Option Samurai Blog
Learn. Trade. Profit.
What Happens When Options Expire in the Money? [Buyer and Seller Cases]
What happens when options expire in the money? And does it change depending on whether you’re a buyer or a seller? In this article, we look at what happens when options expire in the money for both...
What Happens to Options When a Stock Splits? [and When It Reverse Splits]
Stock splits can significantly affect options traders. What happens to options when a stock splits? How are contracts adjusted to maintain fairness? And how do reverse splits impact options...
What Happens to Options When a Company Is Acquired? Effects on Calls and Puts
As a trader, you will sometimes face particular challenges, like figuring out what happens to options when a company is acquired. This process can impact stock options (both calls and puts), at...
How to Make Money with Options in Different Market Scenarios
Making money with options is not easy (otherwise, everyone would do it), but this does not mean it’s impossible. The key lies in knowing how to make money with options in every scenario, knowing...
Is Options Trading Worth It? [Matching Strategies and Expectations]
The question "is options trading worth it?" sometimes pops up in online forums and discussions. For some, it’s a useful way to boost supplemental income with strategies like selling puts or calls....
Options Trading Basics [A Guide for New Traders]
If you've found yourself here, chances are you've come across discussions about options trading and its potential for profit—whether from someone you know or online conversations. This article...
Iron Condor Strategy: Making Money in Sideways Markets [Tips and Best Practice]
You may have heard that, unlike outright stock trading, buying and selling options can make you profit from a sideways market. This is, indeed, the case with the iron condor strategy, a popular...
Stop Loss on Options - A Practical Guide
One of the most common risk management strategies in trading is using a stop loss on whatever asset you have in your portfolio. Can you put a stop loss on options? And, if so, how do you set one...
Long Call Butterfly Strategy Explained [Trader Insights]
The long call butterfly strategy is one of the many ways to employ options to benefit from a sideways market. Coming with capped losses (and, sometimes, even no losses on either the upside or the...
Is Options Trading Gambling? A Close Look at the Facts
Is options trading gambling? We will answer this to explain why it isn’t. Unlike gambling, which relies on luck, options trading requires strategy, research, and risk management. But if you...