The Actions
For a return that is achieved more important with stock options if the transaction moves in my favor than with the actions? , because I when I buy a call option does not pay the total value of the stock if not that I only pay a premium to have the right to buy the x price action, and this premium which we pay for the contract increases value if the action rises in the case of a call. Now I will try the reverse situation as we win money in bear markets, a case is when there is a crisis, we in this case dog contracts the action of a company puts as much as we do not have the actions of that company, and we sell contracts puts when the action associated with lower price, example if XYZ stock falls 50 dollars to 45 dollars, while lowering the action is 10% in this case, if we had bought contracts that action puts when stock was at $50 and we sell them when this action at 45 dollars could perfectly obtained a profit of 80% or 100% on what we invest, this depending on the put contract. Why have investors that market bassists like them because they make money just like when they are upside and even earn more already than the markets bearish move way more accelerated. Source: Bobby Meacham. Of course just like the actions must know how to operate them because if you can not incurring losses and in this case the options losses can be many older, is a double-edged weapon, but if we have a good strategy we can grow our investment capital very fast, perfectly annual returns can be obtained percentage of 3-digit on our capital.Investors who have a good strategy with options perfectly achieved yields of 200% per year or more, that if they operate with actions not achieve over 40% per year or 50% per year. In summary we can buy options to make sure we buy x stock price during a certain period of time (call option) or to make a certain price (Put option) can also buy only options to speculate with the rise or fall in the action and earn money operating only options. .
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