Episode 103_Call Options The Smarter Way To Use Leverage
Send us Fan Mail Imagine a stock is trading at a hundred dollars. Buying a hundred shares would cost ten thousand dollars. But suppose there’s a call option that costs five hundred dollars and gives you the right to buy those same hundred shares at a set price. That smaller upfront commitment is the attraction. Here’s the catch: you’re buying a right with an expiration date. The stock can rise, your prediction can be correct, and you can still lose money. Today, we’re talking about call options, how they create leverage, and what makes that leverage useful—or expensive. The smarter part comes from understanding the trade before you enter it. This episode is educational. Our examples are hypothetical and exclude fees and taxes. Do you want to learn how simple it can be to trade call options? Head over to the Options Wealth Academy and take advantage of our 14 day trial. www.optionswealthacademy.com Having a plan before you enter into a trade and risk a single dollar is one of the most critical steps in successfully trading in the stock market. Don't wait for trade alerts. Know what you are doing it and why you are doing before you enter the trade. To learn more, visit www.optionswealthacademy.com


