which options are better to trade and why?...liquidity, spread, bank for buck etc.?....thanks for your insight...
I love the Q's and thats all I play. Pretty much a 1 cent spread most of the time and is taxed lower at 23% under 1256.
The Q's move very fast so I usually play them intra day. I suggest trading same dollar amounts. Never risk anything you are not willing to lose. For example, start small. Do $1000 trades (or lower if that is too high of a starting point). Once you do 10 consistent trades bump your trading size to $2000 ect ect. Once my trade goes through I immediately place a sell limit order for around 10 cents above (I trade options). I try to go for consistent small gains rather than getting rich/poor on any particular play. I suggest you practice many times before jumping into the Q's.
I don't know about the options part (I will start to watch) but the RUT moves more intra day than the Q's. - However, I have been unable to get out of a position for several days. . . Do you just buy str8 up options or do you spread?