In today’s episode, I want to cover Put options. And the reason is because I want to clear up a few things when it comes to trading Put options.
To begin, let’s review the definitions of a Put Option Contract.
A Put options gives the buyer the right, but not the obligation to sell a security or ETF at a specified price on or before the expiration date.
When a trader sells a Put option, they are now obligated to buy shares of a security or ETF at a specified price on or before the expiration date.
It’s important to understand the distinction between buying and selling an option because the risk parameters change significantly.
Be sure to head over to:
www.optionswealthacademy.com for the blog post on this episode.
Having a plan before you enter into a trade and risk a single dollar is one of the most critical steps in successfully trading in the stock market.
Don't wait for trade alerts. Know what you are doing it and why you are doing before you enter the trade.
To learn more, visit www.optionswealthacademy.com
