Subscribers to Chart of the Week received this commentary on Sunday, August 27. Last week, COO and fearless leader Katie Schaeffer was chatting with me about our latest product, In-the-Money Countdown ...

Learn what an option premium is, how it's priced, and why it matters in trading. Explore the factors influencing option value with clear examples.

As new traders flood the market, a return to the basics may help novices understand the fundamentals of options trading.

Picking the right options trading strategy for you will depend on what direction you think a stock’s price will go and your capacity to absorb losses. Buying an option, or “going long,” will have less ...

Options trading is the buying and selling of options contracts in the market, usually on a public exchange. Options are often the next level of security that new investors learn about following their ...

Lucas Downey is the co-founder of MAPsignals.com, and an Investopedia Academy instructor. Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market ...

Stock and options markets have both seen consistent increases in liquidity over the past 30 years as automation reduces costs, improves position hedging for professionals and expands accessibility to ...

In options trading, assessing intrinsic and extrinsic value can help determine an option's price. Intrinsic value shows the profit from immediate exercise, while extrinsic value accounts for factors ...

Before we get into the nuts and bolts of options trading, it's critical to start with a basic definition of options. These derivatives are contracts that allow the holder to buy or sell shares of the ...

Intrinsic value is the current worth of an option if exercised now; time value decreases as expiration nears. Theta measures the daily decrease in an option's time value as it approaches its ...

International investing offers Zimbabwean investors exciting opportunities, especially in large markets like the United States. Among various ways to invest, options trading has grown popular because ...

Figuring out taxes on your options trades can be complex, but there are legal ways to reduce what you owe. Successful investing in options can generate both income and capital gains. Once you’ve made ...