Not new to trading – but am new to option.
Can anyone share a link to information where I can learn about it? Maybe some tips that helped you understand?
I want to be able to make informed decisions when placing options – otherwise I might as well be gambling.
Also – if anyone has a step by step process they have for options trading / evasaluation that would be good too.
Thanks!
Posted by BitOCindyNTexasP
6 Comments
I use projectfinance and SMB Capital on youtube. Their explanations on a beginner level are in my opinion very easy to understand.
https://www.amazon.com/Options-Futures-Other-Derivatives-11th/dp/939297096X
depends how deep you want to go, I personally just want to understand everything as much as possible so I go a little deeper than most do
most may disagree, but if you truly want to not be gambling with options you need to have a fundamental understanding of volatility and the pricing of options
this requires a lot of work and is close to a full time job
[https://www.youtube.com/@QuantGuild](https://www.youtube.com/@QuantGuild) has courses you can take, it is math heavy but some of his videos can break down the important concepts of volatility without going too deep into the math
Another comment to add to my last, this book is considered a bible for beginning the journey
[https://www.amazon.com/Option-Volatility-Pricing-Strategies-Techniques/dp/0071818774](https://www.amazon.com/Option-Volatility-Pricing-Strategies-Techniques/dp/0071818774)
I just like doing CSP’s. Every once in a while CC’s I’m good with that. I just look at a naked 1 week,1month, and 3month chart. 95% of the time I pick stocks with weekly options. I pick a few stocks in the share price range I want. Then check their financials, any news articles, then Reddit forms, just to see how active they are. Next I check premiums on the CSP’s and pick the one that makes the most sense in how much capital do I need VS how much I get in premiums.
I used this free course: [https://learn.tastylive.com/courses/beginner-options-course](https://learn.tastylive.com/courses/beginner-options-course)