Did anyone play option trader here ?? I'd like to study about it but i really don't understand of it... Did forex, option and stock exchange are the same ?? What make it difference ?? And what must i do to start learning ?? And did option is a gambling or not ?? Thanks for the information...
I don't know anything about Option but the difference between forex and stocks is that stocks are for companies and forex is currency between nations. I am currently studying forex trading so I recommend you look Babypips.com It has a whole course set up for beginners. Its under school on their website, it starts out with the very very basics so that would be good for you.
Options are just what the word implies, You buy an option for a stock to either rise or fall, they are called call and put options. Options are generally 100 shares of a given stock, so 2 options are 200 shares. An option gives you the right but not the obligation to either buy or sell a stock and they all have expiration dates. Lets say you bought a call (an up or long option)option for $400 (at a price lower or equal to the current price) and by the expiration date, the stock had gone up past your target price, then you have the option to buy the stock at the option price and then resell it at the current price and make a profit, if it doesn't go up and goes down then you have lost only what you paid for the option as the option expires worthless. Puts work just the opposite. Its not for beginners.
So, it's too danger for a beginner to play this.. Is this a gambling play or not ?? Thanks for the information
I am a trader and trade in BSE and NSE Indian market . Option are very risky and like you are making prediction for future , if they worked than you can get 100% profit or more than that too , but if they goes wrongs than money becomes zero also . I love option trading . donlin I don't think that it is gambling , i started few month back with RS 25k in options and now my portfolio is wort 4lakh with in 5 months which is good . If you have right knowledge and good experience than you can mint good money from trading , i don't have so much knowledge but my broker is 99% accurate .
Did we need to have much money to start playing this ?? How much we need to spend for the first time ??