Understanding Option Greeks and Dividends: Delta
One of the biggest mistakes new options traders make is buying a call option in order to try and pick a winner. After all, buying calls maps to the pattern you’re used to following as an equity trader: buy low, sell high, in that order. Options are trickier. Sometimes the underlying stock moves in the […]
Understanding Option Greeks and Dividends: An Introduction
In the options marketplace, the Greeks have zero to do with classic philosophers or toga parties (unless you're trading from the fraternity house). For option traders, the Greeks are a series of handy variables that help explain the various factors driving movement in options prices (also known as premiums). Many options traders mistakenly assume that […]
Understanding Dividends
Dividends (either in cash or in shares) are paid by many companies to its shareholders, most often on a quarterly basis. Why should options traders care about dividends? Dividends are part of the options pricing model, and so that alone makes them relevant. But the real answer is that dividends can impact option price movement […]
Buy Stocks Online Without the Need for a Traditional Broker
Thanks to the proliferation of smart technologies in recent years and a willingness on the part of authorities and exchanges to open their doors to technological integration, the role of the stock broker in the life of individual traders is not growing at the rate of self-directed investing (according to Forbes). Online trading platforms afford […]
Trading Options In An IRA
Interested in trading options in your individual retirement account (IRA)? You’ve come to the right place. Credence Global Bank Invest combines a powerful online trading platform with highly rated customer service and easy-to-understand options investing education for beginning and advanced traders alike. If you’re ready to start investing money for your retirement, your first move may be […]
Swing Trading Strategies
A guide to Swing Trading for bullish and bearish traders. Swing Trading is a short-term trading method that can be used when trading stocks and options. Whereas Day Trading positions last less than one day, Swing Trading positions typically last two to six days, but may last as long as two weeks. The goal of […]
Protective Put Strategy
You buy stock because you're bullish and expect the stock's price to go up. Since you're bullish, chances are you aren't too preoccupied with the downside. But as we all know, markets can shift quickly. Puts are a handy tool to help lock in profits on your existing positions in the event of a sudden […]
How To Trade Stocks and Options Online
The advent of online trading has opened a new world for investors. Trading stocks and options online can provide you a lot of flexibility at a lower overall cost compared to a traditional stock broker. In the past, the main way to research a stock was to try to squeeze the information out of your […]
Mutual Funds Tax Guide
What are mutual funds? A mutual fund is an investment company that pools money from many people and invests it in stocks, bonds, or other securities. Each investor owns shares, which represent a part of these holdings. Investors can buy shares (or portions) directly from the fund or through brokers, banks, financial planning professionals, or […]
Mutual Funds Tax Guide
What are mutual funds? A mutual fund is an investment company that pools money from many people and invests it in stocks, bonds, or other securities. Each investor owns shares, which represent a part of these holdings. Investors can buy shares (or portions) directly from the fund or through brokers, banks, financial planning professionals, or […]