Learn the basics of options trading, what calls and puts are, how options work, and strategies to hedge or speculate with practical examples for beginners.

Option pricing is calculated using the Black-Scholes model, which takes four influential factors into account: the price of an underlying stock (assuming constant drift and volatility), an option’s ...

Options trading can be one of the most lucrative ways to trade in the financial markets. Traders only have to put up a relatively small amount of money to take advantage of the power of options to ...

The strike price is the price at which a put or call option can be exercised. It's also known as the exercise price. Picking the strike price is one of three key decisions an investor must make when ...

As new traders flood the market, a return to the fundamentals may help beginners understand the fundamentals of options trading. To better assist them, we are exploring how weekly and monthly options ...