Some of the market’s most rewarding opportunities can be found in small-cap stocks, many of them found on the Robinhood trading platform. Just over the last few years, for example: Fate Therapeutics soared from just $2.52 to $92 Digital Turbine jumped from about $2 to $68 TG Therapeutics rocketed from a low of about $3.45 […]

One of the best ways to boost your income is with a covered call. In this type of options strategy, you already hold a stock position. Then, you sell a call option on the same stock. Let’s say you held 200 shares of ABC. To then create a covered call, you would also sell two […]

For investors looking for stable, high-yielding income opportunities, consider BDCs, or business development companies. According to Kiplinger: BDCs are similar to their cousins, real estate investment trusts (REITs), in that both were creations of Congress to stimulate investment, and both benefit from preferential tax treatment. They pay no income taxes at the corporate level so long […]

Unsure, confused, and lost when it comes time to choose a brokerage, many folks simply choose the brokerage one with the hottest offer available at the time they’re looking. We’ve all been there. But it’s the wrong way to think. When it comes to choosing an online brokerage for your needs, there are quite a […]

Some of the best options trading opportunities can be found in wildly oversold stocks. Look at Activision Blizzard (ATVI), for example. ATVI gapped from a high of $91.40 to a low of $78 on fears of litigation and a potential Chinese crackdown on video games. To me, that pullback was overkill—especially at a time when […]

At some point, everyone makes mistakes when trading options—even the pros. However, as long as you’re aware of them, you’re less likely to repeat the same mistake over and over again, ad nauseum. Error No. 1: Not Having a plan One of the worst things any trader can do is trade without a plan. Without […]

Over the last few weeks, we’ve covered quite a few hot topics when it comes to options. In fact, we recently reported: Options 101: What is a Straddle? Why Options Trading Has Become Obscenely Popular What is the Option Chain? Options 101: Key Terminology All Traders Should Understand Today, we wanted to dive into three […]

You might think options trading requires you to commit to a decision about a stock up front: will the stock rise, or will it fall? But it is possible trade options even when you don’t know what direction the stock will ultimately move. A straddle is a way for you to you to play both […]

In fact, according to The Economist, in 2020 about 30 million equity options were trading every day—50% higher than 2019. And so far in 2021, notes the Option Clearing Corporation (OCC), options volume is up to 39.2 million a day. While simple call and put buying is popular, traders are also turning to covered calls, […]

New options traders ask, “what are option Greeks?” Option Greeks are different factors affecting options contract prices. Option Greeks include: Delta (Δ) tells us how much an option price will move for every $1 gain in stock Gamma (Γ) tells us how much the delta can increase every time the stock moves Theta (Θ) is […]