What exactly is Stock Options Trading?
Stock options trading is the trading of stock options. Stock options are financial instruments that give you the right to buy or sell certain shares in the stock market. Using the 2 kinds of stock options; Call Options and Put Options, options traders are able to profit when the underlying stock goes up or down and even when it is trading sideways. Differences Between Forex & Stock Options – Comparison Here’s a comparison of some of the main differences between Forex and Stock Options: Underlying Instrument Forex is based on currency while stock options is based on stocks. Complexity of Analysis Because Forex trading is dependant on the movements of 2 different currencies while stock options trading is dependant on the movement of a single stock, analysis in Forex trading is more complex. Leverage Forex trading offers a much higher level of leverage than stock options trading, making it more risky that stock options trading in terms of leverage risk. Trading Stress Stock options tradin
