Who is options trading for?

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Who is Options Trading for? 1 Options Trading

Transcript of Who is options trading for?

Page 1: Who is options trading for?

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Who is Options Trading for?

Options Trading

Page 2: Who is options trading for?

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Interest in the options market is bigger than ever

Lately, I received quite a lot of emails asking who is options trading for. Options trading is usually new even to those who have already spent 10-20 years on the markets, and it has its purpose.

I may get a lot more emails regarding this question than earlier, because interest in the options market is bigger than ever. 

In the US market, the volume of options products steadily increases every year. Well, let's look at the reasons behind the rise and also, who this is for.

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Who is NOT suitable for Options Trading

Maybe we need to clarify first who is NOT suitable for Options Trading:

Daytraders are better off avoiding this market, options are not daytrading instruments,

if you like to sit in front of 5-15 minute charts all day, options market cannot help you much either,

if you are not sufficiently committed to continuous learning and development, I also do not recommend this market, because it is the most difficult of all the stock market products (but one of the most profitable instruments).

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Now, let's see who is options market for

If you have only 1-2 hours per day for trading, it is ideal for you, as options can be best used for swing strategies.

If you do not have tens of thousands of dollars to buy stocks, it is also ideal for you, because the suggested minimum capital to get started is $ 5,000.

If you are fed up with having to predict where the market will go - because options strategies make it possible to earn money without direction (trading strong levels).

If you are fed up with the fact that you never place the stop to the right level – namely because we do not use stop in options trading, yet we manage risk much better and control is totally in our hands.

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You can make money in max. two hours per day

The most important of all, is that the risk can be pre-defined without stop orders and you do not have to sit in front of the charts all day.It is enough if you analyze the market after work and you can make money in max. two hours per day. 

Obviously, you need more time at the learning stage, but if you get some routine in the world of options, 1-2 hours a day will be enough for it …