Rabu, 01 Agustus 2012

why i prefer to trade in options instead of futures


* safety (especially large unforeseen sudden moves)...and hence peace of mind. you thereafter never trade with "scared money".

* more leverage of capital

* adverse movement is lesser than the pro-movement for the same movement of spot.

*  more effective stop loss.

* lot of flexibility viz. a viz. which option to buy 



* deeper in-the-money options have much less premium and move as much as futures.


* options have inbuilt stoploss.

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all i have to guard against is the time decay.

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