Tweet By Chris Ebert One of the most confusing things that stock traders are likely to encounter in the options market is that options offer more than one right answer. There are usually several different ways of earning a profit with options, whereas there is only one way to earn a profit on a stock […]

Tweet By Chris Ebert In last week’s Option Update the Featured Option Trade was a naked call. The most significant disadvantage of a naked call is that potential losses are theoretically unlimited. While the risk of a limitless loss is not something a trader should ignore, that risk needs to be evaluated in context in […]

Tweet By Chris Ebert No matter how the stock market is behaving there are almost always ways to profit using options. The trick is to know which option strategy is most likely to return the highest risk/reward profile in the current market. Not every strategy works in every market, and the following charts of this […]