Bear Put Spread
An options strategy used for anticipated decline in the price of the underlying asset. Investors purchase put options at a specific strike price while also selling the same number of puts at a lower strike price. The difference between the two strike prices, minus the net cost of the options is equal to the maximum profit to be gained. var hupso_services_t=new More...
Bear Call Spread
A type of options strategy used when a decline in price for the underlying asset is predicted. This occurs by selling call options at a certain strike price while simultaneously buying the same number of calls at More...
Turtle Trading Strategy
The Turtle Trading Strategy originated with commodity trader Richard Dennis. In conversations with his partner, William Eckhardt, Dennis contested that beginning traders could be trained to trade well by following More...
Williams Percent Range Indicator Strategy (Williams %R)
The Williams Percent Range (Williams %R) is classified as an oscillator that indicates to forex traders if the market is either overbought (the 0 to -20% range) or oversold (the -80 to -100% range). If the Williams More...
Long Straddle
Strangle (long): A long strangle is a strategy, similar to a long straddle, that an investor might employ if they believe that an underlying asset will be particularly volatile. Like the straddle, the long strangle More...
Long Straddle
A long straddle is a strategy that enables the holder of an option to make a profit based on the movement of the underlying asset, regardless of the direction of that movement. To employ a long straddle strategy, More...
Transactions Cost & Slippage
As in any industry that involves agents with specialized skills and licenses, there are transaction costs in trading. These transaction costs include fees and commissions that must be paid to banks and brokers for More...
Specialist
A specialist is a member of an exchange who is responsible for facilitating the trading of a particular stock by holding an inventory of the stock, displaying the best bid and ask prices for their stock, managing More...
Risk
Risk in trading is the probability that an investment will lose money. While high-risk investments can sound intimidating for beginning investors, they can reap very high rewards for the knowledgeable and experienced More...
Put Ratio Spread
A put ratio spread is a limited profitability, unlimited risk strategy that is often undertaken when the investor believes that the stock will have low volatility. A put ratio spread means buying a number of options More...
