How to Make Between $500 and $1000 Per Day Trading Options

Trading the Share Market has created more wealth around the world than almost any other industry on the planet over the last 100 years or so. The simplest and easiest way is to buy a stock at a low price and sell it at a higher price some time in the future. This is done by hundreds of thousands of people every single day.

Another lesser known way of making money on the stock market is trading options. The potential return on your investment is much greater, but also are the risks of losing. However experienced options traders have learned how to minimize the risk while maximizing the return.

Essentially, selling and buying and option in a certain stock in the market gives the buyer or seller the right, but not the obligation to buy or sell a stock at a certain price sometime in the future.

Example: XYZ share is trading at $ 50 per share.

You can buy a put option in that share for $ 49 that expires in 1 months time. If the share price falls below $ 49 before or once the month has ended, you can sell the share at $ 49, regardless of what the price is. Essentially, you are insuring your share for $ 49. Even if the price of that share falls to $ 1, you can still sell it for $ 49.

Conversely if you buy XYZ share at $ 50, you can sell a call option at $ 51. Because you have sold the option, you will receive a premium (usually a fraction of the share price, i.e $ 0.50) You keep that premium no matter what happens. The share price can go up, down or sideways, and you still keep the premium. If the share price goes above $ 51, you must sell it for $ 51 after the month expires. However, you bought it for $ 50, made $ 0.50 in premiums, and $ 1 in capital gain. Therefore you just made $ 1.50 even though the share price only increased by $ 1.

That’s the power of leverage.

This is only the tip of the iceberg of the power of options.

There are two Australian companies who have created an amazing opportunity for share and option traders with second to none training and proof of results for all to see. Both have members from all over the world and trade in stock markets from around the globe, whilst always maximizing returns and minimizing risk.

For more information on what they offer check out the links below. You wont be disappointed.