Optiontradingpedia.com is a free encyclopedia of options trading knowledge, consisting of over 650 painstakingly handwritten tutorials by 15 years full time options veteran Jason Ng aka Mr. OppiE since 2006. The aim is to make freely available all the options trading knowledge which fake options gurus around the world are charging an arm and a leg for. Yes, you never should have to pay for non-proprietary knowledge in the information era and Optiontradingpedia.com hope to spearhead this initiative and become a sanctuary of options trading knowledge for all who seeks it. Here are some recommended starting points. In each of these, you will find links through which you could explore deeper for more options trading knowledge.
Free Options Courses
Options Trading For Dummies
What are Call Options?
What are Put Options?
Common Options Trading Questions
Glossary of Options Trading Terms
Library of Options Strategies
Bull Call Spread
Bear Put Spread
Delta Neutral Trading
Free Options Trading Courses
Free Options Basics Course
Free Options Advanced Course
Free Covered Call Course
Thank you for learning about options trading in 2018 with Optiontradingpedia.com! How time flies, before I knew it, its been 12 long years since I started writing about and teaching options trading through Optiontradingpedia.com and I am honored to have made many great friends and students through this options focused website through which I continue to be able to share my knowledge and experience in options trading with the world. Yes, Optiontradingpedia.com was first started back in 2006 and has grown from strength to strength indeed. If this is the first time you are reading about options, please read my Options Trading for Dummies tutorial.
So much have changed in the options trading scene over the past 12 years since I started Optiontradingpedia.com; from regular vanilla options that expire every third Friday of the month to the appearance of quarterly options and now even weekly options so there are now options that expire every single week of the month and every single month of the year. So literally, options traders have a lot more "options" now than before in 2018. Options brokers also went from full service options brokers with commissions too expensive to profit from options spreads with, to online discount brokers such as the Think or Swim. In the near future, there might even be free, no-commission options brokers, based on a trend started by Robinhood, a no commissions stock trading broker. A lot of new options education websites and options mentors also rose up to provide more quality options training, helping options beginners get started even quicker and easier than before, and most importantly, be profitable options traders. Things have truly moved and improved greatly in the options market.
However, one thing rocked the options trading world strongly and unexpectedly over the past one year from 2016 to 2017. To date, it continue to create alot of confusion amongst beginners who wish to learn about trading real stock options. What are real stock options? Real options are options traded in a regulated public options market with real equities behind each contract, the kind that I teach and trade over the past 15 years. And that source of confusion and chaos is what is known as, "Binary Options". The so-called "Binary Options Trading" has spreaded vigorously all over the world especially over the past one year as "binary options brokers" aggressively market themselves in order to cash in on this super lucrative niche. In fact, it worries me when I see that the first two links on Google when I searched under "Options Trading" turns out to be "Binary Options Brokers". In doing so, they create a lot of confusion amongst beginner traders who wish to learn to trade real options. These options beginners frequently confused these "Binary Options" with the trading of real put and call options in a real stock and options market and inevitably, when they get burned on these products, they walk away thinking options trading is a scam, and that really hurt me alot as a veteran options trader of 15 years.
Why do I called it "So-Called" Binary options? Well, that's because most of these aggressively marketed "Binary Options Brokers" are not brokering real regulated options that are listed and traded on a public options exchange at all. The so-called "Binary Options" that they created, borrowing the name and features of real binary options (Learn about what real binary options are), are merely a way of quickly betting on one of two possible outcomes, frequently under extreme short and unrealistic time spans, sometimes as short as the time it takes to roll a dice. If you do win, you win 80% to 95% of the total amount you betted with and if you lose the bet, you lose 100% of the bet money... doesn't this sound familiar? Yes, these are nothing more than private online casinos dressed up to look like financial institutions through the use of financial terms and jargons on their website and their materials. They are simply allowing "options traders" bet on an outcome that is too short for any form of real fundamental or technical analysis (yes, if you are not performing any form of analysis on an "investment" before committing, its no more than just a "bet", right?) and if you win, you only win a fraction of what you bet while losing the whole amount if you are wrong, while they play as the banker with no real interactions with the real financial and options market at all. Under those odds, even on a 50/50 basis, you are really losing because each win is guaranteed to be smaller than each loss... if I tell you of such an online casino, would you bet on it? But they are clever enough to disguise their true nature well and has caused considerable harm to the options industry overall in my opinion. (Read about Can You Really Get Rich Trading Binary Options?)
However, the good news is, many countries are already stepping up to it and clamping down on these "Binary Options Brokers" last year in 2017. As such, I advise caution to all of you who are currently considering opening
an account with one of these "Binary Options Brokers" because they may get clamped down with your money in it and you may get back nothing. I advise all of you reading this to take heed and really take time and
effort to learn about what real options trading is, rather than fall for these hyped "Binary Options" products (S*cam). So, what exactly is the difference between binary options trading and real options trading?
Read my article on Differences Between Binary Options Trading and Real Options Trading.
I truly hope this confusion between binary options scams and real options trading will end in 2018.
Apart from the rampages of "Binary Options", the options industry as a whole in 2018 has grown considerably and has truly improved tremendously since the first day I started trading options. Options trading on the whole has become much more regulated than its early days of horror stories. It has also become a much more stable and matured form of investment due to widespread options trading and options strategies education, as well as the implementation of an options proficiency test when opening an options trading account in most countries. Even though this options proficiency test has raised the barrier of entry, it has also directly filtered out people with completely no knowledge of what options are and who would eventually lose their money, create volatility in the market and also give options trading a bad name. This directly contributed to the more matured and stable options market that we now know in 2017 and also increased the level of knowledge and investment saaviness of options traders on the whole as new options traders have to seriously learn about options trading in order to pass the options proficiency test before they are able to open their options account.
2018 is a very unique year. Coming out of the Donald Trump rally of 2017, uncertainties mount in the US market for 2018. In 2018, one cannot deny the need for more complex investment techniques in order to hedge against unexpected risks. Good news is, options allow you to do just that; to protect your porfolio from risk using protective puts (Learn about the Protective Put options strategy) and to profit from sideways markets like this one using Neutral Options Strategies (Learn more about Neutral Options Strategies). Indeed, in a year like 2018, it is becoming more and more important for modern investors to learn about options trading and options strategies in order to profit from more than one direction at once in more diversified trading outlooks (Read about my top Options Strategies For 2017!). It is my sincere hope that Optiontradingpedia.com would play a bigger part in this emerging trend.
Optiontradingpedia.com would also need to move with the time in this year 2018! Last year, I upgraded the site to a responsive web design which adapts to options traders reading using PC, mobile or tablet as planned and that has improved our Google ranking tremendously. 2018 is also the year we would upgrade our site to a secured connection and also focus more on user needs and specific questions and usability. I truly hope thhat 2018 would be a year of breakthrough for optiontradingpedia.com and the options market as a whole.
1. Dedicated to the topic of options trading. No other options wikis out there cover more options trading related topics than Optiontradingpedia.com!
2. Written entirely in easy to understand layman terms. Yes, our author Mr. OppiE writtened all the tutorials in Optiontradingpedia.com as is he is speaking face to face with a complete beginner so that anyone could read and understand.
3. Covers more options strategies than any other options "wikis" out there. Yes, over 100 options strategies covered and still growing!
4. Covers more detailed options concepts and common questions than any other options "wikis" out there. Through our Optiontradingpedia.com Answers section, we have answered more options related questions than any other wikis out there.