Test your options knowledge.
Means you have a forecast and a time frame for ticker ABC to move to point X in Y period of time and take action with either stocks, futures, or options
Is treated in theory and practice in Option Wizard® Trading Method
Often, but not always, offers the best rewards.
All of the above
Are derivatives of an option that tell you more about it's likely movement
Include delta, gamma, vega, theta, rho
Are in what pundits call the PIIGS, a group of debt-ridden nations that teeter on the brink of default: Portugal, Italy, Ireland, Greece, Spain
All of the above
Can predict the price of an option as the underlying moves out in time
Can predict the price of an option as volatility goes up or down
Helps determine entry and exit points
All of the above
True
False
Means you have no forecast, you just want to make money from options
Means you expect range-bound trade, and position accordingly.
Is the best way to go for all times, all seasons
Condors
Butterflies
Calendars
Double diagonals
All of the above
Bringing your delta to zero by adding puts or calls in any combination
Closing your position when it hits a pre-defined maximum loss point
Changing your risk curve according to your re-assessment of the market
Making money more often than not
Losing money -- but very rarely.
Butterfly
Condor
Iron condor
Long call debit spread
Long put debit spread
Short call credit spread
Short put credit spread
There is no single most profitable options strategy.
20% of the time
All the time, you just have to be able to see it
About half the time
50%
68%
75%
Sell it as fast as you can type the order or tweak your mobile app
Investigate the cause of the aberration, e.g. news pending, etc. then consider a strategy.
Buy it, it's high for a good reason, the market knows even if you don't.
Are a waste of time and money, you can learn from a book
Offer solid training in risk management, timely insights, and sometimes a community of traders to tap into
Usually give out recommendations that are good to fade.
Are almost always smarter than their students, in addition to having more experience.