Level: Intermediate
Understand a few of the popular option strategies, plus how to define long calls and puts, covered calls and puts, and short puts. For each of the popular option strategies discussed, determine the: Market Outlook, Volatility View, Profit Potential and Loss Potential. Examine how to practically construct these basic option strategies using an online trading platform.
Lesson: #1
Basic Option Strategies Overview
Overview of the Basic Options Strategies module which introduces topics such as how to use options for bull and bear market outlooks.
Lesson: #2
Bull Market – Long Call
An investor might use a long call option position when the share price or market is expected to rise.
Lesson: #3
Practical Usage – Bull Market – Long Call
Lesson: #4
Bull Market – Short Put
An investor might use a short put option position when the share price or market is expected to rise.
Lesson: #5
Practical Usage – Bull Market – Short Put
Lesson: #6
Bull Market – Covered Call
An investor might be bullish on the outlook for a stock, but may wish to generate income by standing ready to have the stock called away using the covered call strategy.
Lesson: #7
Practical Usage – Bull Market – Covered Call
Create a covered call in Trader Workstation (TWS) using Strategy Builder.
Lesson: #8
Bear Market – Long Put
An investor might use a long put option position when the share price or market is expected to decline.
Lesson: #9
Practical Usage – Bear Market – Long Put
Lesson: #10
Bear Market – Covered Put
An investor might be bearish on the outlook for a stock, but may wish to generate income by standing ready to have the stock put to him using the covered put strategy.
Lesson: #11
Practical Usage – Bear Market – Covered Put
Create a covered put in Trader Workstation (TWS) using Strategy Builder.
