Query about options terminology

[Domasanec]

I would also suggest this book by Guy Bower "Options: A Complete Guide for Investors & Traders" - available through the ASF bookshop: http://www.moneybags.com.au/default.asp?d=0&t=1&id=4601&c=0&a=74

Guy Bower is an Australian author and so it is geared more to the Aussie market. I feel it's a bit easier to read than McMillan for a beginner.

The ASX website also has a fair bit of information and some free education - here are some links to check it out:

an audio presentation: http://www.asx.com.au/programs/vignettes/lesson4.html

general optons info: http://www.asx.com.au/products/options/getting_started/what_are_etos.htm

option strategy library: http://www.asx.com.au/products/options/how/library/index.htm

40 page PDF on "Understanding Options": http://www.asx.com.au/markets/pdf/UnderstandingOptions.pdf

General Trading Information: http://www.asx.com.au/products/options/trading_information/index.htm

FREE ONLINE COURSE: http://www.asx.com.au/resources/education/classes/online.htm#options

That will give you a bit more to read and hopefully help you understand Aussie options (there are some differences to US options).

While I have done an options course - it didn't teach me much more than the basic strategies that are all contained in the links from Wayne and the ones above. The course was a waste of money in my opinion.

I learned the best lessons in options trading from scouring free stuff on the web and then an exceptional amount of time back testing, forward testing and live testing with both paper trades and small positions.

Happy reading!

Good luck!

Thank you very much for this. I have downloaded brochures from 888 and will have a look. One brochuse has had all about open/close and short/long so yes. I get quiet for a while and get into my hummack and start reading. THINKING IN OPPOSITES is tricky.

Thanks again.

 

[mazzatelli1000]

I did have a look the 888 = VERY HELPFUL. Thank you

It sounds like you have been bamboozled by some BS artists, hence your casino analogy

I strongly recommend the book WayneL has recommended. If anything there are a couple of books to read after that.

Do not worry about execution yet, because from your posts it sounds like you havent got any theory down pat.

I am not putting you down, but can recall when I was first introduced to options I sounded alot like you...............

 

[Domasanec]

It sounds like you have been bamboozled by some BS artists, hence your casino analogy

I strongly recommend the book WayneL has recommended. If anything there are a couple of books to read after that.

Do not worry about execution yet, because from your posts it sounds like you havent got any theory down pat.

I am not putting you down, but can recall when I was first introduced to options I sounded alot like you...............
Saw money signs with covered calls...quite foolish in hindsight

I have been trading shares for a long time as a long term blue chip investor. Typical having blue chip portfolio and collecting dividends and seeking capital gains. Becasue it was a long time since I have shares the 3years loss in capital gains currently in the market does not worry me a bit. It is like having house fully paid. I was always ignoring OPTIONS and I think it is time to buy the bullet and get into sacking and learning it ALL becasue they are great benefits. However my main capital game is real estate.

I will buy the book.
Thank you