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The Advantages and Disadvantages of Options Trading

The Advantages and Disadvantages of Options Trading

July 26, 2017

Table of Contents1 The Advantages and Disadvantages of Options Trading:1.1 Options Trading Can Lead To Addiction1.1.1 Easy Strategies1.1.2 Your risk is limited to trading1.2 Options trading for us traders2 Disadvantages of Trading Options2.1 Trading Options transaction fee to compare Forex are very high2.2 After trading Trading options, you need to wait for, until the end […]

The Advantages and Disadvantages of Options Trading:

It is better to review and study the facts about Options Trading before investing and making a trade. However, usually, such these information are blocked, and the traders can not access to these facts about Options markets.
CloseOption, as an Options Trading platform, like to clarify the advantages and disadvantages of Trading Options market in this article. Options Trading, like any other online markets such as Forex, is a high-risk business and traders who do not know this market well can lose all or some of their investing. It is highly recommended to increase your knowledge about this business before joining an Options Trading website and start trading. These two articles can also help you to improve your knowledge: “About Trading Options Advantage” & “Trading Options Betting And Gambling”.

The Disadvantages of Options Trading
The Options Trading market comparing with the Forex market has a higher fee(high spread). For example, in the forex market, the fee(spread) for a $100 order can be $20 in the normal market conditions, while the fee in the Options Market can be $25 at the same time.


After placing an order in Options market, you must wait until the end of the expiry of the order, and it is not possible to close the order manually before the expiry time. But the Forex market is different, and the possibility of closing an order before getting expire is available.


Options Trading Can Lead To Addiction


We advise Check this Articles about Options addiction
in this article, we Describe that:
Why some people become addicted To Trading Option and Some method to avoid Addition to Trading options.
You can not Close Position (Trade) before Expiry time!
In Most of Trading options Platform or if you can do it, it has a significant Fee! It is a Big Disadvantage for someone that does not like Remain in Loss position! in other words
most of the platform is Win/loss Platform and does not allow clients to close the trade before the Expiry Time.


Easy Strategies


Trading Options Trading Advantages
Ability to perform a trade-in short-term!
For those who have a specific and target, strategies can in a short time gain high-profit. Or enjoy the excitement of market (either profit or loss). It is considered as an advantage and disadvantage that is due to the high volatility in the market. It is often predicting the market in short periods. It is much harder than on long-term courses and also, short-term trading, may possible to change and take person trading goal think like gambling. Which usually leads to customers to lose their capital.


Your risk is limited to trading


When you trade Forex, margin calls all accounts are possible due to the high volatility of market but in the Trading Options your risk limit to the money that you involved in the recent trade.
In other Word You never Margin Call by just one Trade! Trading Options is Completely suited for News Traders! They Can Trade on News Without Risk of Margin Call.


*Margin call: Loss Total of money
To predict the True direction of the market, you make high profits
In the world of Forex, when the market moves slightly in the direction of your trade, you make a little profit, but in the market with a correct prediction, your money will be almost double.
It is nice For Trading Options News Traders.
Faster Result in compare of Forex Trade
In forex trading some time you must wait for several months to Observe the result of the trade! But in short period Trade of Trading options, you can See effect after few seconds! most of Trading Options
Offer 30 Second Options trading! This Advantage is excellent For News Traders in Options trading! For Example Before important News of US like:
“ADP Non-Farm Employment Change”
the base of your experience of your acknowledgement You are sure that Market Going Up and you will Call 30 Seconds Before the news, and after releasing News result, You will Win!
High excitement for Forex or Options Traders
Great excitement for Forex or Trading options Traders that Like Enjoy from jumping off the market some Options Traders from the USA Like trade in Trading options Platform just for fun! And they will Enjoy Winning and losing! For this users, Options trading (Especially Short term Positions ) is like betting, and they love it! And This subject will tend to Trading Options companies in the USA Following this note that:
A lot of Options Traders in Us like Play in Short times and enjoy the excitement of Market!


Options trading for us traders

Is Suit for gamblers or Some Person like E-Casinos


When you can See Result of trade in 30 Seconds after push Call or Put Button, it is Nice for Someone like Bet on The Forex Market! it is fast! Easy to use! And no one can Scam it! in the casino you are not sure the casino is against you or not! Maybe machines settled for Cheat on you! And you cannot be 100% sure they are honest with you or not! Price of Most Trading Options are Real, and you can Compare it with Forex market


Trading Options is Suit for Gamblers that really cannot trust Casinos or Online games. It is Advantage that Trading options trading is better than betting or gambling but also if you are not careful and does not Act Scientific it can Be the same in another word:
Options Trading Without Science is equal Gambling! Read This Article For More Details

Options Trading and E-Casino

facts of options trading

Disadvantages of Trading Options

Trading Options transaction fee to compare Forex are very high

Suppose for 100 thousand dollars (one lot) trade-in; Forex Broker charges you about $ 20 transaction fee. But in the Trading option for the same amount of money, $100 thousand, they may cost you about 25 thousand dollars as a transaction fee. The point is that commission fees in Trading option in some cases even higher than gambling. And this point alone shows how it is the very high-risk market. And those only with reliance on possibilities and chance enter this market they will lose their capital.

After trading Trading options, you need to wait for, until the end of the trade

In the world of Forex after the trade, if you were at a loss or profit whenever you want, you can terminate trade. But there is no way going back after a deal. It must wait to find out the results and the only way to cancel the business and open another trade in the opposite direction that will cost you…

Options Trading Can Lead To Addiction

We advise Check this Articles about Options addiction

in this article, we Describe that:

Why some people become addicted To Trading Option and Some method to avoid Addition to Trading options.

You can not Close Position (Trade) before Expiry time!

In Most of Trading options Platform or if you can do it, it has a significant Fee! It is a Big Disadvantage for someone that does not like Remain in Loss position! in other words
most of the platform is Win/loss Platform and does not allow clients to close the trade before the Expiry Time.

easy strategies

easy strategies

Trading Options Trading Advantages

Ability to perform a trade-in short-term!

For those who have a specific and target, strategies can in a short time gain high-profit. Or enjoy the excitement of market (either profit or loss). It is considered as an advantage and disadvantage that is due to the high volatility in the market. It is often predicting the market in short periods. It is much harder than on long-term courses and also, short-term trading, may possible to change and take person trading goal think like gambling. Which usually leads to customers to lose their capital.

Your risk is limited to trading

When you trade Forex, margin calls all accounts are possible due to the high volatility of market but in the Trading Options your risk limit to the money that you involved in the recent trade.
In other Word You never Margin Call by just one Trade! Trading Options is Completely suited for News Traders! They Can Trade on News Without Risk of Margin Call.

*Margin call: Loss Total of money

To predict the True direction of market you make high profits

In the world of Forex, when the market moves slightly in the direction of your trade, you make a little profit, but in the market with a correct prediction, your money will be almost double.
It is nice For Trading Options News Traders.

Faster Result in compare of Forex Trade

In forex trading some time you must wait for several months to Observe the result of the trade! But in short period Trade of Trading options, you can See effect after few seconds! most of Trading Options

Offer 30 Second Options trading! This Advantage is excellent For News Traders in Options trading! For Example Before important News of US like:

“ADP Non-Farm Employment Change”

the base of your experience of your acknowledgement You are sure that Market Going Up and you will Call 30 Seconds Before the news, and after releasing News result, You will Win!

High excitement for Forex or Options Traders

High excitement for Forex or Trading options Traders that Like Enjoy from jumping off the market some Options Traders from the USA Like trade in Trading options Platform just for fun! And they will Enjoy Winning and losing! For this users, Options trading (Especially Short term Positions ) is like betting, and they love it! And This subject will tend to Trading Options companies in the USA Following this note that:
A lot of Options Traders in Us like Play in Short times and enjoy the excitement of Market!

Options trading for us traders

Options trading for us traders

Is Suit for gamblers or Some Person like E-Casinos

When you can See Result of trade in 30 Seconds after push Call or Put Button, it is Nice for Someone like Bet on The Forex Market! It is fast! Easy to use! And no one can Scam it! in the casino you are not sure the casino is against you or not! Maybe machines settled for Cheat on you! And you cannot be 100% sure they are honest with you or not! Price of Most Trading Options are Real, and you can Compare it with Forex market 

Trading Options is Suit for Gamblers that really cannot trust Casinos or Online games. It is Advantage that Trading options trading is better than betting or gambling but also if you are not careful and does not Act Scientific it can Be the same in another word:

Options Trading Without Science is equal Gambling! Read This Article For More Details

Options Trading and E-Casino

Options Trading and E-Casino

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Comments

  1. Husna Abdul Isa Thursday 29 November 2018 11:27
    Husna Abdul Isa

    am interested with this and ready to take risk