Random Walk Trading – Call Instead Of Stock
Call Instead Of Stock
3 Volume
Perhaps you have been wanting to play stocks like AAPL, but found they were too expensive. With Apple, at $600 a share, purchasing even 100 shares would cost you $60,000. 100 shares of Priceline is $70,000. On margin, they cost $30,000 and $35,000 respectively, a price not all can afford.
You might have heard that you can buy an in-the-money call to replicate owning shares. However, you were never given guidelines on which is the correct option to purchase. We have had many people come to us with all sorts of weird substitutes, not realizing the benefits and liabilities of using a call option in place of purchasing shares.
FIRST TIME
Now for the FIRST TIME (based on what we know and are aware of), a step-by-step owner’s manual has been created, describing how to choose the correct strike prices, months, etc., and what happens when you choose a less favorable option. Many people don’t realize the trouble they put themselves in, financially, by choosing the wrong option for their needs and goals.
You know, simple choices, like:
* Which month to buy?
* How far in-the-money to go?
* When to get in?
* What to do when the option is not doing what you want?
* How it can be hedged?
These simple selections make all the difference. They can also be very expensive to learn on your own.
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