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How Does the Option Buying Power Work?
Education

A Focus on the Option Buying Power: What It Is and How It Works [Explained]

5 min read

If you are a trader, you must have certainly found the concept of option buying power on your broker's platform. This simple concept is the cash available in your account for options trading....

Pros and Cons of Trading Index Options
Education

The Basics of Index Options: An Overview for Beginners (Trading Indexes and Index-Based ETFs)

7 min read

Index options represent, by far, one of the most accessible ways for beginners to get broader market exposure. This article clarifies what index options are (meaning stock index options). Discover...

Put Ratio Spread
Education

An Essential Guide to the Put Ratio Spread (Example and Things to Know)

9 min read

We often tell you that one of the main advantages of options trading is that you can benefit from little or no movement in the underlying price. A put ratio spread offers this potential by buying...

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Research

Trading Earnings Events with Options - A Backtested Strategy

13 min read

After an earning event, stocks can experience a sudden price change depending on the way the market interprets the company's performance. This can be an opportunity for traders to capitalize on...

Education

Selecting Day Trading Options Strategies [Create a Trading Plan and Stick to It]

8 min read

Day trading options strategies represent, perhaps, the riskiest (and yet, most tempting) operations for traders eyeing quick profits. By exploring option day trading strategies and understanding...

spread option strategy types
Education

How to Use a Spread Option Strategy [Horizontal, Vertical, and Diagonal Spreads]

7 min read

One of the main advantages of options trading is that it can give you the chance to invest in an underlying asset at a reduced cost or with limited risk. The spread option strategy, including...

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