Articles, tagged with "maximum loss", page 1
14th October 2011
The importance of stop loss EA lies in its ability to help prevent excessive losses by automatically closing a trade once a preset level has been reached. The level of a stop loss is usually fixed at a price below the buying price once a trader places a b...
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Author:
Warren Seah
23rd June 2011
All option values are made up of two components; time value and intrinsic value. Intrinsic value is the in-the-money portion of option premium, and the left over portion represents time value. Options lose two-thirds of their time value in the last one-th...
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Author:
Options Trading IQ
23rd June 2011
Today, I want to talk about how to trade credit spreads, some of the risks involved and also how you can manage those risks. With this option strategy you are looking to make small monthly gains while avoiding any large losses. In order to avoid these big...
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Author:
Options Trading IQ
14th June 2011
No one will tell you what to do next, you have to plan for yourself, especially since there are no hard and fast rules for this business. Therefore, one needs to establish this plan. Think of it as a business plan. To succeed as a business, one must un...
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Author:
Ramon Ryan
19th April 2011
Binary options have gained an increasing share of the derivative market for those engaged in active forex, stock and commodity option trading in recent years.
In addition to providing a potentially valuable form of diversification and risk management t...
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Author:
binaryoptionsnow
10th March 2011
Stock news is important for those who believe in rising through investments, for those who swell their wallets with the profits registered in the world stock market. For playing just the right move needs one to be in completely informed state. One needs t...
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Author:
Sourav Sharma
12th January 2011
A spread is created when a long and short position is taken on a type of option. Calls are one type and puts are another. Thus you can only have a call spread or a put spread. Long and short calls and the same on puts. The idea on a spread is to profit on...
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Author:
Nick Hunter
09th November 2010
It is said that to win in the stock market, one has to earn more money than it loses. That is common sense and it is not hard to understand why. What is hard is to actually perform in such a manner. To be able to achieve that and make a living out of the ...
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Author:
Fernando Brinkerhoff
18th October 2010
Maintaining a low car insurance bill can be quite a challenge for novice drivers that are young and carry high premiums. Many insurance companies are dependable, but some are notorious for charging their clients for things that they did not request. Som...
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Author:
Todd Meyers
12th July 2010
When we talk about commercial insurance, there are two main types of cover, for liabilities and property. Certain types of business may choose to obtain cover for commercial liability insurance.
There are various reasons for this, for example a busine...
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Author:
Jack Brown
02nd July 2010
The bull put spread strategy is used when we thinks that the price of underlying asset will go up moderately in near term. If you think the price will rise a lot, I suggest don't use this strategy. There are better strategy for that condition. It is imple...
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Author:
ian
25th May 2010
Beginners ;)commit the identical problems once more and again in the Foreign exchange Dealing - as in the rest of also in all other markets - and diminish so their odds on long lasting accomplishment substantially. The two biggest mistakes lie in to fast ...
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Author:
Jasper Quinn
30th April 2010
Position sizing helps a trader to limit the amount of loses made in trading. Position sizing is the part of your investing strategy that helps you decide how much to place into any one investment, how many shares to buy and how much risk your portfolio wi...
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Author:
Titus Hardin
18th February 2010
In this article I will cover two important advantages that the Forex market offers to traders.
Daytrading with a small account
If you want to daytrade with stocks and you have less than $25.000 on the account, you are likely to have a hard life. The r...
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Author:
Bruce Shaw
22nd December 2009
A credit spread is an option trading strategy where you buy an option, call or put, at one strike price and simultaneously sell the same type of option at a different strike price, both with the same expiry month. The premium received from the sold option...
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Author:
Owen Trimball