We start by selling a put option contract for a stock that we would like to own. This contract obligates us to buy… Read More

Investors are getting nervous about the events going on in Washington as the government shutdown drags on. While we think that the shutdown is nothing more than “political theater” and should have no long-term effect on stock prices, the U.S. government’s most recent antics have nonetheless introduced an element of… Read More

Delta is one of the options “Greeks,” a group of values that describe the individual risk factors affecting the price of an options contract. Delta measures how much an option’s price should change if the value of the underlying security changes by $1. The values of delta will range from… Read More