I am new to this forum and to options, although I am not new to trading. I am in the process of trying to get a handle on options. I have been using videos and materials on my Broker's site (Interactive Brokers) as well as random information and videos I have found online. I find that I am kind of spinning my wheels in that I am gaining lots of information but obviously have not had a chance to utilize it from a "hands on" perspective. Can anyone suggest the best tools for learning to trade options? My broker's materials are okay but I am looking for more and better ways to quickly learn so that I can start buying and selling calls and puts in the not-too-distant future. Thanks.
I am new as well. I have learned everything through videos, trading in a dummy account, and Market Chameleon. Market Chameleon is free to trial, but is a paid membership at $99 a month after that, but is well worth it!! It will pay for itself in no time with the tools they have available for you. If you are interested in trying it out, let me know. I can walk you through a lot!!
It’s tough to learn more than from YouTube videos, as they discuss literally everything. The rest may be up to your own abilities, learning speed, account size, risk tolerance, etc. There are also very active option trading communities on Reddit where you could follow some trades. A broker like TDA/ThinkOrSwim has great option scanners and analysis features, similar to Market Chameleon but free. I use them in addition to IB, but without trading there, just for scanning and reviewing option setups.
I think you first need to answer a few questions to yourself, like why you want to trade at all. Once you are clear on the goals, start narrowing down on the paths.
Start by reading Options, Futures, and Other Derivatives by John C. Hull. This will help you understand the mechanics.
As Livingston said, "A Trader needs an education, and he has to pay for it." So, trade, Trade, TRADE! Trade all the different option variants... trade the Greeks... but trade in small amounts, and minimize your learning costs. Also, screw paper trading. I once saw a special on Air Force pilots. They talked about flight simulators, courses, and all kinds of training facilities. Ultimately, "There's no better experience than air under your @$$."
True but no ones going to fly an f35 without extensive training before hand. Without training you are more likely to harm yourself— and when it comes to trading, blowing up your account lol.
You don't have to "blow up your account" to learn. Buy inexpensive options on low-priced equities; but, be mindful and intentional about what you're doing. Are you covering a call? Hedging/insuring something? Calendar spread? Straddle? Strangle? Are you buy or sell side? You can learn this and a whole lot more for a single option contract costing less than $50.
There’s a recent materials thread @easymon1 startef a few threads below this one. i suggest you take out a notepad and start soul searching on ET. There’s a thousand threads with gems hidden through the endless pages. It’s up to you to find them, but they are there. YouTube now has hundreds of in depth videos. Books galore on Amazon. And just to think a few years ago the knowledge and information regarding options wasn’t nearly as abundant. Hustle smart
Ok, I've been watching a few videos, listening to some podcasts and doing lots of reading. I have the basic fundamentals I think when it comes to buying and selling calls and puts. I am trying to figure out how to proceed from here. Maybe start with buying or selling an option or two just to get the hang of it before diving in very deep? There is really no limit to how much learning you can do. But being comfortable with buying or selling some options, following their progress, and knowing when and what to do as time moves along is the key. I have ideas of some stocks that I have been monitoring for some time and what their tendencies are. Lots of stagnant ones that could be utilized...