Following your trading plan and having the discipline to apply your edge consistently can be an edge in itself. Risk Management It’s not enough to have a great strategy if you overtrade or trade too large for your account balance. Trading is very much about surviving to trade another day,...
For instance, if VIX is at 15 today, and a one-month VIX futures contract is trading at 16, then the VIX futures market is in contango. Why is this a problem? Well, imagine that your goal is to always have a certain part of your portfolio invested in VIX futures. If the futures ...
What is day trading? In most cases, day trading is the purchasing and selling (or short selling and purchasing) of the same security on a single day within a margin account.1Day trading applies to virtually all securities—stocks, bonds, ETFs, and even options (calls and puts). Also, da...
Some folks trade to make quick cash in a matter of minutes or hours. When no positions are kept open after the end of the trading day, it is called day trading. Others hold onto assets for several days, weeks or even months (swing trading), and there are also those who keep positions...
Trade marketing promotes products through distributors and retailers to increase visibility and sales. This guide covers strategies and examples.
There's a lively and liquid market for futures contracts. We explain what futures are and how futures trading works.
XYZ is trading for $50 a share. Puts with a strike price of $50 can be sold for a $5 premium and expire in six months. In total, one put contract sells for $500 ($5 premium x 100 shares). The graph below shows the seller's profit or payoff on the put when the stock is at...
How does trade finance work? When trading beyond your home country, you’ll most likely find yourself in unfamiliar territory and risks in operating your business. These risks include risk of non-payment upon shipment of goods, uncertainty about the company’s creditworthiness, and exposure to var...
Options trade on a public exchange, and their price is affected by the ups and downs of the underlying stock. Here are the major terms to know when trading options:Underlying stock: The stock represented by the option. Each stock has its own distinct set of options. Strike price: The ...
How to Trade Options Many brokers today allow access to options trading for qualified customers. If you want access to options trading, you will have to be approved for both margin and options with your broker.12 Once approved, there are four basic things you can do with options: ...