Put options are a type of option that increases in value as a stock falls. A put allows the owner to lock in a predetermined price to sell a specific stock, while put sellers agree to buy the stock at ...

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Samantha (Sam) Silberstein, CFP®, CSLP®, EA, is an experienced financial consultant. She has a demonstrated ...

Stock options are leveraged instruments that derive their value from an underlying security, such as a stock. This makes them different from stocks, which are perpetual in nature and represent an ...

When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...

Bear put spreads limit loss to net debit, capping maximum at difference between two puts. This strategy suits investors expecting a slight stock/index drop due to specific events. Profit potential is ...

You’ve been looking to start another income stream and have your eye on a particular security. One problem: You don’t have the cash to buy it. So you’re considering diving into a short put options ...