When I first started trading derivatives JP morgan had that issue where they couldn't get out of a trade.... quiet a lot of money involved. So I got spooked. I actually only traded straddles when I first started. I think that is the lowest risk option strategy. I'd never sell to open ever in my life. I'm in Auz and the biggest broker here (BBY) went under because of options sellers. Do you sell to open?
nah, I don't sell options. I don't even trade real stock yet. I'm still putting about on paper trade platform from TOS. I see what you mean though, selling options seems very dangerous and risky. Buying seems very straight forward since only capital at risk is what you paid. Straddles? I'll have to have a look at what that is. I've just been messing around with vertical spreads for the most part.
K, When I first started trading I traded straddles and went from 5K to 30K, then I lost it all . A lot of it wasn't my fault. Yup, Find something u like and trade that . I recon just take 1K out for a spin, experience is the best thing you can have in early dayz of trading .